CFO per CC-No inc and Neg. EPS guided for next two years? Newbie here and thought about deploying cash to invest in Quipt, but see during the CC, that the CFO said they are guiding for zero to negative EPS for the next two years. (see quote per CC question below.)
I have read before they were suppose to reach scale once they hit 130 mil US revenue? Will they ever be profitable? Also noticed some analyists downgraded Quipt and also adjusted their projections for negative EPS for the next two years. I also noticed the company no longer posts analyist reports on its investor site. Why not and any thoughts about these issues?
Per CC...
Michael Freeman
We've noticed from ‘22 to ‘23 is the shift from sort of positive to negative EPS. And I wonder if you provide sort of a rough outlook for 2024 in respect to earnings?
Hardik Mehta
Couple of one-time items back in 2022. The biggest one was related to forgiveness of the government grants that companies like us received through covid. In terms of 2023 the factors against us, is certainly the higher interest rate, is depressing the margins. But as far as going into future, I would say we would be, we would be either neutral or slightly negative, and most of that will be continued, will attributed towards higher depreciation, amortization and interest expenses that is expected at least in the next two years.