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Ann: December Quarterly 4C Review (Q2FY21), page-77

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McKhenry

5,444 Posts.

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30/01/21

19:00

Post #: 50574018
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Originally posted by crazydave1942: ↑

It's interesting most people are worried about sales.

I would say sales or more sales isn't that important.

The company might make more sales but if the loss continues that is at zero gain to the company.

To be honest i have no idea why after doing all these things DM is saying he has done the burn is significant.

To me it is more a combination of issues.

I have no idea on the cash burn issues, meaning why Buddy is burning the house down.

I look at the issue as a cash burn issue, i think sales numbers as such are already amazing. 40m a year or even 30 odd million is still lots of sales.

Having more Manufacturing companies is great but is that going to fix it I honestly don't think so. Holdtight and these dudes are fixated on sales and manufacturing but if the middle part is broken both those things don't help.

I don't think the company can grow properly with the wait for cash like it is and the how long people wait to get the product. Yes that will be reduced with better manufacturing but even months of wait is toooooo long. My mate ordered something last night online he will recieve it early next week professional and beautiful. Order from LIFX and who knows what will happen might have no stock, or needing to wait 6 weeks to get it from China and it could be something else. Now SH are happy to wait for the product as we want to try it. If you look at the customer side of things, meaning an actual customer. If I get a Christmas bonus and then order online I want my present in one or two weeks not months.

I know you know DM. This stock has helped me understand that some people are masters at selling the broken down car but not the million $$$ house. DM is a master at it, i almost would say top 5 CEO at selling the broken down car on the ASX. I sometimes say to myself all this year with his commentary on things, this could go crazy. Then i tell myself or train myself to think no wait for the 4c this is what he does. Like i said since waiting for a 4C he has shown his words have no bite. If his past is anything to go by you would say watch out for this man. This is an issue as the man can't be trusted, that is true. So i do understand the hype because that is what he does. Just remember as well this man isn't a poor man and Buddy is his money machine. The reason this Is important is because most investors on this forum follow DM's words like a cult figure therefore blinded to look at the company just what he is saying.

Now if Buddy can fix the burn issue everyone will be happy investor. If Buddy can't fix the burn but to get to profit need to make 100m plus sales that is unsustainable IMO and the company will disappear.

Simply put.

1. BUDDY already has lots of sales.
2. DM loves to talk believe what you want.
3. Administration or fix the burn issue.
4. Wait for cash is still an issue, very big one.
5. Stop burning the house down Buddy.

Take what you want from that.

Expand

Crazy, take a breather mate for every sale let's say the company makes 10, 7 of that goes in cogs or manufacturing. But the company costs 30k to run per year.

with the above analogy the company needs to make 100k per year to be neutral and more to be profitable.

Currently we are only making 50k worth of sales and losing cash, so sales are paramount for Bud, they are literally life or death. If we had have fulfilled all orders we would have turned a profit this quarter or next.

So our ability to produce and sell are all that matters.

BUD Price at posting: 5.5¢ Sentiment: Buy Disclosure: Held
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