Martinas B.

Paivis Corp. (PAVC) Sinks Down

by Martinas B. October 9, 2007
pavc-logo.jpgIt seems that when the things can't get any worse, you'd better expect a miracle.

But the moment of miracle for Pavis Corp. (PAVC) has not yet arrived and I doubt if it arrive at all.

The company's stock keeps hitting all-time low record, though the data sheet proves that the company stays basically on the same pace, producing roughly the same amount in sales and revenue.

However, the company's plans to extend its empire in telecommunication service sector seems to be a priority. In October 5th, 2007 the company announced that it has signed a definitive agreement with Detroit Phone Cards, Inc., a Detroit, Michigan-based company ("DPC") that generates approximately $30,000,000 in revenue (unaudited) to acquire 100% of its assets.

The Data Sheet


For the three month period ended June 30, 2007, the company earned revenues of $1,322,439 as compared to revenues of $1,417,623 for the same period ended June 30, 2006. The changes in revenues in 2007 are a result of the Company's continued efforts to restructure its business and product offerings, and its efforts to minimize the sale of products with lower margins.

For the three month period ended June 30, 2007, the company incurred operational expenses of $616,255 as compared to $1,045,323 during the same period in the previous year.

These operating expenses included: consulting fees of $95,171 and $103,000, wages & benefits of $171,246 and $178,495, and professional fees of $212,561 and $118,834 for the three month period ended June 30, 2007 and 2006, respectively. The variation in expenses from June 30, 2007 as compared to the same period in the previous year is due to the continued efforts to restructure its business operations and reduction of debt.

The company incurred a net loss from operations of $730,408 for the fiscal quarter ended June 30, 2007, as compared to $1,054,734 for the same period in the previous year. Paivis had cash-on hand totaling $ 4,469 as of June 30, 2007.

The company believes that its currently available working capital provided by operating activities may be insufficient to meet operations at current level and working capital and capital expenditure needs over the next 12 months.

The Stock

The stock's performance over the last year looks as if it was hammered heavily. From as high as $3.5 pinnacle, the stock dived straight to the bottom, arriving just at a price of $0.1500. It's worth to note, that the stock was on the hot spot back in August when it hit a volume of nearly 6 millions.

pavc-chart.jpg

As of August 10, 2007, the company had 42,385,068 shares outstanding, which puts the company's market cap to $7.21 million.

The Product


Headquartered in Atlanta, Georgia, Paivis Corp., a facility-based wholesale telecommunications carrier, delivers application/value-added services in the prepaid services market.

It sells telecommunications products and services, such as prepaid calling cards, prepaid wireless service, and international wholesale terminations.

The company also owns and operates a carrier-class prepaid calling platform, including 2 NACT phone card switches integrated with the voice over Internet protocol system dedicated to domestic and international termination and origination of calls.

As of September 30, 2006, the company's products are sold through approximately 3,000 retail outlets in the United States.

A few References

http://www.paivis.com
http://quotes.nasdaq.com/asp/summaryquote.asp?symbol=PAVC&selected=PAVC

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