Ann: Sales surpass $10m annualised revenue in October, page-8

just so you know I was not being rude.

Expenses remain under control while cash expenditure rose by 22% vs prior quarter which is attributable to more than doubling our investments in Sales and Marketing activities in the period, including investing in the new Taki Mai brand and product development.

Advertising and marketing costs grew by 104% with considerable investments into development of the new Taki Mai brand for the USA falling in this quarter.

Return on advertising spend will go up as more people become aware of the product and where to buy them, so expect this to go down initially but then grind higher.

Manufacturing costs rose in line with sales, and this allowed the company to keep pace with growing demand and build around $200k in inventory over the quarter which has continued to meet our 90 days holding level target.

The Navua facility upgrades are underway and will run from October through to the new year. Continued production is possible during the upgrades, with old production lines to not be decommissioned while new lines are installed but we expect to sell down the overall inventory level in Q2 vs Q1 during the upgrade.

90-day inventory holding target, expect excess inventory above the 90 days to be sold off after the Navua facility upgrades.

Administration and corporate costs also rose in the quarter and were related to higher audit, legal and accounting costs.

A big chunk of this would be related to accounting and legal for the AGM resolutions, I believe there was one additional higher. We will save money now with James gone plus future savings due to the Board reshuffle will allow for new sales managers in the US and Oz, for a zero expense.

The company also committed $290k to plant equipment and prepayments related to the Navua facility upgrade in the quarter and to larger orders of packaging being prepaid.

One off commitment to long lead items.

Expenses are much less than $1m most likely closer to $600k. But as a growing business it is a rocky road. I just wanted to point it out as your post has a negative slant to it without any real justification.