PART 2

Newer Portfolio Holdings

• Sonic Foundry Inc (OOTC:SOFO) – Video capture / lecture platform
  • Link to RFT
  • Board member buyout rejected 
  • Revenue growth for the first time in several years
  • Profitable for the first time 
  • Does not even account several new customer announcements made in April
  • $5.00 floor could be set
  • Converts debt to equity = clean balance sheet 
  • Under-penetrated customer base
  • Research to be published – Will let you know.

• Mamamancini’s Hldgs Inc (OOTC:MMMB) – Food 
  • Connor Haley – follow on twitter @AltaFoxCapital
  • Michael Liu Article (Follow on twitter @michael2017l)
  • Highlight track record of CEO
  • Still early in DD, but like what we see so far

• Retractable Technologies, Inc. (NYSE:RVP) – Safety needles 
  • Link to article 
  • COVID-19 InfoArb
  • New article validates 
  • $15.2 million in cash 
  • Doubt BDX will use lame tricks during crisis
  • Nice commentary in 10Q filing 

Historically, unit sales have increased in the latter part of the year due, in part, to the demand for syringes during the flu season. As discussed below, we expect an increase in sales due to a recent order from the United States government. We can reasonably expect the order relates to the novel coronavirus pandemic. We cannot predict whether our sales trends will correspond with the usual flu season this year and we cannot estimate the consequences to our industry of stay-at-home orders and other precautions on sales to our customers other than the United States government.

On May 1, 2020, we were awarded a delivery order under an existing contract by the Department of Health and Human Services of the United States to supply automated retraction safety syringes. The total fixed price under the delivery order is $83,788,440. The existing contract was executed in September 2018, but the order placed on May 1, 2020 is unusually significant. We expect to increase both domestic and foreign production and add additional personnel in response to this material delivery order. We expect to perform under this delivery order during 2020 and a portion of 2021.

Domestic sales accounted for 74.4% and 77.4% of our revenues for the three months ended March 31, 2020 and 2019, respectively. Domestic revenues increased 35.8% principally due to increased volumes. Domestic unit sales increased 31.4%. Domestic unit sales were 65.2% of total unit sales for the three months ended March 31, 2020. International unit sales and revenues increased 56.8% and 59.9%, respectively, due to higher unit sales. Our international orders may be subject to significant fluctuation over time. Overall unit sales increased 39.2%. While we cannot predict the effect of the novel coronavirus on future periods, we do not believe that the virus had a material effect on sales in the first quarter of 2020.

• Greystone Logistics (OOTC:GLGI) – Plastic pallets
  • Next industry report 
  • Diversifies customer base
  • COVID 19 
  • Walmart and major beer company 
  • Follow Brian McCann on twitter @Bootstrap68
• Crexendo Inc (OOTC:CXDO) – Cloud Communications (UCaaS)

Future Discussions

On The Turnaround Radar

• Watching Mikros Systems Corp (OOTC:MKRS) closely 

Lesson

• Information Analysis Inc (OOTC:IAIC) Lesson – Sequential vs Year over Year (YoY) financial comparisons