What we do need to realize about our distributors is that what they're selling isn't exclusively our product. I don't doubt that Proguardeum is selling substantial HOCL, but I believe they're doing far more than that. Of the $140 million anticipated in 2022, I wonder how much of that will be PCTL based, and how much they'll pay PCTL in terms of royalties on the liquids as well as for the lease of the generator in addition to any material they're ordering from the company.
I would suspect that they should bring millions into PCTL's coffers in 2022, perhaps even tens of millions. I don't know that we ever get the breakdown of the revenue from each distributor.
I believe that many of our distributors are creating a great deal of success, and much of it has to do with HOCL, but remember, they're free to do a great deal more. I believe that ACE existed before PCTL as a major sanitary service company, while they've equipped many hospitals with our Annihilyzer systems, as Level 1 distributors I doubt if what PCTL is providing them is more than 25% of their overall earnings.
My point is that many of our distributors may be doing very well, in some cases they're doing it largely on PCTL based products and equipment, but in some cases PCTL only accounts for a small percentage of their business. I suspect that in the future some distributors will gain major contracts for HOCL, etc. that make PCTL a major part of their business. Building successful distributors will result in tremendous growth for PCTL as it happens.
Gary
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