OTCPK:SPLID - Post by User
Post by
LiquidOctopusV2on Aug 12, 2019 11:19am
83 Views
Post# 30017998
Getting the Expenses Down
Getting the Expenses Down They've grown Calyx by over 700% in a year and half. Some level of inventory control issues are to be expected as the company wasn't used to dealing with those kinds of volumes. The last quarter's financials were marred by some heavy write downs and about $2 million dollars worth of inventory issues.
They gave us notice in the same release that they're investing in improving inventory proceedures and I'm hopeful that this will help cut expenses. We should, as investors, be holding them to this commitment. The coming quarters will show whether they've been effective at getting the expenses down. I realize these kinds of issues don't excite people the way big aquisitions or grand expansions do, but at the heart of my investment in this company is a belief in distribution as a part of their core business model. It's a solid business model and if I didn't think they could grow the business and continue to improve the magins, I'd sell all my shares.