PNV - Banter and General Comments, page-10558

I've asked you non holders before several times now, but none of you seem to be able to answer my question...

They have a large pile of cash, around $47 million. They have three options as to how this cash can be used:

1) They leave it in a bank account to generate a negative real rate of return
2) They distribute it to shareholders (e.g. dividends)
3) They invest it into growth initiatives

Now option 1 is obviously a bad strategy. Option 2 could be effective given the price is so low, but I don't think anyone is really investing in this company to get dividends. Not yet at least. That leaves option 3, invest in growth. This is exactly what they are doing. They are booking losses due to investing in expansion, and will continue to do so until they need to replenish their coffers. Once the cash is used up, then they will focus on profitability. This strategy of focusing on growth and incurring net losses is the best use of cash. They won't need to raise in the future to fund this strategy, and when cash is depleted they will have a sufficiently large amount of the market to become very profitable and quickly replenish their cash reserves.

But you lot are so smart, so what should they be doing with this cash instead?