RE:Conference CallThese Q3 numbers and the outlook are not good enough to warrant a materially higher offer. A few pennies perhaps but all-in-all these Q3 numbers came in a bit dissapointing and it would appear that Q4 is no longer the uptick quarter management had originally expected. It was a positive to see defered revenue increase by $2.7mm which I believe reflects the upfront settlement from the AgLeader litigation. But without this contribution, cash would have declined to near concerning levels unless an immidiate bounce in the business was just around the corner. Considering management's comments about additional delayed orders in 2022 this would appear to NOT be the case. Claas remains AWOL as as reflected in continued anemic EMEA sales and its unclear what if any future business the company may have with them. Once again management has over promissed and under delivered and the BOD has simply had enough and thrown in the towel as I expected they would should a cash flow positive business not be imminiant by end of 2021.
The very strategy that saw AJX become 100% concentrated on Ag. is what has also resulted in the business becoming trapped in the Ag OEM log jam which is failing to deliver results. It was a gamble and it hasn't paid off. OEMs are free to delay orders as long as they like because at the end of the day their production is falling as well. In the meantime AJX is just burning cash and destroying shareholder value as a stand alone company. I don't think there is any better alternative at this point and as such I'll be voting in favor of the Kubota offer. Game over.