Ann: Appendix 4C Quarterly (Q2 2023) and Business Update, page-19

Great analysis Shortblack.
It’s very clear that PET is undertaking a huge expense reduction to preserve cash.
The June 23 quarter cash expenses of $1.7m is some $1.5m less than the average for the last four quarters. PET doesn’t detail how it halved its quarterly cash expenses but most likely achieved this by not running the factory, not buying any raw materials, staff retrenchments and deferring paying some expenses until the next quarter.
$1.7m quarterly cash expenses is not the new norm and likely to rise by a meaningful amount in the next quarter.
The future of PET is all about sales. Sales of $3m for 2022 and estimated $1m to $1.5m for the first half of 2023 can’t sustain the company.