RE:Yes they need more workers but.... Some thoughts to share with you.
LTE is expecting revenues of $10M for Q4 2020. This is a significant improvement from last quarter. An increase of 56% quarter over quarter. Compared to last year this is an increase of over 700%. The company is on the right trajectory and will only see improvement to its revenues and margins.
For Q1 2021, the guidance given was $15M. I think your right in questioning how much revenue they can recognize/how much work they can complete given the recent worsening conditions in the UK. But they have been working all through this pandemic. I may be wrong but I don't think the recent UK lockdowns really changed anything for LTE. Maybe they come in at 13m or 14m because of enployee sickness but that doesn't change the growth trajectory of this company.
Also for Q1 2021, Carlos was expecting to be cash flow positive. Being cash flow positive will mean that the risk of dilution will no longer exist. With the $4.6 million raised recently at 65 cents, the company is in a strong financial position. I'm very comfortable owning this stock because of that and knowing how significant revenues are growing.
One final thought, based on the companies current workforce, it can produce $20m worth of revenue/worthy of work each quarter. I expect that this could be achieved by Q2 or Q3 2021. I think at those revenue levels the company will produce operating profits. At 10% profit margin, we could see upwards of $2m profit per quarter.
What do you think?