Danier Leather Inc DLTOF

Results!

[SurfForWealth]

I have been out of this stock for a while now and after sifting through the results from last night I will just keep watching. Some observations; The reported Q3 is one of two Q's that they usually make money. The next 2 reporting Q's they always lose money. Question is how much will they lose this year? This impacts BV.... Trading for .91 times BV-positive Revenue up 11.5%, same store sales up 7%-positive This was the first time EPS increased QoQ in 6 Q's-positive Net margins very weak at 1.1% in their second strongest Q, clearly they increased rev's at the expense of margins-very negative While they made 8 cents compared to 7 cents last year, the 3 years previous they made 37, 54, 48 cents looking backwards so 8 cents really isn't very good-negative Inventory end of Q 3, down substantially from last year with more stores-positive Someone mentioned debt, this company is effectively debt free, you will see some level of seasonal short term borrowing leading into the winter as they build inventory levels for the peak season. You will notice that is gone now, cash is high and inventory is low at this end of season report. In summary they had a better Q in many ways but they are still struggling to make the profits they once made. The balance sheet is excellent. Cheers!!!