Replies to post #91564 on Value Microcaps Motherboard

[MikeDDKing]

KIK...I certainly remember that about CKGT. In fact I had a small position at the time. Companies often incorrectly interpret the accounting standards for revenue recognition. I'm sure that is even more difficult in US listed Chinese companies where they are trying to interpret standards in a foreign country. I chose not to hold that against them but obviously their accounting capabilities could be better. The stock is quite undervalued at present levels IMO. By the way, the earnings numbers in my prior post represent the restated numbers.

Mike

[CPTMatt]

KIK: CKGT

What!!? Do you mean that you can't even trust a Chinese company selling cactus derivatives these days?

What has the world come to.

[littlefish]

KiK, CKGT- do you know if their Q reports are audited or just the annual? If only annual, that would definitely put some potential caution ahead of the only audited results (IF Q4 is the only audited).

That's a relevant point to bring up. It is one thing to misjudge Q to Q revs accounting as some revs sometimes get hung up around Q beginning or end. But that much of a revision and literally taking away from a 9 month total sure seems enough of a stink cloud not to touch it IMO only...
Plus they're China company, plus they sell cactus cagiarettes (seems liability could be an issue possibly or maybe people in China don't have those kinds of rights to sue companies if the cigs are only sold in China).

Thanx for the link, I was previously unaware of that.

[True FL Native]

CKGT: Is it me or is it very weird to only book sales when your customer sells the product to their customer. Are they selling this stuff on consignment? Are they not getting paid until it goes through the cash register at the store? I have never heard of this but that doesn't mean its not done. I would never sell my products this way. Once the product has arrived at the retailer then it should be theirs and 30-45 days later it should be paid. Weird.