RE:RE:Anyone listen to the conference call?Thanks for the feedback, ahs. I will look for an archived version of the conference call later tonight so I can listen to the whole thing. I just realized the 500 M run rate is in $CAD which means Mr. Fernandes needs to hit about $96M USD in Q4 (based on today's exchange rates), which is actually quite achievable considering Q4 is historically their strongest quarter. Maybe this pricing adjustment on their H3 cameras was made just so Mr. Fernandes can hit his target.
For what is worth, Axis' Q2 results show a year-over-year revenue increase of 9%, so Avigilon's revenues are growing twice as fast as one of their main competitors. Aviglon's operating margins are now identical to that of Axis. The reason why Axis turned a nice profit while Avigilon lost money this quarter is that Axis' expenses (as a percentage of revenue) is far less than Avigilon's. Avigilon's expenses has really accelerated over the past few quarters presumably because they are building a new plant and renovating a large building in downtown Vancouver plus they are hiring people (current head count of over 1000 employees) to populate these new structures. The number of employees is really staggering when you consider Axis has 20x the revenues of Avigilon but has only about twice the number of employees (2139 as of end of 2015). Why is Avigilon's employee count so high?