Replies to post #11700 on Labwire Inc (LBWR)

[the_worm06]

but milo, you can have all the gross margins you want, but the fact is that, even with all these humongous clients sending business to LBWR, the NET PROFIT MARGINS are very low for LBWR, 4.6% for 2008, as an example - and this is what counts - the bottom line, the Net Profit Margin.



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Posted by: milo3 Date: Monday, February 16, 2009 12:20:37 PM
In reply to: Bill_Investor who wrote msg# 11698 Post # of 11701

Bill_investor, your points are well taken however I'm not sure Labwire's being very squeezed re. pricing. Gross margins have been in the 40%-50% range. As the Company moves forward with accelerating revenues in '09 gross margins will certainly be something to carefully watch.
milo3

[Robsct]

Have you seen any "fluff" PR's? I haven't. LBWR doesn't hype. All you have to do is check! Some don't seem to do their own DD.

[creede]

Right you are about those gross Margins!

Gross Profit improved to $ 522,520 vs. $ 445,379 in 2007. This represents a $ 77,141 increase or a 17.32% improvement. Most importantly, gross margin improved to 51% from 44% in 2007. This encouraging trend is indicative of the addition and growth of the OTI business, a swift and successful conversion of the first business from the USIS Alliance, and management’s focus on adding high margin business to its existing contracts and capturing revenue for its technology services.