In their IPO promo video with Alan Shaller Keith says they made...

In their IPO promo video with Alan Shaller Keith says they made $500k on $3.8m in sales. I am interested to understand why such a big increase in expenses from existing model, or was it true?
I am down around $35k and see no reason to sell to salvage $15k, I will be sending Keith an email asking for more strategic outline as they must be able to sell more organically than there current poor run rate.
Who was the chairman? Don't here from him much.