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Gennum Corporation T.GND



TSX:GND - Post by User

Post by bronteon Feb 08, 2009 6:05pm
901 Views
Post# 15762399

Could we lose money in 09?

Could we lose money in 09?If you read between the lines I think GND mgt is saying that they expect revenue to decline about 25% in 2009.
Given the large margin % that GND has, that translates into about a hit of $20 million or so to the bottom line. I don't get a sense they are actually reducing expenses, just maintaining them at 2008 levels. If income from continuing operations was $20 million in 2008, the reduction in 2009 puts us close to breakeven. Perhaps that explains why we are priced where we are.
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