Smuggler,I am not disagreeing with you but I would be interested...

Smuggler,

I am not disagreeing with you but I would be interested to know how you calculated that SEN “…only has enough monies for roughly one quarter’s worth of expenses”.

For what its worth, I have only skimmed the report but at first glance I would say that the results could have been a lot worse.
* The final result (NPBT $14.2M) was better than the expectation set in the ASX announcement of 9 July.
* the Company still has $3.2M cash in the bank which was delivered (in part) by good working capital management (debtors down/creditors up).
* Revenues were lousy (as expected) with product sales of just $2.968M - down a whopping 74% over the $11.327M generated in 2006.
* The company has trimmed overheads by $1.2M (to circa $3.5M) and has no debt.
* The Services business grew - generating revenues of $7.6M and contributing $2.1 to earnings.

From the report…
“…He (Mr Stockdale) said Senetas was generating new revenues from maintenance support now sold to users of the CypherNet platform - which includes SafeNet’s licensed high speed encryptor technology. This is already flowing to Senetas and will deliver significant revenue during 2008. Mr Stockdale said the Board expected sales revenue to grow throughout the year, with the company returning a profit FY2008.”

A glimmer of light? perhaps - but we all know that Senetas’ management has been guilty of gross exaggeration in the past. Does “significant” mean “SIGNIFICANT”?

In any case, there is no suggestion of imminent doom but the Company needs to get much (much, much) more of its product out the door in 2008.

Please DYOR