07-25-2014, 10:49 PM
Sales, General and Administrative expenses.
If you look at their most recent 10-Q here you can see that revenues and gross profits have been going up but with sales and marketing quintupling from $1M to $5M and General/Admin more than tripling from $835k to $2.6M they still aren't making much of a profit.
Reading through it sounds like they had a new product towards the end of 2013 that greatly increased revenues but also had higher expenses due to the ramp up and increased payouts for commissions to members and hiring of new employees.
I know nothing of this company other than the 5 minutes I just spent looking at the 10-Q. Who knows, maybe if they don't go bankrupt or get de-listed they can continue the growth with the new product and end up making some money in the future.
If nothing else its a lesson learned, we've all been through them!
If you look at their most recent 10-Q here you can see that revenues and gross profits have been going up but with sales and marketing quintupling from $1M to $5M and General/Admin more than tripling from $835k to $2.6M they still aren't making much of a profit.
Reading through it sounds like they had a new product towards the end of 2013 that greatly increased revenues but also had higher expenses due to the ramp up and increased payouts for commissions to members and hiring of new employees.
I know nothing of this company other than the 5 minutes I just spent looking at the 10-Q. Who knows, maybe if they don't go bankrupt or get de-listed they can continue the growth with the new product and end up making some money in the future.
If nothing else its a lesson learned, we've all been through them!