the retailer is WalMart, BTW. Anyone can do pallet monitoring, it just costs more for a device per pallet. They may be one of the only ones that offer dual mode in the same device.
Not sure why the stock has sold off here. Nothing really changed and the outlook was consistent with prior
now it looks like it is bundled with Powerfleet/Powerbox. An entire new product line that they made a big stink about, took 2+ years to finish, is thrown in for free.
Is the counter argument that others throw this in for free and they need to be competitive?
the BOD and all execs should forgo any new stock options for this year. Stock has done nothing. All other metrics are meaningless.
Norm should have all his options revoked. Any moron can sell something when the price is reduced by 60%. Norm has been a bust
I thought that was a mistake too but I have the old presentation and new presentation open at the same time and looking right at it.
The pace at Home Depot seems low. So many accidents and deaths of employees and customers. They need to pick up the pace. i wonder if WalGreens will expand to Boots now that they merged.
based on the latest presentation compared to last, here are 2014's largest VMS purchases:
Home Depot 600
General Mills 400
major changes. many new slides
- price change on Powerfleet. used to be $2500, now $1000 + $25/month. Takes 5 years to get to $2500 but it then keeps paying after that.
- new VMS customers named
GM is the auto
United is the airline
JNJ, Eaton, Supervalu, Staples, United Technology, CNH
- new TAMs customers
Ashley furniture is the furniture company
FEC, Hobby Lobby, Brown, Compass Lease, Trac Intermodal
- Raymond was 15% of 2014 revenue or $6.84M
- new VMS opportunities
Airlines. American expanded to Miami and United is the new customer
DoD - Have RFP's for 1K and 12K units. So DoD is not dead. This could be huge, a 12K unit win is $30M
- comparative to other M2M companies
should be between $12.49 and $14.05
Many other nice pieces of info such as the number of units at the largest customers (Home Depot now at 2200 units, 3rd largest VMS customer), breakeven is $52M run rate. Will be GAAP profitable end of 2015 (new initiative pushes this out 6 months)
- Largest VMS customers:
WalMart 9K units
Home Depot 2.2K
Nestle, P&G, Walgreens 2K each
Deere, CAT 1K each
there are a few good articles on seekingalpha about this deal. One has a NPV chart. At $1200 gold the deal is negative $100M (pretty bad). At $1300, it is break even. Why would they initiate a deal with a negative NPV? Are they trying to justify their salaries? Just a foolish deal
I remember you, BTW. Hope al is well
I understand that but to an outsider it just seems like the company is failing to get to profitability. They should have waited 6-12 months to do this.
Q1 2014 was an under $10M quarter. With the growth numbers they are talking, it sets up this Q1 for maybe $11.5M? Seems disappointing