Innovativ Media Group Inc (OTCMKTS:INMG) Hoisted Up by Positive Q3 Results
If the press releases and other sources of information are to be believed, Innovativ Media Group Inc (OTCMKTS:INMG) is in the business of producing and distributing digital content. Yet, the signs put up on the building that is supposed to be housing their corporate headquarters suggest that the company is offering passport photo printing and mailbox rental services. Either that or they happen to be renting one of the mailboxes.
Whatever the case, investors are interested in the company. On Monday, trading was quite a bit more intense than what we’re used to seeing from INMG and thanks to the increased volume, the ticker ran from $0.0003 all the way to $0.0005. Yesterday, it was even more active and after another 20% surge, it reached $0.0006. That may not sound like much, but it’s actually the highest close for INMG in just under eight months.
Investors’ excitement stems from the Q3 report that INMG filed on Sunday. Here’s what it looks like:
- cash: $53,716
- current assets: $64,740
- current liabilities: $24,983
- quarterly revenue: $48,933
- quarterly net income: $14,718
Investors aren’t the only ones excited about the statement. The management team are so proud of their achievement, in fact, that yesterday, they decided to issue a press release and tell everybody how happy they are.
There’s no getting away from the fact that in terms of financial results, Q3 has been the most successful quarter in the company’s history. Whether it’s successful enough, however, is another matter and we reckon that you should ponder over it before you put any money on the line.
While you’re at it, you might also bear in mind that like many of their OTC counterparts, INMG too have been forced to issue some convertible notes over the years. Thanks to the loose alternative reporting standards, the filings don’t give us too much information on the conversion terms, but the latest report did tell us that during the first half of 2015, around $57 thousand worth of debt and interest was turned into nearly 713 million shares. That pushes the average conversion rate down to just $0.00008 per share (yes, that’s four zeros).
We probably don’t need to tell you what could happen to INMG if these shares flood the open market.
