I finally received a copy of MKD's "Corporate Financial Overview".
I was pleased to see that it is a substantial business plan about 1/2 inch thick, and provides a great deal information on the venture and the technology. It details the business plan for 4 years, and provides detailed cash flow projections for each of the first 6 months. There are very few surprises in it for me though, it is pretty much what I expected in terms of potential. At least now I know what they've been doing the past 6 months.
Everybody knows I have big expectations on profitability, and it is there! The financial model is pretty much what I put forward a couple months ago. It shows MKD's 60% portion of earnings at .045, .080, .139 and .193 per share at 32%, 50%, 75% and 100% capacity respectively. From what I can see, there is plenty of added costs for a real production factory.
This gives the likely 50% capacity a share price of $1.20 based on a 15X PE ratio. Not bad if you buy the stock at 15 cents.
It does fill in a couple of holes for me though, such as the pay-as-you-go CD replicator cost and the CD broker side of the business.
I obviously can't republish everything in the plan, but if anyone has any questions, I'll try to answer them. I will also try to put more information about the financial projections up later this week.
This plan is definitely reassuring that this is the real deal. And that the wait will be worth it.
Ted |
