ok, no doubt BDR had a crappy quarter. But I think there was too much optimism going into last quarter considering 1) all competitors were having horrible quarters, 2) they stated in the prior quarter CC that the Digital sales bump would slow down going forward, and 3) they offered only nebulous guidance - saying they were optimistic about the year, but not really saying anything about the quarter.
However, in the last earnings release and Conf Call, BDR gave great forward guidance. From the earnings release, "... we expect a rebound with sales performance for the remainder of the year at a minimum paralleling last year.” In the Q&A section of the CC they were asked specifically to confirm this guidance, and they did.
So, their MINIMUM Sales Expections for the upcoming Sept and Dec quarters is to match the total of $19.9 million in sales they had in 2008. I dont know how they expect this to breakdown, probably weighted more heavily towards the Dec quarter, but on average, they expect MINIMUM revenues levels to average $9.9 million per quarter.
In the strong March '09 quarter, they made .06/share on $8.9 million in sales. So they expect to do better than that. Hard to be precise, but in the Conf Call, they stated that their break even was between $2 million and $2.5 million in revenue per month depending on product mix (thats $6 to $7.5 per quarter). They also affirmed that they will be profitable in q3, q4, and 2010. Judging by their revenue guidance, they have a chance to be very profitable.
Of course, BDR's record aint great, so no guarantees. But it seems that its a decent risk reward. I mean this stock was bid up to $2.10 before last earnings in anticipation of having quarters similar to what they are actually guiding for now.