Sunday, December 11, 2005
still more companies
Assets are mostly cash and inventories, some goodwill. Nearly all equity. Current ratio is greater than 4. 54% gross margins. 12% operational margins. Low tax. About 4.8 cents of net income per diluted share, excluding creditor settlement/recovery. They earned 7 cents in 2003. Cash flow from ops is pretty crappy due to non-cash assets/liabilities. Capex less than depreciation. 14.6 million shares. 1.32 million options.
Q3 2005: Revenues for the year are a bit higher. SG&A is up (lost rental income from tenant) and they have a loss from operations. However, it looks like they're working on expanding the business (R&D is much higher, discussion mentions it). Cash flow is still bad: inventories. However, they have lots of cash and the burn rate is very low.
The business is probably only worth 60 cents. It's selling for 60 cents.
TMFZ, holding mortgage loans.
TMOL (sec), They own the rights to a technology used by the government of Moldovia to issue IDs. 100 million shares. Very weak and unstable balance sheet. Very low margins.
TMSS (sec), software for document management and viewing. Liquidating.
TNEX (sec), car engine diagnostic test equipment. Arizona, Colorado, Idaho, Nevada, Utah, Puerto Rico. Lots of experience back to 1981, but expanded too fast in the mid-1980s which broke up the franchise system. Now they say they've gotten the religion. 12 employees. They've had to take back some franchises, including a bankruptcy: bad sign. The company-owned centers have losses.
Balance sheet doesn't look bad. The "Results of Operations" talked about operating income of $719 in 2005 and for some reason, I thought they meant something like $719K, but no, they earned seven-hundred-and-nineteen dollars in 2005. Over the years, gross margins are high, but SG&A is killing them. This just looks like a bad business, regardless of management.
TNRK (sec, website, yahoo), industrial batteries: design/mfg and also authorized distributor for all the majors. Earnings have been fairly regular in the $1.70 range diluted. Great balance sheet. Margins are OK and consistent. Depreciation is routinely about 10% of net income and matches capex. Cash flow from ops is skewed by lumping purchase of investments into it, but otherwise it looks ok. Investments are mostly US government notes. They should really be paying dividends instead. No customer concentration. Otherwise, looks like a great business. Latest quarter is just more of the same. Stock is probably worth $26. Currently selling for $22.50.
TOTG (sec), remote tracking of physical assets (pipelines, wells, vehicles, ships, containers). Based out of the UK. RFID with low-earth satellite relay.
Balance sheet looks "unused". Income statement shows it's really a development stage company. Latest quarter shows increase in revenues, but not nearly enough
worth following to see where it goes
TPFS (sec), no business activities, was doing a reverse merger with Toolbuilders, but now they're doing a reverse merger with Command Staffing. Too difficult to see what might happen.
TPOP (sec), real estate business in non-bubble areas like Kansas and Missouri. Apartments (largest category), office buildings, warehouses, parking lots, garages. High leverage. Took a loss in 2004 not due to any one factor, just higher across the board expenses (made money in earlier years). Cash flow from ops is good due to high depreciation. It's difficult to tell free cash flow.
Q3: still losing money. For the 9 months, they'd be losing money except for a gain-on-sale.
TRDY (sec), children's books and audiobooks, stuffed animals. Holds publishing license from Disney for Winnie the Pooh etc. (73% of revenues). Also gained Smithsonian license for educational kits. Had a memorandum of understanding with Chart Studio, which TRDY says was breached.
Assets are all inventories and AR, with some pre-publication pre-paid costs. Total liabilities is greater than total assets. However, sales have ramped up in the year ending Mar 2005. Gross margins are more than 50%. They were pretty much at break-even in 2004. 442 million shares.
In the most recent quarter, they're making a profit of about $300K (no taxes paid). If we assume taxes and earnings of $210K, this would annualize to about 1/5 of a cent per share and the stock might be worth 3 cents. It's selling for about 7 cents.