Message Font: Serif | Sans-Serif
No. of Recommendations: 2
Here's what a Guru said in early November;

"Gaiam, Inc. (GAIA) posted fabulous results for its third quarter, ending September 30. Revenues grew 23.5% to $74.4 million, helped by increases in its retail trade and solar divisions.

Operating income increased to $945,000 from a loss of $17.3 million during the same quarter of the last year, and earnings per share came in at 2 cents vs. analysts' expectations of a penny per share.

The company stated that its gross profit grew to $35.8 million for the quarter, up from $33.8 million last year. That's a significant increase, considering that as a percentage of revenue, gross profit declined to 48.1%, as Gaiam's lower margin solar business grew to become a larger portion of the company's total revenues.

And more good marks for Gaiam—the company's selling and operating expenses declined to $31.6 million or 42.5% of revenue during the third quarter of 2009, from $34.0 million or 56.5% of revenue during the same quarter last year. This was due to the implementation of Gaiam's cost saving measures.

Lastly, Gaiam's free cash flow climbed to $1.8 million, an $11.3 million improvement from the free cash flow use of $9.5 million during last year's third quarter.

As far as outlook, management stated that fourth quarter retail orders were continuing to improve and that the company expects to "return to double-digit internal revenue growth, in-line with our historical rates, in the fourth quarter." And that sounds good to me! Continue to hold GAIA for our $13 target."

I bought some @ $5.05 in July and more today @ $7.39. I'm hanging on for the ride.
Print the post  


When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.