first quarter with solid sales growth in a long long time. a book-to-bill of 2.5x that is better than any other publicly traded CRO company. and continued track towards profitability.
if this was any other CRO company, the stock would be up 10%. There's just a lot of hatred towards the company now and lot of unsophisticated investors who don't understand that the most important metric is book-to-bill. As an example, CVD just got acquired and routinely runs at ~1.2-1.3x Book-to-Bill. ICLR also is around 1.3x. PRXL has ~0.9x.
They are forecasting Q4 2014 to be between $2.9mm to $3.3mm. That means another sequential improvement. They are sticking with the forecast of reaching profitability in second half of 2015 based on continued revenue growth and also higher margin due to more revenue coming from their core business which has higher margins.
It was also good to see that they made the backlog number public. $26mm+ backlog after already backing out the risky bookings is pretty impressive given their current annual revenue numbers.
Disappointing Q3 numbers: ROCHESTER, N.Y., Nov. 13, 2014 /PRNewswire/ -- VirtualScopics, Inc. (VSCP), a leading provider of clinical trial imaging solutions, today reported financial results for the third quarter and nine months ended September 30, 2014. Awards outstanding and bookings as of and for the nine months ended September 30, 2014 increased 29% to $23.8 million, as compared to $18.4 million for the same period in 2013. Awards outstanding and bookings as of and for the year to date period ended today, November 13, 2014 are approximately $25.5 million, 124% of the $20.5 million as of and for the fiscal year ended December 31, 2013.
Revenues for the third quarter of 2014 were $2,741,241, an increase of 23%, as compared to $2,227,877 during the third quarter of 2013. Revenues for the first nine months of 2014 were $7,742,974 compared to $8,467,141 for the first nine months of 2013. ...
I am looking a big jump in revenue, hopefully $3.5M for Q3, with a small net loss. This maybe the last time we this stock at $4. It will quickly move to $6 with decent number. Expecting total awards and bookings to approach $30M for the year.
Sentiment: Strong Buy
Your statement about liquidity and exposure is true, and that is why I was able to slowly accumulate a large position at a low price. However, you are incorrect to say the CEO doesn't keep his word. He hinted about being a shareholder like the rest during the last call and he did buy shares with his own money soon after.
Perhaps you and I have different expectations about the forecasting tool, but I personally would not have expected him to discuss any forecasts until the next earnings call. Forecasts are generally given when earnings are reported.
I went over the transcript from Q214 and
ceo Eric Converse said the new forecasting tool would be ready very shortly, that was 70 days ago. This stock has no liquidity, no exposure,and a new ceo that cant keep his word.
First of all, VSCP stock did not tank relative to mid August since the current price is higher than closing price back then. The price went up due to insider buying and settled back with lack of news and along with the overall market slide in the past month.
The CEO did say the forecasting tool will be ready by the next earnings call next month. Hopefully the company's IR people will make the rounds with that info and bring in more investors to sustain a steady climb in stock price.
The model to predict revenue from backlog was promised in mid Aug. by new ceo Eric Converse, and a return to profitability was also talked about, yet the stock tanks.
Hey Yags, Yes, things are looking better and it seems
as though this company is focused on moving out
of the Twilight Zone....with a permanent CEO who
seems to know how to partner up with real strategic
partners....I think VSCP was just a mere pimple
on PPD's backside.....this British company seems
We shall see....good hearing from you Yags!
hey bay.....looks like things are looking here these days.....I'm somewhat tempted to buy a small position.....as this company has some potential and after the reverse split if it gets any interest at all could really FLY upwards....of course, could stumble down fast as well, but probably doubtful from here....anyway...nice to see insiders buying as well..... take care...: D
Glad to see the CEO, Eric Converse, delivered on his comment about being a shareholder himself.
These are his purchases on the open market so far:
Given today's volume, he's probably still buying.
I will buy more. This is now a growth story and company, and will show excellent q over q sales increases and profitability. CEO Converse, is a capable and prudent investor in his own right, he waited over a year to buy in. This is one smart guy and passionate about vscp. With phase 3 business and more exposure going forward with the English company vscp should have a market capitalization of $40 million.
Sentiment: Strong Buy