full year report analysis, page-4

broadly SEN have outgoings etc of roughly $14m (based on last years numbers)

Stockdale has said he expects SEN to report a profit for 2008.

to achieve this SEN have to exceed $14m in revenues.

In FY 2007 they had revenues of roughly.....$11m

and further in the report Stockdale said he expected 'significant" revenue increases in FY 2008

to achieve $14m plus in 2008 over $11m in 2007 would be "significant" by any measure.

on the cash situation.

With expenses at $14m PA......or if you like roughly $3.5m per quarter.

SEN had at June 30......$3.263m

so you can see they have roughly one quarters of expenses in cash on hand.

as revenues generally lag expenses and delivery of product and or services by up to 90 days.....i think its fair to say cash flow as opposed to expenses is tight.

and why i am suggesting SEN will need to raise capital.

the margin is just too tight and i believe the Board are required to be prudent and allow for such an outcome.

the difficulty for SEN now is at what price it could get a placement away at!!!!!


hence why i said i would sit on the sidelines until risks are clearly identified and or revenues are clearly identified.