Replies to post #7088 on Genius Brands International Inc (GNUS)

[rickn23]

Either way. Debt free puts us immediately profitable
I’d rather take the hot now than later

No, it doesn't. The conversion will likely cause a (very) large non cash charge. It will create a large loss. It's probably a good thing GNUS is doing it this quarter, than later in the year. The Warrant conversations were already going to create a loss. Better to stack as many losses into one quarter as you can.


Edit

GNUS also has an overhead expenses (rent and salaries type expenses, not interest payments) to cover, of between $2-$3 million per quarter. Last quarter revenue was less than $400,000.

GNUS was heading to another loss in Q2.