Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Microcap & Penny Stocks : FAMH - FIRAMADA Staffing Services -- Ignore unavailable to you. Want to Upgrade?

To: JustMy2Cents who wrote (20305)	6/3/1998 9:12:00 PM
From: Little Engine	Read Replies (1) \| Respond to of 27968

<<<Ira must have meant Gross Margin not Net profit margin. The industry average is 22.91%.>>> No, he made it quite clear he meant net margin. That's why FAMH numbers have always confused me. How do I know this? 1) FAMH reported that revenues last year were $8.5 million. 2) Ira said that EPS numbers were based on 20 million shares (at the least, they had that many shares. Probably more.) 3) FAMH stated via press release that audited numbers showed $.1085 EPS. 4) Ira stated in at least one CC that all profits were from recurring operations. Using those four facts: 1) $.1085 x 20 MM shares = $2,170,000 2) $2,170,000 (net profit) divided by $8,500,000 (total revenues) ...gives us 25.53% net margin. If the number of shares they based the figures on are higher, like 21 or 22 million, then the net margin heads toward 30%. I can't find any other public staffing firm that achieved 15% net margins last year from recurring operations. How could FAMH almost double that? Food for thought.