Ann: Appendix 4E and FY21 Financial Report, page-8

Hear you Dentie, I was holding my breath not to write (because as Pharma will tell you , i don't hold any stock) however just re reading the first paragraph of this report just makes my blood boil for the poor "mums and dads and cafe bar owners" who get sucked into this doublespeak.

You don't have to be an optimist or pessimist but a realist to understand why I feel this way.

Lets take the first paragraph :

"Cellmid continued to deliver on its Growth Strategy in FY2021 with a strong focus on rationalising operational expenditure. Having successfully executed on the sale of its midkine research and development operations, Lyramid, Cellmid progressed towards operational profitability. The Company did not release guidance in relation to its operations for FY2021 due to the ongoing uncertainly around the impact of the COVID-19 pandemic, however, some of the key milestones towards reaching profitability in the near term have been achieved.."

So lets get this right from the getgo , in accounting speak 'operational expenditure' and 'operational profitability' does not mean 'total expenditure' or 'total net profit' and notwithstanding that the sales of businesses are one offs the attention to head count and excessive renumeration for BOD and CEO/MD's is for a company of this MC and revenue projections, criminal. It will IMO (as posted many times) take at least $12m in net sales to generate $0 (breakeven) net profit at this current fixed expenditure rate which is predominately made up of this insane/ludicrous wage bill.

Once again as per last annual report, good old 'COVID-19' has been mentioned about 10 times in this summary report as the excuse (not the reason) for the company not only for its failure to perform to its full potential but struggling to forecast (give guidance) to where it may be in 12-24 months time. It is amazing for company that is predominately online for sales cannot 'guess' its sales outcome like many others have done so on the ASX. If anything an online sales company should be taking full advantage of the COVID situation not as an excuse for poor management execution. And this is where I draw the line with this company and that is INTEGRITY - they have none. The FIN REVIEW had every right to call out the shenanigans of this company over the last 5 years. This report just reinforces this sad 'realism'!