OTCPK:DRWIQ - Post by User
Comment by
JonathanJSmithon Aug 05, 2015 9:45am
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Post# 23990139
RE:RE:RE:DragonWave to implement more cost-saving measures
RE:RE:RE:DragonWave to implement more cost-saving measuresWhile I'm not happy about their product issue, it's good to know that they've isolated and are addressing the problem. Losing that Tier-one's deployment cannot be good though. Yes, they'll have to work harder now to see if they can recapture a decent reputation with said customer. I'm curious as to how much inventory they'll have to write off, if any.
I doubt that they'll reverse split in September. The six month extension gives them until Feb of next year or two quarters to show substantial progress and to release positive contract wins. Furthermore, if you listened to the call, Allen alluded to possible revenues from Sprint in Q4 when answering the first analyst's questions. Should they officially announce that Sprint has commenced their long awaited expansion plans, their stock should get a significant boost in its price; this will affect the split ratio if it's still required.
Dragonwave is nearing the precipice of existence and its mettle will be tested, especially within the upcoming months.
JJ