MTM is not going to break even any time soon!.......Sales in the Telecom segment in the third quarter of fiscal 2006 decreased by $5.1 million to $6.1 million, or 46% compared to the third quarter of fiscal 2005. This decrease would have been more substantial were it not for the revenue generated by the recently-acquired power amplifier products. The $5.1 million in sales decrease is attributable to a large OEM exiting the CDMA market as well as another customer's declining market share in the North American GSM market space. In future quarters, the Company
anticipates being able to compensate for this revenue shortfall by sales of products derived from its LMR technology platform.........
So....reading this statment and extrapolating the numbers...They say that they are banking on LMR sales!!!!! But, with a gross margin of 4.5% on LMR, they will need an additional $62,000,000+ in quarterly sales to break even with the current $2,800,000 loss!!!!
Even if the gross margin was 29.1% as per the other side, they still need $9,600,000 MORE QUARTERLY REVENUE to break even!!!!!!!!!!!!!!!!!!!!