Replies to post #16263 on Value Microcaps Motherboard

[Bobwins]

abh3vt...I agree that I can't get to positive cashflow, either. Maybe that's why they hired a CFO recently.

Certainly my biggest concern is the danger of them "growing broke". The large increase in a/r was partially explained by their acquisitions and the dramatic changes in their balance sheet as a result of their refinancing.

Whether the jump in a/r was the result of timing and they were subsequently able to factor these a/r and turn them to cash would greatly impact the calculation of cashflow by any method.

I am looking forward to q2 because the balance sheet should have settled down to more stable levels after the refi and we can get a clearer picture of cashflows and whether they can continue to maintain the increases in gross margins that lead to the profit turnaround.

Bobwins