frusset
14 Apr 2018
Results At first glance, the results look OK:Revenue up 9.2%, from $16,245 to $17,743 (thousands)EPS (Basic) up 46.7%, from $0.015 to $0.022EPS (Diluted) up 42.9%, from $0.014 to$0.020While Net Income was up 62.6%, from $1,255 to $2,041, most of that came from two unsustainable items: a foreign currency gain of $57 in 2017, compared to a loss of $360 in 2016, and an Income Tax Benefit of $469 (with "-" for 2016). The operating income fell 19.2% from $1,492 to $1,207.There's also the effect of the increasing share count:Shares, Basic, up 10.64% from 83,665,402 to 92,565,402Shares, Diluted, up 14.83% from 90,740,402 to 104,193,859The ratio Diluted/Basic, up from 1.0846 to 1.1256 or from 8.46% more Diluted, to 12.56% more.Operating income per Basic share fell 26.97% from $0.0178 to $0.0130.Operating income per Diluted share fell 29.36% from $0.0164 to $0.0116.Cash from operations was down 35.2%, from $2,242 to $1,452.Cash from operations per Diluted share fell 43.58% from $0.0247 to $0.0139.So, while there was some revenue growth, the earnings aren't so good if you exclude currency and tax effects, and are worse on a per share basis. Whoever benefits from the growing share count, it dilutes ordinary shareholders.The president & CEO said "I am pleased with our improved financial performance and business accomplishments, and believe we will continue improvement in 2018 and beyond.". It looks like he has too rosy a view of the results, so I'm skeptical about his optimistic outlook - "We believe we are positioned for success more readily than at any other time in the recent history of the Company with the resources, talent and opportunities cultivated during 2016 and 2017.".Does anyone have a good reason why earnings will grow faster than the share count?
Boring Bernie
29 Nov 2016
Re: Looks interesting Looks like I should have listened to myself here.Serves me right for being a chicken ,. (() ,_ ; o > {`-. / (_) `={`-._____/` | `-{ / -=` | `={ -= = _/ / ` .-' /` {`-,__.'===,_ //` `\ // `=
