Replies to post #109581 on Savvy Trades and Investments

[wadegarret]

R59 & SS, you're right on Q4, but please read

I used the full year gross profit %, instead of using just Q4(my bad), which was in fact 15.3% on $104M revenues, then Q3 was 12.7% on $85M, Q2 7% on $53M, and Q1 10% on $60M. Obviously the more revenues ESOA makes, the higher the gross margins. My whole point here is this. If the company has grown revenues year over year by well over 50% for the last two years, and keeps that trend, then even the weak March and Dec qtrs would show nice profits going forward.

For example, the company made $.21 in eps on $85M revenues for the June qtr. So now, if ESOA continues lets say at 50% yoy(was 54% for fiscal 2023) revenue growth, then the Dec qtr(which in 2022 showed $60M in revenues and a $.01 loss in 2022), would now show $90M, and well over $.21. The weakest March qtr(which showed $53M revenues, and a $.11 loss in 2023), would not show $80M , and bit under $.21 in eps. So if revenues is the main determiner of how much margins will be, then the Dec qtr 2023, and March qtr 2024, might actually show together more like $.40 in positive eps vs $.12 in negative eps for the year ago comparison !. Then add onto that hugely positive June and Sept 2024 quarters, and I see more like $1+ in eps going forward !