InvestorsHub Logo

hillzman

08/28/14 4:56 PM

#20331 RE: CaptWhizbang #20329

Their stated manufacturing capacity is 2000 units and they only shipped 671, so yes, low utilization of existing manufacturing capacity makes me wonder why they would even be talking about increasing that to 4000 at this point in time. I guess they are just saying they could assuming the financial arrangements worked out. But why bother with it except as a very long-term planning process. They certainly need to ship more units, but as you've pointed out, there are many factors beyond their control. At some point if they can achieve maybe 60% utilization and increasing backlog, then would be the time to look at expansion. I see stuff like this and I just go "Geeze Guys", just get to some semblance of profitability already!