re: Ann: QHL Appendix 4C and Quarterly Commen... I like it.
Also, the Russian deal is worth AUD$6m over eighteen months. That equates to $1m/quarter. I read that the money will trickle in over the period of the 18 months so I'm using this as an assumption ( and it may not be the case)and think the next quarterly might actually look quite healthy. They are still ramping up so revenue from production should be increasing each month, combine this with $1m from the Russian contract and the bottom line might be looking very healthy in the next quarterly.
The current position of the ozzy $ is also helping and is making those tenders QHL have submitted more competitive than they would have been a few months ago. Think of the implications if one of these goes through this quarter and is similar to the Russian deal.
The other point I've been pondering is what impact will the prepayments QHL have received have on the next quarters. Money has been received and spent on components they need to make and will incur production costs on them.
However management are aware of this and are still confident that revenue to be received will be enough to sustain operations.
I'm hoping after reading the next quarterly I can open my post with "I like it, I like it a lot"(or god forbid "I love it".
JMO GLTA
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