Wireless Ronin yesterday reported for the recent quarter, sales of USD 1.6M and a loss of USD 5.0M and you have to wonder if there isn’t a seriously broken business model somewhere here?
Back in June we analysed “Why Wireless Ronin Is Taking A Beating…“- they had seen their CFO resign and had taken a big hit with their customer NewSight who owed them money, and despite extended credit terms had effectively defaulted on payments again and again.
Jeffrey Mack, Wireless Ronin’s chairman, president and chief executive officer was upbeat in his statement yesterday when he said “I am pleased with our accomplishments in the second quarter and the progress we made toward our future growth and profitability objectives”.
To be fair to them it is incredibly onerous to try and build a new business and have to report quarterly financial details (their competitors must love it) BUT hey that’s what being a publicly listed company is all about!
It’s no surprise that so many CEOs we have spoken to in our business – in the US, UK and in continental Europe have all said they want a chunk of money, then to have time to (privately) build their business before going public.
Far too many companies have gone public too early with either a poor / ill-define business model or simply not enough traction (perhaps yet) to get a recurring revenue stream.
Anyway the highlights of Q2 for Wireless Ronin were reported as: –
- Achieves six month year-to-date revenue of $3.5 million, up nearly 9 percent from 2007
- Business development efforts result in fifteen new clients spanning multiple vertical markets
- New product development yields additional capabilities and expanded services, scheduled to be introduced in the third quarter
- Selected by Chrysler LLC for iShowroom interactive program
- Canadian KFC testing Wireless Ronin’s digital signage solutions
- Continued expansion of relationship with Thomson Reuters
- Announces key board and management additions
http://biz.yahoo.com/ has the full report on the Q2 2008 Results.