I am long KNDI, but it is not a concentrated position for me because I am in the midst of due diligence.
I looked at the financial statements last night and was struck by the large amounts of notes payable and receivable. These do not appear to be bank loans. What is that all about?
I don't understand how the company's legacy products are distributed in North America. If I Google "Kandi GoKart" I don't get anything interesting. Several similar searches proved fruitless. If they are a leading seller of these products, who are the distributors? What brand names are used?
Finally, does anyone here care that a number of directors recently sold all of their shares? That seems peculiar to me.
Some of what you are referring to is a form of vendor financing. This number has been coming down over the past year, but will drop substantially on Dec. 30 when $8.2 million of the $13.5 notes receivable will be paid back to the Company.
As of now virtually all of their sales are now done under the Kandi Brand.
Two Directors sold 6,700 shares each at 5.70 a couple of weeks ago at 5.70. One of the two is no longer a Director. The other works for the PRC for around $20,000 a year so maybe he needed to raise a few dollars for the Holiday. One other Director sold half his shares a month or so ago. All of the insider sales happened before the PRC approval was given for the new Lithium car.
First I believe the directors sold 10,000 shares one probably because he wasnt reelected the others for Christmas who knows. I know there is a place in Oklahoma City that sells the coco. It is good for a 50% cut on your state tax at the end of the year. In other words if you buy it for 10,000 the state allows you to deduct 5000 on tax. I think there is still a federal of 10% Not sure. As far as where to buy previous posts have it imbeded in them. You will have to put it in the search above.
Thanks for your reply. I was actually asking about ATVs, go-karts etc, which seem to be a major source of revenue for the company. I am not a prospective customer, I just want to make sure that these products are real.
I'll get back on the director matter. It is possible that the sales I saw were by departing directors, which might explain things a little bit.