a couple of things jumped out at me from the report:
from the statement of operatons:
Three Months Ended Nine Months Ended
Sept. 30, Sept. 30,
1997 1996 1997 1996
Revenue - sale of
product $ 5,120,557 $ 9,586,186 $14,133,628 $15,376,615
It's not good when revenue of a "fast growing company" goes down on a
year over year comparison. how do they justify this?
from the Balance sheet:
(Unaudited)
Sept. 30, 1997 Dec. 31, 1996
Assets
Current assets:
Cash and cash equivalents $19,236,940 $ 2,787,593
why are they stockpiling cash? is the an aquisition in the future?
Total current assets 36,399,739 19,857,367
how did they do this with this year's revenues lower than last year's?
I'm relatively new at trying to decipher these reports. Any help on
figuring out these issues will help me (and others) in judging
wheather or not continue holding the stock. I was ready to jump when
I saw the revenue numbers, but I didn't when I saw the Total assets
numbers. The big question is guess is: where did all the cash come
from?
-Josh |
