Replies to post #7655 on Jammin Java Corp (JAMN)

[Titans42]

As of yesterday there are now 5 shops.

https://leeseunggiforever.wordpress.com/2015/06/16/marley-coffee-to-open-4th-branch-in-daegu-suseong-lake/

[TAJS20]

Out of curiosity, do you sell marley coffee in your restaurants?

[Brophtron]

But isn't Rohan building his private business off the back of the public company?

Brophtron, would you rather make a percentage of $.20 or a percentage of NOTHING . Because without these coffee shops there would be nothing .

And without JAMN for the last 4 years, Rohan wouldn't have a private coffee business, either - yet from the beginning he made sure that JAMN wouldn't have any part of the profitable part of the business.

Also, I don't know if you guys read what I write .... Korea has 3 coffee shops. In the quarterly , IF YOU READ IT, Korea is our HIGHEST grossing international market at nearly $300,000 1st quarter.

I did read it and if you take away the international sales, the US sales are well below $2 million per quarter. They're in 7,200 retail stores in the US, so how are they making more than 10% of the US amount in 3 retail stores in South Korea? Something sounds off there.

Stop trying to make the coffee shops sound like a bad thing.

It's still bad that Rohan purposely set it up so that JAMN couldn't share in the bigger business.

Also, yes Marley Coffee may have made 2.5 million a quarter before ... However they are spending substantially less money to make these sales which is why there was actually a profit this time around .

No; there wasn't a profit. There was a $1.2 million loss. Why do you think there was a profit?

The $25 million deficit will be gone in 3-4 years I expect

1) I don't think that the reduced expenses will last. Next quarter we're going to be right back to the $2.5 million per quarter expenses.

2) In order to break even, JAMN would have to sell between 6 and 12 million per quarter (the higher the expenses, the more they'll have to make. JAMN projected annual sales of $17 million for the year. Based on the last quarter, they're about $2 million short to average out to $17 million for the year. At a 25% gross profit rate, they would have to have sales of $100 million just to make up for the $25 million already lost, plus more to cover whatever future expenses they have. That's more than 10 times their current sales.