Gatekeeper Systems Inc V.GSI

Inventory?

[1bananaman]

Back a couple years in pandemic time, DD made a point of letting us know that he had purchased large inventory, about 10 mil I recollect, to be ready for shipping issues from the far east. Eventually sold product, but it would be really nice if they were prepared for change. After all, if they were prepared it would not make a difference.It would just take extra time to move inventory, however it may effect the bottom line of profit this Q and year with added inventory. A news release regarding this and the data center, since we are 6 weeks from release,would be appreciated and probably bump the SP with little heavy lifting. GLTA LONGS!

[Ciao]

A lot of companies are buying inventory in advance of potential tarrifs. Adding inventory does not affect the bottom line. What is horrific is that a lot of Americans fell for the big lie that China will pay for the tarrifs. "When you buy more inventory, the purchase value is added into your assets (found on the Balance Sheet), not into the P&L, as it would be with periodic inventory

[kidl2]

If tariffs materialize, it won’t just affect GSI. Sure, precautions can be taken but longer term the additional cost (tariffs or more expensive domestic production) will be passed on to the end user.