Well this is a very nice announcement. A very large sale and ongoing sales from existing customers.
Gross revenue for the initial 2,500 units is forecast to be approximately $750,000.This means that when you look at the overall expected order of 30,000 units this is expected to become a $9M sale.
It also means that in the next 18 months subscriptions should be over 60,000. This also leads us to the strong sales pipeline starts converting and we path towards profitability.
Surely this announcement means that TAL must start to get noticed resulting in some positive share price action?
- Good sales growth from both new and existing customers.
- Starting to get some scale with subscriptions.
- The last 3 quarterlies have shown that the company is at breakeven and verging on profit and now we can expect to start seeing ongoing profitability.
It's been a long road but I think this should be the start of some big things for TAL.
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