Value Microcaps Motherboard

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researcher, re NCNC seasonality

Actually it seems Q2 is their weakest quarter.

From 10K:

SEASONALITY

Our business is subject to certain seasonal fluctuations in sales, with a pattern of net sales being lower in the second fiscal quarter, due to plant closings in the summer months and vacations. The market for machine tools is also sensitive to economic conditions, production capacity utilization and the general level of business confidence.


Plus they had a large 1-time gain in the year ago Q2 due to debt forgiveness...so the bottom line comp won't look good at first glance. Hoping to see another .015+/share in earnings to show that Q1 wasn't a fluke. With Quilite adding .05/share to earnings in the second half of the year, don't see much downside unless the 10Q next week shows a loss. Even then, stock probably wouldn't stay down long as investors begin to anticipate stronger results in Q3 and Q4.