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Gold/Mining/Energy : Direct Focus Inc. (DFXI) -- Ignore unavailable to you. Want to Upgrade?

To: Gordo who wrote (430)	3/5/1999 2:54:00 AM
From: trilobyte	Read Replies (4) \| Respond to of 768

Hi Gord, no share buyback! not the time... until we reach 250 000 000 in annual sales ;) o.k. guys... it's time to show your expertise! Read the full story at: edgar-online.com and do a company name search for direct focus. You will find the s-1. one interesting point is that they have included the performance of Nautilus, pro forma, as if it had been acquired on 1/1/98. you will find that for last year, Nautilus generated sales of 19.3M, Gross Margins of only 27.7% (compared to 78% for DFX, and bled at the rate of 3.3M/yr. i.e., Nautilus would've caused DFX to lose 34cts/shares. However, further down, I read that Nautilus (for fiscal year ending 6/98) generated sales of 20.7M and lost 6M (excluding charge). Has the situation at Nautilus improved? what gives? Darn... DFX in litigation with Soloflex. They've filed suit against DFX and R Potter, VP of marketing. Who are these soloflex guys?? Our home fitness expert Carson will surely know ;) proceeds of the secondary will go towards developing new Nautilus stuff. Also a 2nd assembly plant in Western US. Maybe another acquisition... I get the feeling that DFX really payed for Nautilus with stock, a posteriori... the secondary will replenish their coffers to slightly higher level than before the acquisition. Without it, cash would be on 3M. Sales of Bowflex power pro accounted for 93% of sales in 98. Not many beds sold yet! gross margins expected to be lower for the beds, at least at the beginning. However: DFX expects an INCREASE in percentage gross product of Bowflex product due to east coast manufacturing facility. This will buffer a little Nautilus effect. DFX working hard at improving Nautilus results... read all about it! They have hired a NEW management team (anyone knows who they are?) direct focus.com!!! 10% of sales were generated from the bowflex web site. p.e. of 400, here we come. Let's outdo Don Carson: DFX@800$/share in 2000. I'm getting tired here... Hold on to your shares!!! Cook selling only 25K, Rice 12.5K, Potter 12.5K. The big seller is a certain Little selling 100K. Seems to be a private investor. I'm out of here! Trilobyte p.s. couldn't find anything on the underwriter D.A. Davidson. Who are these guys and what is their claim to fame?