Post by
nozzpack on Jun 16, 2021 9:49am
Likely Content of Tommorows Presentation
I really dont know but obviouslly they would not be promoting the company in the absence of a positive outlook.
I note that revenue growth since Q3 of 2020 has averaged 4.5 % per quarter.
Applying that to the remaining quarters of 2021 and we end up with a Q4 /21 revenue of over $71 million.
Extra expenses in Q1/21 boosted SGA above late 2020 observations.
These expenses can be expected to recede as we progress through 2021.
Further, a substantial restructuring cost of $3.4 million was taken in the first quarter of 2021.
These expensed also should subside for the remainder of 2021.
Net cash gains arising out of the reduction of these costs for the remaining 3 quarters along with increasing revenues should provide significant extra funds to reduce LT debt in 2021.
A quick and dirty calculation shows extra cash in the $5 m to $10 m range.
Taken together, these trends suggest that LT debt at exit 2021 could be below $20 million.
We must also not forget that as the share price rises, equity could be used late in 2021 to extirpate debt entirely.
But, as growth is a primary objective of management, other develoments could activate an earlier demiose of the debt..