RE:RE:DoozerAgreed. In tandem with their lean affiliate focus, their #1 priority has to be to pay down remaining debt that has now been reduced to $2.72m; they must get that to $0. The 11% interest is a killer and any notion of a share buy-back is merely a mirage until their balance sheet improves by way of eliminating the debt and having a cash balance and flow to deploy $ for such purposes.
Expenses in the form of amortization of non-cash intangible assets was close to $5mil for the quarter, the bulk of which is attributable to customer relationships. So while they are showing a small net loss for the Q, when you factor in these are non-cash expenses it looks better. Still have $23.248m remaining on the books for the same that will continue to be amortorized and evaporate from our "assets" on a quarterly basis. Valuation of websites are also inflated IMO, which are also amortorized.
Going into Q3 and Q4, I'll be interested to see how their expenses are further reduced (excluding amortization of the above). CFO Graeme Moore previously said there would be a significant drop come Q3 given things like a chunk of tech staff are moving over to BETR as part of that deal. Salaries and wages were $3.232m for Q2, so will be interesting to see how much this drops in the quiet Q3 period before popping up a bit to support busy Q4&Q1 periods. Overall expenses should be managable to ensure we're cash flow positive (At least for Q4 and next Q1, Q2)...and hopefully pay off that remaining debt ASAP.