Replies to post #8463 on Castle Brands Board (ROX)

[FUNMAN]

Now I understand what you were getting at.

Add this; ROX will continue using equity raises to augment their lines of credit.

It wasn't too long ago that our O/S was 140 million. Just the math says that our PPS would be $1.60 if the market cap was $224,000,000 as it is now.

If we see our O/S grow to 180,000,000 it will weigh on the PPS.

Our boys keep using equity raises to fund expanding the inventory and selling expenses. I don't mind at all.

What we want is to see them pass the inflection point so ROX becomes self sustaining without the need to tap the equity markets. I'm not sure where that point is.

Our growth is so rapid. YoY, inventory increased by $2,140,634, but QoQ after they let inventory fall to $19+ million, they needed the equity raise to fund inventory expansion by $3,622,961.

It's very evident that a larger suitor would NOT need to duplicate the same infrastructure nor have similar limitations to inventory acquisition.

Right now the growing pains are costly, but we will get through it. As a matter of fact, to some people's consternation, ROX doesn't talk-the-talk. ROX walks the walk and I am very satisfied seeing their progress is accelerating.

EBITDA is growing nicely.

It's easy to see the light at the end of the tunnel because just like the sun rises in the East, the tunnel is getting brighter. I just can't see the distance we have to travel.