Replies to post #50827 on Apple Rush Company Inc (APRU)

[grantastic]

With respect, I recommend you learn how to read these reports so you can make your own informed decisions.

They are not complex, but they include a lot of issues, and it's very easy for someone with an agenda to highlight one aspect (either good for bad) and ignore other aspects.

[bmel]

Biggest number for me is that Sales went up from $94K in Q1 to $225K in Q2.
Tony had to sell $867K in stock to run the business, so Operating Expenses are up, but that's understandable.
Q3 might even be where we start going cash flow positive...
Overall, about what I expected.
For an extremely ugly day on Wall Street, APRU held solidly today.
Now, let the bashers bash the Q2 report. LOL
All good Trader...

GO APRU & LVVV!!!

[grantastic]

Q2 disclosure Highlights:

Revenue finally rising Q-over-Q, but down significantly Year-over-Year:

Q2, 2018: $280k
Q1, 2019: $94k
Q2, 2019: $225k

QoQ sales: +140%
YoY sales: -20%

Gross profit margin shrunk a lot :

Q2, 2018: $172k (61%)
Q1, 2019: $56k (59%)
Q2, 2019: $118k (52%)

Operating losses jumped massively:

Q2, 2018: $44k
Q1, 2019: $85k
Q2, 2019: $882k

A LOT of inventory is being stockpiled:

Q1, 2019: $150k
Q2, 2019: $519k

APRU now has 2 noteholders:

$30k - David Torgerud
$133k - Southern Eagle Distributing

(Apparently the Busch's aren't too impressed with the free $4.5m in shares they were given; they insist their loans be repaid instead of being used to purchase more shares.)

Dilution continues nearly 2x as fast as it did in Q1:

Q4, 2018: 20,385,166,282 O/S
Q1, 2019: 20,524,091,996 O/S (+ 138,925,714)
Q2, 2019: 20,773,591,996 O/S (+ 249,500,000)

(A number of other parties have been given shares, either for cash or for "services").