AJX 0.00% 1.0¢ alexium international group limited

General discussion, page-905

  1. 34,916 Posts.
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    I think generally speaking the market is still shell-shocked at what we investors were led to believe and what was actually transpiring in the background. Yes we were now aware of the historical issues of the company getting revenues at ANY cost to make the growth look spectacular. Then we were comforted to know that they had identified this issue and were weeding out all the unprofitable contracts and continually told how margins were improving every month towards that 30-40% mark. Then we were out of the blue hit with the admission that margins were being pressured by inferior quality products. That was a big hit. It will take time to recover. I believe the company is still on the right track, even the best businesses hit significant barriers in their growth, it's how the company responds to them that is most important. The announcement was actually very good but it is understandable after so many hits over the last couple of years that investors are a bit once bitten, twice shy atm.
 
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