Kontrol Technologies Corp N.KNR

Bad day for KNR

[canyousayiii]

The damage to the credibility will take more time to shake off than the realization of how poor the BioCloud demand is at this point. Folk keep hoping that it is early to make such a forecast and there will be some contracts that will blow this forecast. I would hope so too, except that would be a materially different picture than they painted today and unfortunately exceeding expectations they put out today would be problematic. So, how could they put out a forecast for the whole year so early? I don't know...but they did, without any wiggle room. I don't get it because I can see no upside to that wisdom but only downside. Downside if they materially come under that forecast, and downside if they materially exceed it. I am disappointed to reach my own conclusion that they are really not good at, at least, some important aspects of running a publicly traded company and that I cannot read anything into any future communication that may be cryptic or subject to multiple interpretations. KNR for me has turned from an investment to just another gamble. Thought they were different. Very disappointing. It would be nice if the CEO would organize a conference call and face the music with clear answers to what would be nothing but tough questions as a start to rebuilding any level of trust.

[BCdude]

I agree. A conference call where Paul is forced to take questions from investors would be most welcome. Perhaps when the year-end financials are released? We'll see how transparent he is. History suggests he might not add much colour. Regarding the guidance for 2021, he used the word "visibility" to sales of biocloud in the $10-11 million range. To me that seems like a carefully

[canyousayiii]

I agree with you. And if you are still onboarding diatributors and will likely continue, how do you prejudge their rate of success? I dont know. I know of forward looking disclaimers but they can't amount to a complete disregard of the forecast? Can they? If they can, why not pump it up? Everyone would be happier with a higher share price, no, and then give yourself a longer fighting chance

[BCdude]

I agree with most of what you say, Canyousay, but I'm going to disagree with you on this one. Reading between the lines, Paul was probably waiting for something newsworthy to share and has been getting poked by investors to update the situation. He finally did today, and gave the numbers he's reasonably confident in achieving. I think that's what he had to do. I hate CEOs that are all

[canyousayiii]

BCdude, if that was the case I would have said something like this: "The commercialization and marketing for the BioCloud is in its early stages. At this time we can reasonably expect to achieve at least $10 million in sales this fiscal year and will provide a revised forecast later in the year as sales and marketing activities continue including onboarding of additional distributors."

[BCdude]

Totally agree. The wording could have been much better, even if the content was much the same. They should hire you as their PR person. :)

[bcman79]

Excellent discussion gentlemen. You both make great points. Can't argue against anything said. Question is do you still hold shares? This is the delema I'm in. Any thoughts?

[canyousayiii]

I even bought some yesterday and I've never flipped out of a stock quickly. I am figuring at this point how worse BC numbers may get. Can't see less units and the only worse news would be that it does not work in real life. It is a big "only" but now we would be talking about incompetence on behalf of a number of parties...based on what we have been told, and assumed. Uuughhh

[BCdude]

Hey bcman79, Here's a post I wrote earlier in the day that dissects how I've responded. I actually sold more shares before market close, leaving me with about 25% of my former position. This is only my opinion and approach, and others obviously may feel differently. Good luck! THE GOOD, THE BAD, AND THE UGLY Well, it's fair to say that wasn't the news release we'd been

[pointer]

This post has been removed in accordance with Community Policy

[Israel1948]

The news release was either a closed case or an open book...if there is massive sales than its being kept tight lipped. So according to todays news...we have nothing that will move the sp. Because of the silence our imaginations can takeovet our thoughts....some maybe thinking that KNR is trying to force us to sell...giving an opportunity for friends to buy in at lower prices. That sort of thing

[canyousayiii]

Sure. If a lawsuit against management and a prospect of going to jail is worth the risk to get friends to buy in under $2.50 as opposed to $3.00 is worth taking. If they have a big contract in the works that they can't talk about, they better issue a press release tomorrow to say that the forecast they issued today should not be relied upon and give some general comments. I know they have the

[Mattboy]

What confuses me in the need and desire to increase production capabilities to 20,000 per month. Why bother doing this now if you don't forecast selling that many Biocloud units for years. That number is what got people hooked and caused them to stay in for a big NR that seems like now will never come.