One of the better people they managed to snag is Harry Simeonidis. (Is it me or are all the senior people apparently of Greek descent??)
Harry runs Farmaforce, which is a simple contract salesforce business. Nothing special - outsourcing the usual things any drug company does, they just hire out their team to do merchandising, detailing, launches...predominantly to smaller organisations. Income in 2018 increased substantially to over $11m.
Harry may, or may not, be the driver behind this 67% increase in topline $ (Jimena was in this role for a long time), but he had a great career in GE Healthcare - not selling product mind you. GE's real revenues come from their service contracts, the bit he was in and eventually ran. He did lead one of their product business groups for a while though. In short, he's got pedigree.
Last year he was on $260k+super+car+bonus and additional directors fees etc for a $440k package. Thats not unreasonable for an $11m t/o. This year its $192k+super+car+bonus.
But, the revenues include $1.1m from related parties (net $10m sales) against a COGS of over $9m. They still reported a $700k loss for the year. Given they are a services business, they should have a reasonable margin built into their model (to account for ebbs and flows of customer demand)? Seems to be no evidence of economies of scale. Are they undercutting competitors for market share?.
IQ3 Price at posting:
17.5¢ Sentiment: None Disclosure: Not Held
