Nuvectra

Tick ...tock....

I can hear the last few pennies rattling in the piggy bank....

SEC deadline is 45 days following the end of the quarter... so no later than 11-14...

 

there should still be an announcement by now on when they are going to report. think they’re scrambling to find some good news or mitigation to a garbage quarter?

 

Keep in mind the first month of the quarter was so bad (most likely) that they announced they are seeking strategic alternatives and laid off 25% of their staff almost across the board in which they have an already cut to the bone thin levels of staffing in critical functions.

So they made a major move of sheer desperation one month into this quarter, they can't retain salespeople, critical staff across the board is laid off, quit or disheartened to the point of indifference. No doubt customers have gotten wind of all this and who wants to implant for a company that is on the verge of bankruptcy? This quarter they entered the event horizon of the death spiral. They are delaying as much as possible since the numbers are going to be so bad that the longer they delay the better.

 

I doubt the first month of the quarter was bad enough to cause all of that. I think it was a cumulative effect of running low on cash and inability issue more debt or sell more stock to finance. Drees was right about that at least - keeping the stock price up was important. BUT the actions that they took I think are going to lead to the rest of what you describe.

Moral is low but the handful of people I know that work there think they are going to get bought. That’s what keeps them going.

 

I have yet to see a compelling reason anyone would buy them. Virtis isn’t happening and won’t be a blip in that market now anyway.

 

Heck, maybe axonics will buy/license their lead design for virtis. For sure sowyer et al were able to design around their own patents that axonics is now being sued for. again, price would need to be lower but that 7% that axnx dropped today is twice nvtrs market cap.

this is only a $21 million dollar company.

Since they are too afraid to post earnings the end might be sooner than any of us expect. bankruptcy looks more and more likely.

 

Final few weeks of the countdown. Be nimble employees. Hope you have found a landing spot somewhere

 

Got odds on if they post a 10-Q by the 15th of November? They issued guidance or $50-55m on the year in their Q2 10-Q with sales of ~23.5m for the first half so there’s ~26.5m they expected to make in the second half to hit guidance.... probabilities they hit 13.7m in revenue Q3?

They ended last FY with ~99m with cash and cash equivalents and ended 1H with ~69m. I wonder what their burn rate was in Q3?

 

Q2 revenue at 12.3m, net loss of 11.1m. My bet is they had Q3 revenue between 6m-9m, but they also let go a large portion of their staff, so the operating expenses were lower. Prediction: net loss of ~12m-15m

 

Answers self.

 

That “cash” was mostly debt. So they are almost all out of actual money.

 

http://investors.nuvectramed.com/news-releases/news-release-details/nuvectrar-continuing-support-current-patients-algovitar-implant

that settles things...?

 

call me Nostradamus

 

does this mean we can finally stop seeing nuvectra posts on the st. jude board?

 

It has been an odd place for this thread to exist.

Thank you Scott Drees, Norbert and the board for not fixing the technology.

 

You all hate on Drees and talk about him like he was incompetent. He was extremely competent. Look how much he money he made while providing absolutely no value. Best salesman Nuvectra had. It's too bad for shareholder he was best at selling bullshit but his sales skills cannot be denied. Over his time from Nuvectra he got paid at least 12.2 million dollars. That's more than 3 times Nuvectra's enterprise value. Mull that over.

2015 was paid $6.9 million for purchase of non-controlling interest in the companies that became Nuvectra.
2015 was paid $0.3 million for bonus.
2016 was paid $2.0 million in compensation
2017 was paid $0.7 million in compensation
2018 was paid $1.1 million
2019 severance was $1.2 million

And that doesn't even include the 2% of the company he was gifted at spin-off. Granted, the spin-off gift isn't worth much now (around 80k) but I doubt he didn't sell off most of that.

And despite all that money, he couldn't even afford socks.

You all need to stop hating on Drees and learn from him.

 

Scott? Is that you?

to scam investors and harm countless peoples life by lying about a company? The guy is a fraud. He should be in jail. I don't respect that type of talent even if he does have it. The fact is he has no intelligence in anything other than lying. If he wasn't lying then he was incredibly stupid to not know the state his company was in. The people he put in place in technical management were unimaginably bad.

Now thousands of people are stuck with an implant that won't communicate, can barely charge and people have lost hundreds of millions.

 

Ya think they’ll pay me for unused vacation days? Will I need to return my spine model? Will they reimburse me for bogus parking and office supply expenses? Asking for a friend!

 

what ever happened to the little guy, hanchin? Guessing he's managing a strip center cell phone store...

 

Spine model, no. that’s yours to keep unless you tell someone you have it. so don’t. doesn’t sound like that will keep you up at night. whether you get any of your backed pay (much less vacation or expense reimbursement) is now up to a judge. you should try to transfer your 401k before they stop paying that vendor.