Message Font: Serif | Sans-Serif
 
UnThreaded | Threaded | Whole Thread (3) | Ignore Thread Prev Thread | Next Thread
Author: captainccs Big funky green star, 20000 posts Top Favorite Fools Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 21136  
Subject: AMSC could be a turn-around play Date: 2/11/2013 11:05 AM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 2
Kevin Douglas keeps loading up. Earnings out after market close.

X-post at the AMSC board:

http://boards.fool.com/kevin-douglas-buys-more-amsc-30536037...

Denny Schlesinger
Print the post Back To Top
Author: captainccs Big funky green star, 20000 posts Top Favorite Fools Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 13494 of 21136
Subject: Re: AMSC could be a turn-around play Date: 2/11/2013 4:55 PM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 2
AMSC is turning around but like one of those Cape tankers, very slowly!

Gross profit went from negative to positive for the quarter and for year to date which is an important milestone in any turnaround. The miss this quarter was a delay in revenue recognition in the wind sector. The guidance looks fairly good with a 25% revenue growth expectancy for 2013.

The 3Q earnings report:

http://finance.yahoo.com/news/amsc-reports-third-quarter-fin...

Denny Schlesinger

Print the post Back To Top
Author: DrtThrwingMonkey Big gold star, 5000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 13495 of 21136
Subject: Re: AMSC could be a turn-around play Date: 2/11/2013 5:40 PM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 3
Gross profit went from -$1 million to +$1 million, which is some consolation, but then lower down the earnings sheet there's still $4 mn in R&D (down from $6 mn last year) and $11 mn in SGA (down from $15 mn last year), for a net loss of $20 mn. For one quarter! So they have a long way to go before they can break even, when you consider their total revenues from the quarter were only $17 mn. In other words, they have $17 mn in revenues, and $37 mn in expenses.

With $42 mn cash on the balance sheet, they'd better turn this tanker around pretty quickly, because it looks to me like they run out of cash in about 6 months, 12 months max. Is there some more revenue on the horizon, at least? Because if the company hits its 25% growth target for 2013, that extra $4-5 million per quarter is not going to be enough, even if they can do it with no additional expenses.

Regards DTM
(closed my short at $11, feeling stupid about it)

Print the post Back To Top
UnThreaded | Threaded | Whole Thread (3) | Ignore Thread Prev Thread | Next Thread
Advertisement