Expo Holdings Inc. (EXPH)

[Jeremiah]

As to the installation margin, I believe in cases where installation profits would occur for Expo, it would all be local work and Harrs would get first dibs at tucking all that money away. Where installation would be through a retailer, it would be contracted out and any profit would go to them.

I'm of the opinion you will proven wrong here. Cima Fine Cabinetry is an Expo division that will produce a much higher profit margin for more than one reason. These cabinets are mainly upscale lines, going in the higher end homes. For all intents and purposes Cima is being sold as a package deal..... installed by Expo's own employees. Admittedly, after the new showroom is completed the cabinets can be purchased by anyone and the buyer will handle the installation. I simply do not see that aspect being a large portion of Cima's business..... installed/sales is their bread and butter.

I also can easily see where Cima Fine Cabinetry can be franchised out, very similar to what Window World did. Sometime your post seem to confuse etc. brand cabinetry with Cima. There is a night and day difference between these two divisions of Expo Holdings.

Regardless, Cima Fine Cabinetry cannot be compared to D& D displays profit margins. Again, this is solely my opinion, but I also have over 40 years experience in this line of work.


have a great day

[edited, for punctuation, spelling, clarification]