RE:RE:Q3 is out and it’s not great. Assuming revenues can rebound I see $11M in cost of revenue savings will make it to gross profit and bottom (97,204 - 86,445) . I have guesstimated the split between fixed costs and variable costs.
| Qtr ending | Total Cost of rev | Revenue | Fixed cost of rev | Variable cost of rev |
| Future | 86,445 | 129,000 | 50,000 | 36,445 |
| Q3 24 | 80,717 | 108,726 | 50,000 | 30,717 |
| Q2 24 | 91,417 | 125,751 | 55,890 | 35,527 |
| Q1 24 | 91,943 | 129,254 | 55,426 | 36,517 |
| Q4 23 | 97,204 | 129,964 | 60,487 | 36,717 |
| Q3 23 | 92,380 | 122,721 | 57,709 | 34,671 |
| Q2 23 | 86,926 | 118,963 | 53,317 | 33,609 |
| Q1 23 | 52,442 | 76,077 | 30,949 | 21,493 |
| Q4 22 | 49,491 | 73,045 | 28,855 | 20,636 |
lscfa wrote: Mgmt is full of it. So far, SG&A has decreased $3M/qtr or $12M/yr. The remaining $18M - $23M is suppose to come from lower cost of goods but that only works if the revenue level stays the same. Lower revenues wipes out lower cogs and gross profit suffers.
Aug 7/24 - "Through these actions, we remain on track to realize annualized post-acquisition synergies of $30-35 million which we expect to substantially achieve prior to the end of this fiscal year.”