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Re: robert-1 post# 30431

Tuesday, 08/20/2013 10:09:02 AM

Tuesday, August 20, 2013 10:09:02 AM

Post# of 44232
Robert-1--You make the assumption that MDHI's revenue, cash flow and profit are on a straight line trajectory. That is nearly impossible in the real world. For example, using the numbers from the same 8-k, fiscal 2012 saw revenue increase $121,36.00 over fiscal 2011. That is an average monthly increase of $10,113.50. Not only would that monthly increase in revenue accelerate the process by a factor of 5, but a significant portion of the losses are due to depreciation of assets--just paper losses.

Moving forward, every time a new unit is sold and the buyer keeps the system for more than 6 months, MDHI's recurring revenue rises. Even if there was no additional revenue, MDHI's cancelled debt means cash flow and profit rise.

MDHI continues to cancel debt. MDHI continues to sell new units through Costco. In the past 2 quarters MDHI added distribution through Coventry which is probably part of the increased revenue we will see as the audited financials continue to be released. That distribution network has been greatly expanded and the unit sales will continue to increase as the whole Aetna company now has access to MDHI's product.

This doesn't even account for the international growth that will be coming in the future.

In other words it is easy to mislead about the revenue trajectory MDHI will produce basing all future revenue from a 6 month snap shot.