The goal of all IR communications is to ignore the negative and accentuate the positive, not to communicate the performance of the company. Just the nature of the beast.
Guidance is weak for the first quarter. That seems a little disappointing but in the overall scheme of things it isn't the end of the world. They did indicate that they are cutting costs, and that is probably a good thing.
At the end of the day, they really had a pretty good year. $0.58 a share isn't bad given the Tessera litigation impact. 2014 will depend mostly on the economy but they don't appear to be off to a great start. Would be nice if they would report monthly sales and I don't get how come the first quarter is going to be weak but that is the way it goes sometimes.
Compare Q1 FY14 to Q1 FY13. They are forecasting declines.
They indicated a strong second half, whatever that means.
I have not looked at the analysts but they are forecasting YOY revenue declines while ASX and SPIL are both showing gains (at least in Jan 14 they did). ASX and SPIL both report revenue on a monthly basis.
Tessera litigation wasn't mentioned in PR. That is something that will be hanging over their head in 2014. My guess is that they didn't adjust the accrual in the fourth quarter as earnings were pretty strong.
Think they are for tax withholding associated with stock grants. At least that is what that code "F" is supposed to mean. Normally, there is an explanation on the form itself so maybe I've got it wrong but probably not.
Difficult to believe that someone didn't at least know that something positive was happening yesterday afternoon. Just another example of what might be described on a charitable day as being a deeply disfunctional organization.
I've never seen anything in a regulatory filing indicating that they have D&O insurance. Admittedly it would be unusual to not have insurance but it seems entirely reasonable given their track record to wonder.
Maybe it was in a filing and I just missed it but I know they didn't put anything in the press releases that discussed the recent litigation claims or in the Qs.
So are you one of the ones buying down here? Think I've done my share already and will now have to wait for earnings call to re-evalate but I hope I can hold the shares.
I think someone else could operate those mines better and reduce SG&A. Whatever it takes to get there makes the most sense and bankruptcy is probably the best way to get there.
Management doesn't want to give up the high paying jobs with no accountability. Not that it is easy or anyone else would have likely succeeded but there are a fair number who would have done better.
Have to agree. Also, it should be pointed out that the CEO (Peter Allen) sold 70,000 shares on Jan 23rd. Only netted around $0.50 per share. Can't say I can conceive of why a guy in his income bracket would sell shares to net a measly $35-40K.
He still owns 458,662 shares.
One more shot, Canadian laws need to be tightened regarding disclosure. Six days after selling is entirely too long for a fast-moving security such as Dragonwave.
Would be interesting. My recollection is that they have to argue that the financials are incorrect, they are subject to a rehabilitation proceeding or file bankruptcy in order to walk away. Is that your understanding too?
They can apply a great deal of pressure by threatening to walk away as they can stack things up in litigation for a long enough to drive them into bankruptcy.
If statutory surplus declined roughly $60 million in the third quarter what sort of loss is it reasonable to assume for 3rd Q? TBV was $7.50 per share and there were roughly 57 million shares at June 30th. How much would be reasonable to extrapolate for 4th to the 2nd quarter losses following which presumably the closing would take place?
Pretty sure Lee doesn't care too much about the rules.
I dissented from an acquisition once in large part simply because the seller was using such stale data in the prospectus. Ultimately, it became a "quest" to get the information. I don't think TWGP is going to do that as it kind of helps their case to report bad numbers but not so bad it triggers rehabilitation proceedings or ACP walking away.
What do you think the probability is that ACP tries to walk away from the deal?
To be implemented by the end of calendar 2014? Sounds like they just felt the need to announce a plan but didn't actually want to go to the trouble of implementing it.
God knows it isn't easy. They are probably pushed to the limit already and had to scrape to avoid hurting customers.
Tend to doubt that the the weakness is attributable to new product rollout but it isn't like I'm an expert on wireless backhaul.
Do know that their market cap is more like $160 million when you factor in the share issuance. Probably trading at just a bit over book value. Personally, I think that is crazy but I do understand why people would be selling as the next headline for Ceragon will include talk of Argentinian devaluation. The devaluation isn't all that material but most people trade on headlines rather than long-term cash flows and I can see the argument to sell even though I plan to ride it out. Who knows, maybe the guidance will be strong enough to create a better headline but that is the way things go.