Post by zalmonellaon Jul 30, 2021 2:02am
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Post# 33630820
Turnaround? We'll see...
Turnaround? We'll see...Well, the earnings call today noted they punted Sean Kirk, VP of Manufacturing after 18 years. Potentially that should ahve been done long ago, but one has to recognize EBS has been a low-cost manufacturer using slave labour for a long time, so this sudden Damascus Road conversion has to show someone to sacrifice. Kirk may have done nothign wrong, and may have agitated for more spending in the past - the fact that he's out means he was selected as the sacrificial goat. That's all.
That means EBS has fully bought into the FDA programme of full recording of data, full testing and proper employee records., among other things. That means profits will be lower in succeeding quarters, til they recover their equilibrium, and start to crank out their other profit centres. No question, they're a low cost producer - over time, that will produce results.
Just maybe not this year.....