McCoy Global Inc T.MCB

Maybe this will HELP set everyone straight???

[Angles]

Hi everyone,

Okay, I listened to the Planet MicroCap Showcase presentation of yesterday again and took as many good notes as I could. Here is what I observed and am reporting. Even though it may be slightly different from some others' postings, I believe it to be accurate and correct. I do like most that what Jim said and think it will be great for MCB shareholders. Please read in detail and enjoy.

MCB has been developing this Smart line of new products for over six years at a very large cost, they are having "tremendous success" currently, there is the potential for saving the TRS industry over $1 billion dollars in labour costs (not to mention the huge added safety factor), MCB is not going to get all of this market but will receive a "GOOD SHARE", MCB sells to over 50 countries each and every year, there are lots of competition but only McCoy Global has a full suite of products to offer (with many competitors just having one enhanced smart type product, and only one other company having just a Smart CRT, but none with more than two different products - all inferior to McCoy Global's), and McCoy Global are the FIRST to market, he also talked about the higher cost of entry into this marketplace, they do not record revenue till the actual order ships, sometimes a few orders miss the quarter deadline in billing (that is why they have such a big backlog & also due to limited inventory supply chain components, but growing), then Jim explained about profit margins, lots of competition and low margins in the LEGACY PRODUCTS which used to be the bulk of their sales, now their new technology products are the largest area of their operation with much higher & greater margins (and increasing) and the fastest growing segment of their business, plus each quarter they also do about 20% of their total sales volume in replacement parts, consumables and service - all at excellent margins, by 2025 they should release "FULL COMMERCIALIZATION" of the complete Smart line of products which again would be first to market and should produce a nice jump in sales not only in 2025 but afterwards as well, then he talked about the FMS sales or deliveries actually - to me I thought he said their budget was to deliver 40 units in 2023 (not sure what they really delivered?) and that they would actually deliver just under 100 units in 2024 YE - so a 2 1/2 times minimum increase budget over budget or even higher when compared year over year from what was actually delivered in 2023??, then I thought he said they were trying to complete three new products in 2024??? - with no guarantees but hopeful (I wish he added more colour here but this is another super positive statement in my opinion), he basically then said revenues are set to continuing growing and grow good with added margins, as to dividends and share buybacks he said they try to "manage shareholder returns" - said started the dividend reinstatement program two years ago at one penny per quarter - then doubled it to two cents a quarter less than a year ago and would not say when but have not increased it YET (sounds like he is confident the dividend is only going to keep increasing - I remember him saying some time ago he wanted it to return to what it once was previously - $0.05 per quarter) - and have done two share buyback programs and that those would probably continue but will be managed by MCB as best as possible given excess cash and capital needs, service and training are becoming a much higher part of the business, he quoted how high accidents are with some firms and said this could hinder them from getting work because a lot of oil companies now require drillers to submit their safety records along with their quotes before getting any business - MCB's Smart products are only going to help these firms and he has heard from most of the big drillers about switching to MCB's products (perhaps that is why the North American land market was MCB's largest segment last year, as opposed to normally the Eastern Hemisphere which was always the largest before??) - excellent for future and growth, he did reiterate that they are still the only full line and service TRS supplier in the Eastern part of the world with a presence there, then he talked about MCB's selling prices and said they have raised prices twice (and not a little bit but decent raises) last year and are selling their new systems "on value" which only increases margins and profits - excellent again, then he made the comment about trying to become the Pason Systems for the TRS industry - which meant to me dominant market share!!!, and finally he closed with saying he sees a need and strong demand for all of MCB's products in the world for the next 10 - 15 years regardless of what happens in world events.

I hope this helps. I hope it doesn't confuse more as everyone seems to have a slightly different interpretation of Jim's remarks. But overall, I like everything Jim did say and "with the attitude and confidence" in which he said it (much stronger than previous sessions). I think it is going to work out great for all of us current shareholders. We have already seen a slight rise in the stock price, even given the extremely low oil price (which Jim said should not influence buying decisions as it prevoiusly might have). Plus, the best part has been on how the market has easily asorbed the large block offerings and still kept moving upwards. I strongly believe everything including their financials are only going to get much better. My own opinion based upon my research and found out facts, which I believe accurate and true. Good luck to all current and future MCB shareholders. I think we are going to do GREAT!

Angles

[Possibleidiot01]

Angles , I appreciate the time you took to write this . ; you might find my next post of interest. PI01