<<Are you being sarcastic....>>
Yes.
Read this from their most recent 10Q. If you subtract out the barter credits (which are not genuine sales and a huge red flag when such credits are used to pump up revenues just so that those who don't look any further than eps figures get suckered in), revenues have actually been decreasing. What they have been doing is foisting old inventory on an ad firm in exchange for advertising credits (which GUMM also has to partially pay for). Anyway, read on:
<< Net Sales. Net sales increased by $829,639 or 72%, to $1,983,533 for the
three months ended June 30, 1997 compared to $1,153,894 for the three months
ended June 30, 1996. The increase in sales was a result of $1.4 million of
discontinued and excess inventories sold in a barter agreement that the Company
entered into in December, 1996 with Active Media Services, Inc. and
barter agreement entered into in April, 1997 with SKR Resources, Inc. The Active
Media, Inc. agreement has now been completely shipped and the products sold in
the agreement consisted of ChromaTrim, CitrusSlim, Vita ACE and gum from the
Jack Lalanne line of products. The Company shipped 68% of the $438,000 agreement
with SKR Resources, Inc. that consisted of the DentaHealth product.>>
Anaxagoras |
