Trudy Corporation (fka TRDY)

[Rawnoc]

Backlog already doubled without Sesame.

Not really much to wait and see about. Seems pretty much like a given a return to profitability this quarter.

You're putting too much emphasis, for starters, on the sales drop instead of the bottom line. They don't need to double sales to be profitable again - a change in the customer mix alone with the lack of returns will bring them back. Or a slight increase in sales over the Xmas quarter. Backlog has doubled and more titles have been coming out so this should be a walk in the park IMO.

Then the very next quarter the Sesame Street titles come to market.

The irony is if this was a start up with NO sales and they announced the Sesame deal, everybody would be falling over themselves with excitement and ignoring the earnings report with no sales and a huge net loss. Realistically, the Sesame Street deal will be printing and selling from the company at a profitable stand point.