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Technology Stocks : KVH Industries, Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Roadkill who wrote (1017)	1/9/2002 11:59:14 AM
From: Sector Investor	Respond to of 7249

<<IMHO, the military orders are nice, and give the coffers a boost, but are frankly too lumpy to by themselves ever permit this stock to maintain a high multiple. If military orders back off in FY 2003, KVH's other orders must pick up substantially simply to maintain static revenue.>> <<Since I'm on a bearish rant, I want to raise another point. I'm not entirely convinced that KVH will benefit to the extent many of us hope from the government's new focus on defense spending. The government will not be buying a lot of tanks or personnel carriers that require FOGs.>> I disagree. Martin says the increased Military sales are not just a spike. They have barely scratched the TACNAV market - plus they have a whole new range of military need they can now fill with FOGs, and orders are being accelerated. Also, don't forget Rhode Island has both a Senator and a Representative on their respective appropriations committees. That will help. I posted on Yahoo! about Military messages.yahoo.com

To: Roadkill who wrote (1017)	1/9/2002 12:13:20 PM
From: Roy F	Read Replies (1) \| Respond to of 7249

Hi RK, Nice to hear from another old timer. gg I don't think your concerns are out of line. I would point out that the revenue projections are likely to be easily attainable (conservative) in the eyes of KVH, so the previous estimate may not be that far off. Although I'm not thrilled with some of the delays on product announcements, the promise of KVH is still looking pretty darned good. It's always a game of patience and awareness. Since I'm not aware of anything bad... other than maybe a delay here or there, I'm hangin' with the people at KVH.. and I'll consider my current state of mind a patient one.... regardless of reality. Regards, Roy

To: Roadkill who wrote (1017)	1/9/2002 12:55:57 PM
From: akmike	Read Replies (1) \| Respond to of 7249

Hi RK, I don't have the Needham report on this computer but my memory is that the analyst projected 46.3 mil. for 2002. His report was done in Q2 of last year. Martin yesterday projected a range of 42.9 to 46.2. I doubt that his projection included any revenues from the two new product initiatives or even the current sensor knowing how much slippage can occur when you are trying to push product to early adopters. I am sure that he was highly confident of his projection that the military business would double next year as he already has that amount in shippable backlog. That would account for a little over half of the projected increase. It would not take anything more than for communications to return to trend and FOG to maintain trend to achieve the projected increase. I think he is very confident about each of these. On communications, he elaborated on the very favorable (for KVH) take rate on onboard TV's in the SUV and minivan markets. We know from the prior conference call that FOG production capacity was planned to be increased by 50%. There isn't a lot of certainty in the world right now and anything can happen, but I believe that it would be valid to label the projection conservative. As to Needham, they made a decent first effort at modeling KVH but were woefully high on the expense side which has allowed KVH to significantly beat their bottom line numbers even though the toplines were not in line.