Bewhere Holdings Inc BEWFF

24Q3 Results analysis

[hrgoyal]

Quaterly Results Analysis
                 Product/   Service  Recurring    Total  Net Profit
                 Hardware                   Fee


22Q1    1.42M       135K      0.81M      2.37M      +16K
22Q2    1.78M        47K       0.90M      2.73M      +154K
22Q3    1.55M        57K       1.04M      2.65M      +216K
22Q4    1.10M        60K       1.12M      2.28M      +140K
23Q1    1.42M        58K       1.20M      2.68M      +141K
23Q2    1.76M        66K       1.26M      3.09M      +80K
23Q3    1.74M        50K       1.28M      3.07M      +284K
23Q4    1.81M        75K       1.33M      3.21M      +93K
24Q1    1.85M      119K       1.54M      3.50M      +210K
24Q2    2.52M      140K       1.66M      4.32M      +388K
24Q3    3.24M        75K       1.72M      5.03M      +335K
 
 
Some points to consider:

1. Gross margin for the three months ended September 30, 2024 was 28% which is lower by 13% compared to 41% for the same period of 2023. This is mainly due to the higher cost associated with freight. It is also due to the initial costs associated with the new product launch.
2. Operating expenses, which do not include share-based compensation expenses, for three months ended September 30, 2024 were $859,897, which is lower compared to $872,410 for the same period in 2023.
3. As the total revenue increases, so is the trade receivable, inventory & overdue payments. Trade receivable 4.95M 0n Sept 30, 2024 vs .192M on Dec. 31, 2023. Inventory 1.4M vs 0.85M & 90 days + overdue 462K vs 55K only.
4. Consulting fee & Salary/Wages of 202K & 478K in 24Q3 vs 141K & 386K in 23Q3

 
360K shares option @0.15c in money & expired in Aug 2025 and 875K @0.15-0.23 in money expire in May 2026
 
 
EPS in last 9 months about 1c.  My Projected EPS: 1.5c for full 2024

[gobyward]

seems to me the reduction in GM is related to the higher hardware sales this quarter, and to a lesser degree the smaller amount of service revenue which is probably close to 100% margin

[hrgoyal]

May be. Management should have provided more details. Lower service revenue can be a bigger contributory factor than freight.  Management should specify which new products they launched. 

[Sircivic]

I'm out for now. Might be back in if it hits in the 70s

[Bonk4491]

Great results. Same old. Good execution and growth. Market cap at 77 millions could easily see 200 millions market cap down the road and a sell at premium. Gotta be patient for that and a lot of you are not. Those complain about the gross margin shrinking may be should take a look at the buisness model. Recuring revenue is the most profitable but is not right now the main part of the revenu. If