On the stock market since 2003, it operates in the world of heavy industry. It has 29 employees. Now — the numbers.
The company closed last year at a loss: costs ran above sales. The picture changes only if spending is reined in.
An average decline of 3% a year over the last 4 years — the most striking risk in this picture. Red columns mark years that ended in a loss.
Before the clock runs out, either sales must climb sharply or new money must come in. This is the most critical line in the whole picture.
The stock trades 57% below its peak. The market has trimmed its expectations for the company.
Over the last 12 months, company executives reported 3 buys and 2 sells. Management buying with its own money is usually read as a good sign.
A loss of $1.2M against $5.5M in annual sales. And on top of that, sales fell from the year before.
The stock sits at $0.03. Under exchange rules, stocks that stay below $1 for too long risk being removed from the market.
At the current pace of spending, the cash lasts less than a year. After that, the company needs to find new money.
On our five-subject report card, TKOI sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: TKOI is a small company that closed last year at a loss. The road back to profit runs through spending discipline.