CTI Holdings (CTIG) earnings update.
CTIG announced Q1 2015 (March 31, 2015) earnings on 5/14/2015.
After the huge Q4 2014 quarter, this quarters results were more in-line with their previous run-rate. Revenues were $4.1 million, compared to $3.95 million in 2014. They also made $10,000 for the quarter.
Our valuation fell a bit to $1.21 a share, down from $1.39 last quarter, but up 20% from $.99 last year. We will continue to HOLD CTIG. The stock closed at $.58 ask on 5/14/2015.
Bridgeline Digital (BLIN) earnings update.
BLIN reported Q2 2015 (March 31, 2015) earnings on 5/14/2015.
Another very disappointing quarter. Revenues fell to $4.8 million from $5.3 million last year. They lost $2.1 million compared to $2.3 million last year, showing the improvement in spending as a result of their cost curtailment efforts. On a Non-GAAP basis they lost $1.2 million versus $1.3 million last year. Our valuation fell to $5.85 (adjusted for the 5 for 1 split last week, down from $7.53 last quarter and $8.82 last year. BLIN closed at $2.10 on 5/14/2015.
From their press release:
“We took a hard look at our expenses as an important new iAPPS customer engagement is taking much longer to deploy than expected, due to external factors,” said Thomas Massie, Bridgeline Digital’s President and Chief Executive Officer. “As a result, we decided to reduce our expenses by approximately $4.5 million on an annual basis, so we can achieve positive Adjusted EBITDA in the coming quarters on what we think is a conservative set of assumptions. This will provide upside leverage on additional marginal sales success, which we are working to make happen. We have an outstanding product and excellent customers, and we are very excited about our future.”
If this doesn’t happen soon, they will need to sell the company. HOLD
CaféPress (PRSS) earnings update.
PRSS announced Q1 2015 (3/31/2015) earnings on 5/12/2015.
Again, this is a complex period for the company with the recent divestitures of two of their operating entities. We had estimated a valuation of $12.51 based on their reported annual results, but it came in at $9.09 a share—which is still more than double the current price. Cash from the divestitures ballooned the balance to $51.4 million or $3.21 a share. Operating performance fell short though. Revenues were $27.4 versus $30.9 million last year. On a Non-GAAP basis they lost$ 2 million versus a loss of $3.1 million last year from continuing operations. We continue to rate PRSS a BUY.
From their press release:
“We are taking proactive steps toward optimizing our business and operating as a leaner company focused on generating higher quality revenues. We believe that our data-driven approach to understanding opportunities with customers and partners will result in an increased ability to capture the very substantial opportunities within the personalized e-commerce market. We still have substantial work ahead of us as we continue to look for operational efficiencies while keeping a sharp focus on expense management. While these strategic moves may create near term pressure on revenue, we are extremely excited by the long-term prospects for CafePress,” concluded Mr. Durham.
We are betting on the new management team to make this happen and realize the full value of PRSS.