Ross Taylor: Right. So you don’t need to do CapEx. We’re looking at something where what you — we believe in Stadco you’re building, I believe you’re building are key structural components for each of those programs that you’re involved with. It’s hard to build either airframe without your product. So one would assume that as it ramps, unless they have scores of these things sitting someplace in the warehouse, you’re going to see that business. That’s more of a comment that you’re free to agree or disagree? I’m going to push on to one thing. You talked about the idea you do — you got — you’re doing turnarounds. And you did turn around at Ranor. And that really caught fire and two quarters ago really was in place. It’s kind of for a variety of reasons, kind of, stumbled a little bit the last couple of quarters.
But from what I’m hearing you say, that’s going to self-correct. The caller who basically asked about profitability, I have to say I hate your answer, Alex, because in the end, we know that the business needs to be profitable. It needs to be self-funding. It needs to be doing all that. You know that. I know that. Your Board knows that, and that is what the goal is, and I’m confident that if you cannot achieve that, the Board will sell this company to someone who can achieve it with the business. So and I know that you are a good operator, so you will achieve that. But the question really then is and I think the question is being asked is there’s the third turnaround, which is the company itself from a shareholder perspective. And while you have done well from the beginning, the stock is really kind of run out of gas, a little bit like your backlog it would strike me as this company needs — you uplifted — you can see the frustration, all that one has to do is look at the votes on the last election for the directors and the like.
I’ve rarely seen that type of shareholder commentary when there was no organized effort to get a vote out against it as just a level of frustration that people have. Do you see or do you have the ability of this company, does the Board focus on not just kind of — are we struggling to get this thing just right or are we looking forward enough to say, we know we need to get this profitable because going back to your Chairman’s comment years ago, that he foresaw the end game here was a company being sold. And I’m not quite sure he anticipated it would be this many years before it was sold. But I do think you need to start focusing on profitability. I think you need to find a way to tell the story. I would recommend you listen to the gram calls because they don’t say a lot, but they say it in a way that people love.
And it really don’t say a lot. So maybe over the holiday, you can listen to a few of those calls and figure out, is there a way we can tell this story that can reach a broader audience. We see we have a new institutional investor who’s a large investor, it would be nice to have more of those people involved to help soak up the stock and carry this idea forward and quite honestly help the springboard the investment to higher levels. Understood…
Alex Shen: Understood.
Ross Taylor: Okay.
Alex Shen: Yes, understood.
Ross Taylor: Thank you. Thank you, sir. Take care.
Operator: Thank you. The next question is coming from Richard Greulich from REG Capital Advisors. Richard, your line is live.
Richard Greulich: Thank you. You want to go back to the CapEx question…
Alex Shen: Excuse me, I can’t really hear. It’s very muffled.
Richard Greulich: Is this better?
Alex Shen: Now, yes.
Richard Greulich: Okay. So I want to go back to the CapEx question. My understanding from the prior dialogue was that another entity or entities are underwriting some of the cap expenditures. But how does that show up if it does on the financial statements then.
Bobby Lilley: Say that again.
Richard Greulich: If what TechPrecision spends on its capital expenditures is augmented by other capital equipment being purchased by another entity or entities. So does that show up in their — in the financial statement or no?
Bobby Lilley: Yes. The total CapEx is all inclusive of any funding.
Richard Greulich: Okay. And so what is the — how does that get offset in terms of how I look at the financial statements then. So if, for example, I guess in six months…
Alex Shen: We are buying — the CapEx is expanded by the company, so the company spends the money, right? So that shows up, right?
Richard Greulich: Right. So that shows up in the cash flow analysis of $2.6 million for the six months, let’s say. So where is the inflow of funds from other outside entities?
Alex Shen: That would be on appeal.
Richard Greulich: I’m sorry, on what?
Alex Shen: A purchase order.
Richard Greulich: Okay. Let me think about that. I’m not sure I fully understand how that ends up. But other words is the purchase order amount in excess to include that capital spending.
Alex Shen: I’m sorry, could you please say that again, one more time, excuse us.
