1.5 million in net earnings So 1.5 million in net earnings. But they anticipate better margins and earnings moving forward because of less covid restrictions and supply chain issues. But I'm wondering about the bigger picture. Are we heading for a recession? How bad will it get? I remember after 2008, things were so bad that so few people bought a new vehicle, that Ford's shares went from 11 dollars a share down to 90 cents. And GM needed financial help so they didn't go bankrupt. It just shows when times are tough you can postpone buying a new vehicle. You can forgo a holiday. So airlines suffer. You can put off buying an enormous number of new things. But food is something that can be safe. But not all business associated with food were safe. REstaurants sufferred pretty hard as people chose to eat at home more. Which meant that grocery stores did well. And so with this in mind, it seems like EWG should do fine in a real economic slowdown. For people still need to eat healthy food. And Amara and Sapientia and Belle Pulses is all about healthy economical food choices. The CEO Marc said their is strong global demand,for Belle Pulses that is also being intensified by the russian ukraine conflict that is disrupting the pulse supply overseas. So this part of the business will do just fine. But I'm just wondering if Amara's organic baby food could become a global product that ends up being sent to other countries. My reasoning is as follows: Ukraine and Russia are big suppliers of fertilizer. So if this gets cut off or reduced., then the crops of vegetables around the world could also be reduced. So the demand for healthy vegetables and fruits for babies could become much stronger. And Amara's patented process of dehydrating the fruits and vegetables so that the end product is very light, and has a very long shelf life makes it the ideal product to be one sent all over the world. Why couldn't Amara get a distributor in the middle east and Dubai and other countries that may import a huge amount of their vegetables? To ship fresh vegetables to these countries that have to import, must cost a lot of money. And the vegetables and fruits have a small window that they have to be used. And they have to be kept cool and stored properly. But Amara's products just seem to be the perfect solution for a world where different sources of vegetables and fruits get so reduced that countries start looking for other options especially for their precious children.
And as prices rise, the cost of meat becomes so high that people may choose meat substitutes even more so. Ones are doing so right now for health reasons. But high prices may move many others to choose meat substitutes. If so, then this also benefits companies like Sapientia and Belle Pulses.
So I could be wrong, but it seems that the 3 companies that EWG is into should do fine during an economic downturn. Time will tell.