To me, the repayment of a large amount of the debt was the most pleasing & positive part of this report. (I am still seething over the unnecessary legal action though - particularly the level of legal fees).
The newly found strength of the balance sheet is being highlighted, but it should not be forgotten that it was mainly achieved by another circa $10m capital raising. This CR resulted in a 48% increase in the amount of shares outstanding - a significant dilution of existing share holders.
The numbers are starting to look more promising but I am looking forward to the day when the balance sheet is being strengthened by the operation of the business itself - ie...from increasing and ongoing strong sales revenue, subsequent profitability and strong positive cash flow....as opposed to CR's.
The question for me is...will the share price recover to previous levels - or even greater levels ... BEFORE the obligatory take over commences?
CDY Price at posting:
26.0¢ Sentiment: None Disclosure: Held
