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Microcap & Penny Stocks : Bid.com International (BIDS) -- Ignore unavailable to you. Want to Upgrade?

To: Mr. Forthright who wrote (11684)	3/16/1999 8:50:00 AM
From: reg	Read Replies (2) \| Respond to of 37507

Do you really believe those optomistic revenue projections when growth has slowed dramatically over the past 3 consecutive quarters? I would project 25-35 million in revenues for 99 if they are lucky. I would not be a bit surprised if 1st quarter revenues fall from the 4th quarter of 98. If they don't grow revenues and burn their cash up in the first 9 months then look out!

To: Mr. Forthright who wrote (11684)	3/16/1999 10:42:00 AM
From: GoNorth	Read Replies (2) \| Respond to of 37507

Mr. Forthright, don't take this wrong but I believe we need to be realistic with any numbers posted to this site. I say this as I've noticed a tendency for members of this site to "grasp on to any numbers that serve their purpose". Specifically I don't believe it's realistic to expect that Bid.com can improve it's Gross Profit performance by a factor of 2. While it's clear they have shown improvement, any retailer will tell you that even a small ongoing improvement in GP rate is very difficult to achieve. >>Let's also assume that they can achieve gross profit margin of 14% (double from last year's 4th quarterof 6.9%).

To: Mr. Forthright who wrote (11684)	3/16/1999 10:52:00 AM
From: zwing_88	Read Replies (1) \| Respond to of 37507

Hi. Mr. F. Here's how they become profitable. Take an annual figure of $50 million and assume sales of of 8 mill, 10 mill, 12 mill and 20 mill, quarter by quarter. Assume 15% gross profit in the fourth quarter, which equals $3,000,000. Add $1,000,000 for licensing technology. Assume overhead is, as you suggest, cut back to $15 million, which is $3,750,000 per quarter. Result is a profit of $250,000 in the fourth quarter. Godin said they would be profitable in the 3rd or 4th quarter. He didn't say that they would be profitable for the whole year. As you can see, BII could be achieve profitability with annual sales of $50 mill. in 1999. By the way, I believe the sound cards will sell very well and will have a gross profit of more than 15%. Comments, please. Z