For the nine months ending Sep 30, weighted shares outstanding were 6,626,125 and net loss was $13,729,627, or $2.07 per share.
Management provided an estimated loss per share of $1.44 for 2013. Logically, then, Q4 should be break-even if the weighted shares outstanding for the twelve months ending Dec 31 come in around ($13,729,627 / $1.44), or 9,534,463. Below 9,534,463 represents a net profit for Q4, above 9,534,463 represents a net loss for Q4.
Let's assume the weighted shares outstanding figure comes in at 8,000,000, which is absolutely higher than what the actual number will be. That equates to a loss for the year of (8,000,000 * $1.44) = $11,520,000. This suggests a NET profit (i.e., AFTER non-cash charges) for Q4 of $2M+.
Which is pretty odd given that management just forecast a net profit of roughly $2.5M for 2014 after 36% revenue growth.
So you are saying that they are sandbagging for Q4 and they really have a huge profit?? And that the $2.2M ish numbers that they are saying for 2014 is already in the bag for Q1?? I would think that the lack of trust cuts both ways doesn't it? Brad has to go. If that happens we go up greatly and near where we should be today and that is $15.
They are paying a HIGH PRICE for that "profit" if dilution is 21% to 44%.
After they increase their own salaries again, give themselves more shares, and pay all of those "athletes", then there won't be anything left for shareholders.
Shrewd analysis, backed up by a wealth of facts and figures...
But for now, I'll stick with management's (likely conservative) 2014 EPS estimate of $0.22, plug in my own (likely conservative) 2014 estimates of $12M in non-cash charges and weighted shares outstanding of 11M, and positive cash flow of roughly $1.32 per share.