The only Numbers that Matter....
I respect and do not necessarily disagree with many of the posts since Friday, regarding the recent Financing.
However, IMO the only Numbers that matter and the only ones I personally care about : Revenues.
MSLP is now putting up $5 million Revenue Quarters, and with the announcement of a $2.7 Million November for Revenues, it now stands to reason that MSLP will have at minimum a $5.75 million Quarter and most probably a $6 + Million 4th Quarter for 2011. Again , Quarter over Quarter and Year over Year MSLP continues to bring in the Sales and there is no signs of letting up, in Fact Next year is going to be even Better, Why ?
MSLP will be entering the Big Box Stores next year, and they are also expanding their Product Lines and the current Product line is getting excellent exposure and it is taking away Market Share. If MSLP can do a $6 + Million Quarter now ( This I believe will happen Q4 2011 ), then imagine what the 3rd and 4th Quarters are going to be like in 2012. With their expanding Revenues from the distribution channels they currently have and a launch of their Product Lines into the Big Box Stores, I believe that discussions about Financing will not be taking place for much longer.
MSLP has roughly a 40% to 44% margin on Sales, and as they enter the Big Box stores their margins should get slightly better. But assuming the margins stay were they are at MSLP will need to do a $10 Million Quarter in Sales to become self-sustaining and thwart any need for further financing, There will be many here who will think that MSLP can not do a $10 Million in Sales Quarter over Quarter, I believe your opinion is wrong based on the fact that MSLP is showing that they are in fact on their way to Profitability. Say what you want but if they can do $6 + MIllion a Quarter now, imagine what they will do once they are in Walmart, Sams, ect... In addition I believe that they will be able to keep expenses at these levels ( and they stated that in the most Recent PR ), as the big increase recently was for new advertising, which has obviously worked.
One more thought on the Financing, lets not forget that much of the Financing MSLP has done , has been to pay down their Debt, so when they do turn Profitable their Books will look very good as well. I know there is a lot of noise about MSLP right now and much of what is talked about around here is valid and may people make many good points about the company and some of what they have done. I don't think you will ever find perfection in Management and I believe all Management will do something from time to time that drives us nuts. But for me, the Question is does Management know their Business and can they expand that Business so as to become Profitable and make us all Big Money. For all of the questionable things Management may have done this year, there is no Questions about whether or not they Know their Business and Know how to make Money selling their Products.
GLTA
GW323
