Originally posted by towkay
Everyone is pressing the panic button this morning based on the receipts figure.
As far as the report is concern,
"
The lack of availability of IQbuds BOOST stock early in the reporting quarter and the ensuing ability to receive payment for product shipments then made in the latter part of the quarter, impacted these results."
This tells me that there was a misread of how much boost was accepted by the market and hence did not make enough of them for the market's need. When it was finally supplied to the customers, the receipts of that revenue could not make it to this Qtly. There is money to come but will be included into next qtrly receipts. Sales was there but timing in getting the money is out of this qtr. It would have calmed everyone if they could give an estimate of how much that portion of the receivable is.
Am I the only one drawing the wrong conclusion?? Pls discuss.
Fully in agreement
@towkay.
For people who read these threads and take note of what the quality posters put up here, this gap in receipts was alluded to by
@Rokewa in the lead up to the report. Not only did he/she make a prediction, but they went on to explain fully why it would occur and how you could read it from aligning the previous quarterlies and half yearly's.
That initial run of BOOSTS was 2,500. A reasonable quantity given sales volumes leading up to the point. A lot were sold at 40% discount to get stock out into the market, so margins were small and the "Full" income was not received. These were mostly sold directly from Nuheara.com so receipts were probably in the June qtr - hence the spike up to $1.3m in that qtr. Subsequent to that a quick capital raising (Farjoy) was completed to finance the next production run. These were manufactured and appear to be selling very well. Receipts for these though won't show until the December quarter.
There is the gap in receipts that's obvious in this report. Although it does seem that BOOSTS undercut the IQBuds sales.
For people worried about the outgoings. The report showed that LESS was spent than predicted in the previous quarterly for Research, Advertising, Staff, Admin and IP. However, MORE was spent on production! ($1m predicted, $1.2m spent) That augurs well for an indication of increased demand.
Another good slant is that the sales of BOOSTS that did take place during the quarter were at close to full margin, this should show up in the next half yearly as an improved gross profit.
While this poor receipts quarter was happening, Farjoy first invested $4.4m (at 9.5c) and then followed up with another $1.8m (at 8.25c). It doesn't appear that Farjoy were as worried about the poor quarter as many of the expert (Non-holders) on here.
Its also interesting to note that only 4.7m shares have been sold so far today - with no big parcels put up for sale. I expect the next time I report on Top Holders, that Top 20 and Top 50 will have increased again.
(20min delay)