It was a good earnings report but the backlog is down 38 percent from $15.5 million at September 30, 2012 to $9.2 million at December 31, 2012. It doesn't bode well for future quarters.
don't be so sure- the backlog has gone up and down over the past few years
the profit margin for equipment sales is nominal- the reduction of existing inventory is a real positive and frees up cash
the key to equipment sales is profit not revenue production
I would have personally rather seen mediocre earnings and a rising backlog.