TZL 8.00% 2.3¢ tz limited

shareholder update out ! pdt to be sold, page-19

  1. 4,727 Posts.
    lightbulb Created with Sketch. 22
    I disagree.

    PDT has been time consuming and being a fee for service business has a very tight operating margin. Without a solid pipeline it becomes marginal.

    I would prefer we sell (at the right price) and pay a design/prototype fee as we require it....it would still be smallish cost overall.

    If we then right size TZL (no need for massive corporate structure) our SG&A costs should dramatically reduce (especially our fixed costs) which means when we are making 50% margin the potential for profit grows exponentially as revenue increases.

    The key will be what they do with the money if they do sell!

 
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