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Technology Stocks : Hoover's Inc (HOOV)
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To: A.L. Reagan who wrote (802)9/25/2001 8:08:41 PM
From: A.L. Reagan  Read Replies (1) of 848
 
I think they are doing the right thing in today's economic environment, and although it is always a pity to have to let go of talented people that the company has paid to train, it seems to me that Hoover's will be better positioned to take advantage of longer-term growth opportunities when they arise by being in a position of profitability in its core operations.

There is obviously going to be a zero or negative revenue growth for a few quarters, but I think all web-based outfits need to demonstrate the ability to deliver core profitability, and some degree of "longer-cycle" sustaining revenues (e.g. enterprise subscriptions) in order to leverage the next wave of growth, whenever it may come.
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