Several Comments On The Press Release:
1. Revenue Recognition
PLSIA management appears to have "HYPED" shareholders again in a way that may have harmed anyone who bought based on Dec. Q financial's and associated news release by PLSIA. According to today's release, it would appear Dec. Q numbers were based on sales that were still in PLSIA's inventory -- I believe PLSIA's K states revenue should be booked when shipped,,,, Sounds like COOKED BOOKS to me,,, Perhaps we should change Collette Cozzene's name to Betty Crocker,,, Anyone interested in a Class Action Suit against PLSIA and its management, please e-mail me.
2. Why Did Schein Quit?
I have reported that the dentist I know who has a PLSIA Dental Drill, has reported on-going failure problems and that no way no how does the laser pay for itself through increased revenue. If Schein had customers up in arms over failures, that could be one reason. But Schein might also be liable in a patent lawsuit for selling the PLSIA whitening laser (in patent suit with ILT) and the Dental Drill (patent infringement issues with ADLI), so they may have pulled out for that reason. One thing that seems clear to me, PLSIA should know exactly why they pulled out. I seriously doubt Cozzene is in the dark on this issue as today's press release claims.
3. Add Up The Numbers,,,
Time to get out your calculator. SO, lets figure out how much PLSIA has increased sales of the Dental Drill? Hard to tell just yet, but looks to me as though sales are not surging, and may in fact be dropping. No wonder they didnt do a breakdown of revenue for the Dec Q.
For a number of months I have been very specific about why I do not think this is a good company. Specifically, management has a long history of IMO bad decisions. Management has a long history of failure and dilution of shareholder interests. The company has never come close to producing an annual profit. IMO and in the opinion of dentists I know, the dental drill will never be a viable product, at least not PLSIA's 40k drill. IMO PLSIA's dental products are questionable and have a limited future.
For those of you that have disputed my opinions have chosen to make personal attacks against me instead of debating the facts, today you get a taste of what happens when you chose not to be objective.
One last thought. Margin calls could cause additional sell-offs,,,
Cheers Steve |
