They went the "Field of Dreams" strategy. Build it and they will come.
They got the size and now have set about cleaning it up. Given the loss making they have in some divisions, I see they probably have a fair amount of excess capacity in their structure. This is not a bad thing to have if you want growth. If they structure and clean it up right and just get the industry projected CAGR growth predicted of 20-30%, a lot of that growth will flow to the bottom line in theory, as the excess capacity becomes utilised.
As a said a while back, it was a bold strategy, but if it works, it works out real well. At least it is more fun than siting on your hands.
Cheers
VOR Price at posting:
17.5¢ Sentiment: Hold Disclosure: Held
