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naturalborninvestor

05/23/12 3:33 PM

#647 RE: STOCK Junky FOR JESUS #640

Q1 wasn't anything powerful.

Near 50% decline in qoq revenues due to deteriorating sales of its flagshoip product. $1.7m loss from operations. Going to take a while longer to turn the business around. Ongoing diversification of the product mix is a good start. Business is way too dependent on this one product.

Product sales : Our consolidated product sales decreased by $1,979,168 or 47.6% to $2,177,548 for the three months ended March 31, 2012 from $4,156,716 for the three months ended March 31, 2011. HSE contributed $888,486 of product sales during the three months ended March 31, 2012. However, since HSE was acquired effective May 1, 2011, there are no comparable product sales from the comparable period of the prior year. The net decrease in product sales results largely from the decline in direct response programming sales of our Dual Saw product. Of the Company's revenue for the three months ended 2011 ($4,156,716), 74% was driven by a direct response media advertising campaign (excluding COGS, $2,189,287) related to our DualSaw brand.