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kbaz

03/05/15 4:44 PM

#3793 RE: Toxic Avenger #3790

Here is why it is positive.

First you have to look at the 700 aside from the whole. Without the $700K there would not have been a build in inventory and an offering of Credit line to customers. Without that there would not have been the related growth of sales. All other cost already exist and are covered at break-even volume. the key to quarter 4 was the established break-even volume. (I didn't have until 1st qtr 2015) In short, any new cash spent now At should earn 40% margin after the interest any left would go to cash flow or used for further growth.