When I first bought MSLP they were doing about $50 Million per year in sales. $100 M looked like a nice target but now they're looking at probably doubling that this year. Brad is an idiot, we all know that but even though he's an idiot I'm still buying at these unbelievably low prices. Something's gotta give. Either Brad has to go or another co. will buy MSLP or, and I know this is a long shot, but, just maybe Brad starts doing what's right for the co. I don't know what will happen but I do know $4/share for this co. is just too cheap. I can't see MSLP being worth less than $8/share even with Brad as their leader. They have a great product, a huge following, good endorsers and $200 Million a year in sales. This would put MSLP in the $40/share range if the co. was run properly. You find me a co. that does $200M/year in sales that turns a nice profit selling for any kind of cheap PPS. I know MSLP does not turn a profit but it has to someday. That day may come after Brad is no longer running MSLP. Either way, at $4/share this is a great deal.
Your post is ridiculous. The charge off is an accounting entry that must be made under GAAP accounting rules when a company restructures and cuts costs as MSLP is doing. They do NOT!!! spend 30M in penalties. For every cost associated with the restructuring,eg. the reduction in employees and the associated severance packages they must pay(an expense), they have corresponding savings in the reduced salaries that they are eliminating. It is a net savings and does not negatively affect their cash flow or balance sheet in any way. It is the same with renegotiated contracts, facilities moves etc.
Every cost has an expense and corresponding savings, but for accounting purposes, the charge off(costs) must be booked as a one time expense. It will not cost them money out of pocket on a net basis, and will not impinge the positive growth in free cash flow or require them to spend meaningfully from their balance sheet.
Spreading garbage like the above post just makes you look ignorant.
If any real investors have any questions about the above, I would suggest you pick up the phone and call management at MSLP. The company will be saving $20M per year going forward starting in 2016 which is
$1.43/share!! They will be profitable from 2016 forward simply running at 50M+ quarters. Any growth above that goes straight to the bottom line. The future is VERY bright for this company.
Sentiment: Strong Buy
The Key word is "Ryan Drexler"....owns 1 million shares....now is the chairman.....follow the trail people....not rocket science.
You sir are an idiot. You have done my work for me so not much to add. That you cannot read was surprising. All of the restructuring costs are real, as I said, including any penalties for ending contracts earlier, which by the way includes leases on facilities should they relocate some of their operations. What I very clearly stated was that each cost has an associated savings in the reduced expenditures by the company. The net of costs associated with the plan announced on Tuesday will NOT require the company to pay 30M. The total costs are those included in the overall charge off. NOT the corresponding savings to the company.
If you have any real interest in learning what the expenses are and where the savings are, call the CFO of MSLP I did, because I am a real investor in this company and perform diligence.
You sir are a miscreant that doesn't own a share.
Sentiment: Strong Buy
MP is such a poorly led company. The CEO is a child and if he would just resign the stock would triple. Any CEO who uses the company as a piggy bank is a punk and should be run off the board.
Check Investors Hub message board - Wynnefield Capital letter to BOD - post # 75918.
thx my friend. that I know and had read already as it had been out there for all to see...thought perhaps there was something I missed when I asked the other poster.
Really?? That's the rumor? Is it a rumor you just started or do you have a link? AXXE is a pos co. that won't be in business a year from now.
Sentiment: Strong Buy
Just voted online through my broker...YES on Estallela and Drexler, NO on the other board members. NO on executive compensation plans, YES on reviews of executive compensation.
I don't think my small number of share votes will mean much, but I have to try....
Totally agree with you. Brad just needs to cool his jets, and take a quarter or two to strengthen up the balance sheet of MSLP. Then do more expanding. It seems every quarter they are doing so much to grow the revenue streams at such exponential rates, that it is actually hurting the company more than it is helping. I think $4/share is a steal, as long as they turn it around in the near future and start thinking about the longevity of the company
The loss was primarily attributable to non cash based compensation to employees and big name sponsors. That is why EBITDA and cash flow grew, but loss was still high. This type of compensation, while a necessary evil in this business space, does not effect the company's ability to continue to grow top line and cash flow. Q 3 should be closer to break even, but I agree the perception as it relates to Brad is very unflattering.
Sentiment: Strong Buy
I agree with your facts......focus on the Ryan Drexler name......2016 will make or break the co....likely outcome is a slight profit leading to a sale of mslp....Ryan owns 1 million shares and is now the chairman...he is not going to lose on his investment.....depending on where the co is sold and where you bought will mean how happy or sad you'll be .....good luck
YOY gross revenue means ZERO when you are putting out more than you are bringing year after year after year after year. Yes, we all understand this "loss" is necessary to grow the business through certain parts of the organizational life cycle however when the organization does not evolve from that part of the life cycle MSLP happens.
Any of us can run a business by spending more than bringing in while at the same time continuing to increase both of those dollar amounts. The hard part is to lower the "spending" and increase the net revenue...something this company continues to struggle to do year after year.
Yes - I am thinking the same. We can only hope for that. Tired of corrupt CEOs raiding the cookie jar.
If Brad were fired and a competent CEO was brought in - the company, and the stock, would have a phenomenal turnaround.