QIS UpdateQIS Capital: Another very solid revenue month for Virtutone Networks. Since its financials were reported a few weeks ago, Virtutone has been hit hard by significant selling pressure. Part of this likely came from a newsletter writer who wrote a scathing report of the company and its management. Over the last few days, we have spoken with a number of investors who are now looking at this as a buying opportunity due to the significant price drop. Management has further indicated that expenses were high in Q1 due to some large trade show expenses . We should also see up to a 30% increase in revenues for Q2 so the keys are for management to keep expenses under control and increase margins which have been languishing between 3% and 3.5%. It also appears that the company needs to gain access to additional capital to finance its growth. This is another key component that many investors are watching for. The second quarter ends July 31 with results expected to be released by the end of September.