re: CYMI Earnings
Zeev,
Some time ago we'd discussed the increased headcount on this thread. The guesstimate consensus was that it would add about $3M to expenses. The $3M increase in expenses may not account for additional R&D investment into 193nm research which I, personally would consider healthy.
On the other hand, last Q earnings were negatively impacted by $6M allocated for service warranties, design fixes, etc. These expenses are, hopefully, non-recurring.
If these guesses are correct, even with flat production (same number of lasers shipped as in previous quarter), the pre-tax earnings should improve by $3M or 10c/share. Rising $/Y may or may not have a negative impact on revenues, depending on success of their hedging strategies. It is also true that good last Q earnings will not help much if the backlog deteriorates considerably.
I appreciate and welcome your comments on this thread, but in all fairness, you should clearly state the fact that you are soliciting investments into your new venture. Indirectly, this makes your position somewhat biased.
Regards,
Y. |
