I am ignoring financing and fair value movements. Sales of...

I am ignoring financing and fair value movements.

Sales of $5.2m, direct costs in the P&L of $3.4m or 65% of sales.

Direct costs are described in the report as "costs associated with the design, implementation and hardware cost of sales in China".

Assuming they remain linear with revenue, direct costs could be as much as $10m of $15m revenue forecast.

Underlying cost base for the half year (without direct costs) was $~13.7m, so would need revenue of half year revenue of $21m to even break even (or $10.5m a quarter). NET are a long way off that.

Any issues with my logic here?