If you look at Intersuisse's Oct' 11 note they say that $35m is required in total before revenue exceeds costs.
So Winner, going by your schedule below, combined with the research note which states that IFE still had $10m at June 30 2011, that means they still required $25m expenditure in order to become profitable. Now being profitable isn't really the issue, it's the cash creation that counts. So what is the mystery number that would be required from this point to start generating cash (become self funding)?
If we had $49k at 31/12/11, and we received $6m, and now $3m, then pay bond of $5.8m, then that leaves us with $3.25m less any operating expenses to date in the current quarter.
Cash is the life blood, the questions of interest are around the timing of our expenses, when will they fall due? Expenses like contractors and the operational aspects of Lucky Bay.
Unless I've missed some obvious issues, I reckon we have about $3.25m less what we've spent this quarter, only the IFE boys know what that figure is.
We're more derisked than we've ever been, but we've still got some very significant issues to address if we're to turn dirt in the next 6 weeks.
All the best people
TYX Price at posting:
90.0¢ Sentiment: Hold Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)