I spent a little time today speaking with Ken Klotz trying to go over the last quarterly report, which in my opinion, was very positive considering the problem with Best Bank. Anyway, my question was about contracts that we have recently signed and how they have added to the bottom line. Millenium and Platinum Healthcare have yet to add anything because they are still working on setting them up. Now, we have just shown an increase from last quarter and the two biggest announcements that the company has made in the last 4 months haven't even been figured into the profit scheme! Remember, as of this date, the Millenium deal and Platinum have actually been a drag on earnings, considering that work has been done to set up the accounts yet we still haven't seen any revenue. What happens when these programs get rolling? I think we all know the answer to this but just in case you still want an answer, I think it's fair to say that revenues will go up with not much increase in expenses since the expenses to set up the account is already done.
This quarter came in just about where I expected it to come in, with a small increase to the bottom line. Where do we go from here? I still think the company has some work to do to get to the golden ring, and I expect next quarter to show some increases but I expect the big push to be the first quarter of 1999. Why? Think about it, in the 1st quarter of 1999, Millenium will be rolling, as will Platinum. Also, by then we will probably start to see the ABN acquisition kick in.
Anybody been thinking about the Berwynn and Fiscript deal like me? Well, I asked Ken about that also and he said that the auditors are still working on a fair purchase price. This last announcement does not include any business from these acquisitions either. What happens when these numbers hit the bottom line. I think I want to be around next year to find out all my own questions. See you next year.
Kevin |
