RE:RE:RE:RE:14 months - 217 slots to 2200+ slot machines- in 24 casino's
"but if the new acquisitions have the same 40% profit margin as the Windy Hill then we'll be alright"
"Windy Hill's revenue and net income for the period from January 1, 2014 to the date of acquisition on May 9, 2014 is $613,347 and $237,696 respectively, which is excluded from the Company's results of operations."
Biggerr, this is part of the problem I was speaking of. Those Windy Hill Revenues and Earnings that he spoke of prior to the acquisition never appeared on your financial report after the acquisition.
He said that Windy Hill would be included in the report for the 3rd quarter (period ending Sept 30). Lets compare the report before and the report after and you tell me where the Windy Hills positive contribution is.
Since the Q2 bottom line (Net earnings) is muddied with the one time costs I will just compare Revenue, EBITDA and Operating Income in order to be fair. Numbers stated are in thousand's of dollars.
For the 3 months ending June 30 Sept 30 Difference
Revenue 419 616 + 197
EBITDA -607 -743 - 136
Operating Income - 653 -1120 - 467
If we assume that the pre-existing business did not vary to any great degree from Q2 to Q3 then we can extrapolate that Windy Hills only contributed $197,000 in revenues for the first reporting quarter and in turn lost $136,000 in EBITDA and $467,000 in operating income on its own. That is a far cry from what you were expecting, wasn't it? The Windy Hills after you acquired it is losing money, not making it.