RE:RE:RE:RE:TSO3 Inc has a 181 per cent upside, says Echelon WealthThat is what I heard as well: a majority of the 21 orders in Q4 came internally, which left the 200+ Getinge quotes fully intact for 2019.
Management mentioned that their team had scrubbed these Getinge orders thoroughly when they took over, and ALL of them represent "real" demand from the end customers. Obviously the probability of winning is based on the circumstances behind each quote. Like I said before: I like our chances given our value proposition and differentiation (basically offering everything a CSD manager would want--cost, throughput, ease of use, ability to sterilize things others cannot, litigation mitigation, less procedural/environmental headache vs. EtO), and that was reflected by our 100% winning record (up to mid Q4) so far. If I even assume we win 60-75% of these Getinge quotes alone, that would represent 120-150 units already in 2019.
We have 11 sales people now for 2019. Even if the new people need 6-9mths to ramp, it wouldn't be very difficult for this group to book 100+ orders this year (this represent <1 order/rep/month in general). At maturity, these reps should be able to do 20-25 orders/yr or more.
Add-in any GPO orders RR can drum up. These orders would be larger, and I would think he could do 30+ in 2019 via this route.
Lastly, the more we install and more noise we make (e.g.: VGH results), it will has a positive feedback loop on our brand (longevity, track record, real-life savings, etc.) As our sales process move from "push" to "pull", this will make the entire sales process easier and faster, and higher closing rates.
If you add up all the numbers above, I am expecting us to do more than the 200 that management threw out last year. I think the 200 is like a base number, and anything from GPO, push becomng pull, faster sales rep maturation would be "gravy" on top.
Finally, many of you might not realize the importance of getting to an installed base of 300--we would become cashflow neutral/positive by that time. If we did sell 200 units in 2019, this represent a 20% US market share. How much is a PROFITABLE company that has a 20% US low-temp share worth? (ASP has 40-45% share and sold for $2.7b--but they had a big installed base) A company at this stage of development will surely attract insitutional ownership as well...