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XenaLives

09/14/18 10:30 AM

#19191 RE: FS15 #19190

Yes - it's a contractual 25% margin.

No raising capital to build a sales force.


Before they were selling cages at around $5000 each to the hospitals. Now they are an OEM I imagine that they would probably sell the cages at about $650 a cage CTL. Not much profit margin since it take AMDA about $400 to manufacture each cage.

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boston745

09/14/18 10:34 AM

#19193 RE: FS15 #19190

Yes revenue would drop but so to will expenses. In fact S&M which accounted for ~55% of their cost to sell 1 unit should be negligible. That said they will struggle to fund R&D with revenues at first.

Before S&M was about 55% & Cogs about 23%. Once you take these out of their current model their margin is 22% with admin costs. Oem model their margin is 25% with at least some G&A costs factored in the purchase price.

Manufacturing Costs” means Seller’s standard costs to manufacture a given product, including without limitation, all overhead, administrative and other costs, whether fixed or variable.