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Pivot Technology Solutions Inc. T.PTG

"Pivot Technology Solutions Inc offers IT solutions to businesses, government, education, and healthcare organizations. It operates through the following segments: ACS, ARC, ProSys, Sigma, TeraMach, Shared services. The company derives the maximum revenue from the ProSys segment which sells storage, server, and IT infrastructure consulting solutions to enterprises. Geographically, it derives majority revenue from the United States and also has a presence in other countries."


TSX:PTG - Post by User

Post by Detailoriented1on Sep 18, 2019 7:53am
259 Views
Post# 30138890

My Biggest Issue with Last Quarter

My Biggest Issue with Last Quarter
if you look at the press release you can see that 30 million was a one time sale to a non major client. So it wont repeat this quarter and it was likely at higher margins than much of the other sales as we all agree that the major clients are the ones that drive down pricing. This quarter could be another big drop in revenue without a new sale to replace that one. We are all anxiously waiting for Smart Edge to deploy and bring in revenue. If it is delayed or if the sales cycle is longer than anticipated then the dividend may be in jeopardy. If there was lots of cash they would be buying back shares like they did at this time last year but they are not. Hopefully all goes well but if sales are down significantly this quarter then they are unlikely to be profitable and there are likely to be covenants on their line of credit around profits and the payment of dividends, etc. That 30M disclosure in the last quarter has me worried . Am I wrong? GLTA
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