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  5. CTS: Gentlemen; Thoughts on the announced of a significant jump in cashflow and debt reduction? [Converge Technology Solutions Corp.]
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Q: Gentlemen;

Thoughts on the announced of a significant jump in cashflow and debt reduction?

This is a public question
Asked by Ronald on January 30, 2024
5i Research Answer:

4Q cash flow more than tripled as the company reduced costs and got inventories under control. Debt is down by $52M and now net debt is less than 1X cash flow. We still want to see margins and earnings improve, but in terms of reducing risk to shareholders this is a very significant change for the company and the stock is reacting nicely.