Posted by: Dory Date: Monday, May 11, 2009 6:49:28 PM
In reply to: Mighunter who wrote msg# 177863 Post # of 177865
Mig, SKS was relaxed and, in his words, "cautiously optimistic" about hitting breakeven in Q2. He was disappointed in the drop in bundling revenues from Q4, blames that on the economy and companies putting hardware purchases on hold, but has already seen sales and bundling revenues pick up in Q2. Enterprise/upgrade sales are trending up. New customers every week, in some cases every day in a week. Sales are strong in Europe. Just signed a 1,000 seat customer in the telecom field. Medical field sales are very strong. He expects to see some real money from the government in 2009. Later in 2009 he thinks SSDs will help drive sales. He also thinks that a number of enterprises will have achieved sufficient critical mass of TPMs in their network (80-100%)to spur them to turn them on in 2009. All good.
Bad news: there are some anxious and cranky vendors out there who want to get paid on overdue bills. Some further dilution is almost certain, to raise money to pay accounts payable. However, the days of worrying about making payroll appear to be over. SKS said if everything goes perfectly, Q2 will be profitable. If some expected sales slip into Q3, then breakeven. He thinks its a $500K proposition either way. In any case, Q2 will be better than Q1.
Cheers,
Dory |
