Message Font: Serif | Sans-Serif
 
No. of Recommendations: 0
Hand't checked this board in a long time. Glad to see an intelligent discussion!

Someone asked about a lost contract and mentioned Volvo. I attended the annual meeting, and I believe Rizai said they had never lost a contract to a competitor. I guess that leaves open the door to someone deciding they just didn't want to buy 3D visualization tools, but I've never heard a rumor about that. And in March Volvo truck was announced as a major contract.

As of the annual meeting, 3 of the pending contracts at the end of Q1 had closed (and they had indicated that if a "couple" had closed they would have made Q1 estimates) and that all were still expected to close.

They did lose the interactive customer on the auto simulation game, but that appears to be insolvency on the part of the customer...no cash, no earnings, a restructuring, and a contract with Goldman Sachs (I think) to discuss a possible sale of the company. Looks to me like the customer couldn't pay their bills.

They have announced 4 major contracts this quarter. The rumor is that none of those were pending contracts from last quarter, but I can't verify that. I had heard second hand that they would not announce the contracts from last quarter...but there is no way to tell from the announcements. Those 4 contracts, plus the new Jack 2.2, should to a long way toward making this a solid quarter.

And e-Vis should kick in for Q3, I think, at least in pilot phases.

If we can show solid earnings this quarter and next, we should be back on track. I would still like to see them make up most of the missed earnings from Q1, but I would also expect that to be spread out over the remainder of the year.

Good luck!
Print the post  

Announcements

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.