nuh media thread, page-12439

YAY, another sale! Announcement time, 4,601 buds sold, new milestone!!



at their current sales rate of 920 a month (4,600 units in 5months per their announcement on 3rd June 2020) this company is nowhere near breaking even, let alone making a profit.

So one sale does not bring me any increased confidence in managements ability to turn this ship around. Fan club is gonna fan club no matter what happens, blame COVID, blame the weather, blame the doom and gloom downrampers, but the facts speak loudly and clearly.

Expenses on the 31 Dec 19 half year report totaled 8.173 million. (lets not look at rebates that may or may not be granted again)
Assuming the same rate of expenses for this half, they need to be selling 3,000 A MONTH at $450 to equal their expenses.
Then you have to take into account the cost of manufacture. Say they make a generous 50% margin.
now they need to be selling 6,000 A MONTH to be breaking even. and they havent sold 6,000 in 5 months.

The product has potential, i wont argue that. its the reason i bought shares so long ago. From all indications it is considerably better than the competition. But somehow the execution to get consumers to purchase this fantastic product just hasn't happened.

Until those sales are many, many times their current rate, this stock is not a buy (even if the buds are).