Ann: Nuheara Commences Shipping of Next Generation IQbuds BOOST, page-23

Your Duds

Finding yr comments on post Xmas sales quite amusing. When the 4c came out for the December quarter, everybody was quick to point out that the pre Xmas sales would only show this Qtr (Jan to Mar), given B& M terms etc. Now you are saying Q 1 will not be great, given that it is quiet Qtr. If average payment terms are a minimum of 60 days, then two thirds of the cash flows from the December Qtr should show this Qtr.

I will put it out there that if the cash from Sales Revenue in this Qtr translates to anything around 4000 units(essentially flat vs 2017 sales), then it will be time for the Ra-Ra brigade on HC to accept that Nuheara are battling to gain traction with the original IQ buds. If this were the case, then we can also question whether we have achieved any ‘word of mouth’ effect.

Yes I know we now have a second product and soon will have a third. But in terms of the new 4 c, let’s evaluate the success of the original IQ buds. We have a trajectory in capability (Distribution channels). Are we forming a trajectory in Sales Revenue to match ?

Rokewa