TSXV:CTW - Post Discussion
Post by
j_harbaugh on May 24, 2012 12:00am
Amazing report
Well above my expectations. If you review my prior posts I expected a $3M burn. Instead we have less than $2M. Cash still got chopped in half but inventory went way up meaning the cost of sales for future shipments will come out of inventory not cash. With Sanmina, they might just have enough to squeak by but if they don't it certainly won't be more than a $5M cash infusion.
Revenue is 200K, cost of sales 151K. About a 25% margin, in line with what they were saying last conference call. If we assume a 25% margin and a base G&A cost of $1.5M, breakeven would be at $6M of sales a quarter.
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