is it worth over 80m, page-4

In this new age of Glasnost by JDB it is fairly easy IMO to work out what the full year result will be for SEN.

The annoucement on 3/5/07 probably lists all their product sales expected this half. So assuming the following we can get expected revenue for product sales.

20 x 100Mbps Ethernet 20 x $10,000 = 200,000
2 x 1Gbps Ethernet 2 x $50,000 = 100,000

5 x SONET 5 x $25,000 = 125,000

16 x Link 16 x $5,000 = 80,000
2 x 100 Mbps 2 x $10,000 = 20,000

Total = $525,000

Product sales for the first half were $567,466 so revenue from product for the full year is just over $1M. A pathetic result. Also the margin in the first half was terrible so SEN are not making any money from product sales.

The services side of the business seems to be going well but it would be a huge increase in this half to have any effect on the bottom line. JDB would certainly have told us if it was.

So the full year result has to be bad - IMO at least a loss of over $3M. Then will Infoprotect have to be written off - $9.6M resulting in a $13M loss? IMO that deal would have made Bernie Ecclestone of Enron proud.

So if SEN have world leading product how come their sales are so low? IMO they don't have world leading products and if they do it isn't needed by anyone. 10 cents may be optimistic.

No wonder the big guys are jumping out.