Qsolar Ltd. QSLRF

re: dd Mercurysmith...

[mzsmith]

First this BB continues to be a POS... can edit titles on replies..... whose in charge of this project disaster!!

Back to Mercury's post:

I must admit the drop off from the torrid pace of updates over the past year is dissappointing. However, I do believe there is good reason. The EU tariff fight screwed us in two big ways. First we lost orders that would have accounted for the entire year's expected orders... and 2nd the sales push has had to take a 180 degree about face as for all intents and purposes the EU is off limits to small Chinese manufacturers like Q. The sales cycle is fairly long in the PV world... especially when you are trying to build partnerships instead of one off small installations. So it takes time to change momentum and establish new relationships. The "good" news as far as I'm concerned is that the EU tariff dispute happend BEFORE the Intersolar events in Germany and San Francisco so Q could focus on establishing new relationships/opportunities in high margin margins outside of the EU. By all accounts they have done this... but the sales cycle still takes time to take hold.

It does appear that the US is now a sales target which is very different from the previous sales strategy. This is just one indication of the change of direction. I also believe you may be correct about your acertian that the US pilot projects although very interesting may hinge on getting the UL. The UL takes time to obtain and add to that new test protocols for the unique properties of Q's panels etc. It is encouraging that Q has improved their internal testing with Life Cycle testing which will help ensure that they will be successful obtaining the UL or at least they will be successful for this phase of UL testing.

Another encouraging sign is the pilot projects were paid for up front... which is different from previous pilot projects where Q subsidized the effort. I think we can deduce that the US client(s) are very interested in Q's products... and/or have deep pockets. Either is good. Both would be great!
 
I would have liked to have a more "info" update letting the shareholders know how the Intersolar events went and plans/tactics going forward, but nothing as of yet. I suspect we will not see anything as there is no substantive change and no reporting requirement to inform investors of strategy/sales changes/progress. This kind of thing you might get with a phone call to IR.

As for the share price... I agree with you that it is a good entry point. Mr. Xie's purchase was at 80cts... so anything below this is an excellent price IMHO.  I suspect if/when we see some solid news that the company has successfully transitioned to the new sales strategy either through sales order, partnership or other... the share price will bounce nicely off this good base.

Not many sellers... it won't take much to blow through them on news. I'm not planning on selling any of my shares anytime soon and would certainly snap up shares if they are there for the taking on the event of substantive news.

GLTA