Todor Pichurov

IJJ Corporation (OTCMKTS:IJJP) Attempts New Run

by Todor Pichurov March 17, 2015

After a month-long roller coaster ride that ended on a low note, IJJ Corporation (OTCMKTS:IJJP, IJJP message board) is trying another run up the charts. The company climbed a total of 37% over the last two sessions. This impressive feat is made a little less remarkable by the fact that this climb left JIIP at half a penny per share.

The company's previous run started back in early February but as it often happens the price got ahead of itself. After IJJP stock appreciated about 300% within the space of two weeks, the coming drop was more or less to be expected. Now the company is making another push.

IJJP announced reducing its authorized shares by 500 million, down to 2.5 billion. While this is in the 'good news' ballpark, it doesn't mean much as the company still has plenty of space to dilute from its current outstanding shares number. The Q1 report that was put up yesterday contains the following figures:

  • $418 thousand in cash
  • $20 thousand in current liabilities
  • $51 thousand in quarterly revenues
  • $22 thousand in quarterly net profit

The company recorded profit despite its very slim revenues simply because expenses for the whole quarter were intriguingly low. General and administrative expenses incurred by IJJP averaged about $1,000 per month – a curiously low number for a revenue-generating company.

In the PR informing of the authorized share reduction, IJJP also listed that following the decrease, the company will have 1.81 billion outstanding shares. On Jan 31 this number was 1.16 billion. This effectively means the company diluted its retail shareholders by 56% in the space of a month and a half – no small feat, even for a pink sheet enterprise.

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