Q: Your take on the fourth quarter results?
5i Research Answer:
EPS of (nil) missed estimated of 2c; revenue was $7.5M, down 50% from the prior year. Changes to strategy impacted sales, but this was previously disclosed. Margin fell to 33.7% from 41%. Expenses did fall, but only by 7%. EBITDA was barely break even ($0.1M) vs $3.2M in the prior year. The company has about %18M cash, but with its small size and a 50% drop in sales investors are going to give this one a wide berth for some time until sales can recover.