Terrifying cash position. Scrambling to put in place cash flow contingency plans, looking to Radium Capital for a loan against their R&D refund, that's going to potentially cost them 150k for 60 days. The vast amounts of money being just burned is insane. 150k to some may not sound like much, but to an investor that has put 10k of hard earned savings into the recent raise or any raise, its just disappointing.
If I was looking at this quarterly from a purely numbers perspective there is no way I would be investing in CAN (hindsight is wonderful).
A slight positive note 'product manufacturing and operating costs' has been trending downwards quarter on quarter, so I see some truth in what was being said by management in terms of efficiencies. However this is offset by the considerable increase in staff costs (one mill increase this quarter over last), receipts from customers up roughly 900k quarter on quarter, no where near enough for break even.
Need to keep expenditure exactly where it is and double revenue to achieve break even next quarter, which is not going to happen which means I expect at least a 3 million cash burn next quarter as well (if we are lucky), then we have the debt burden!
Please someone see something I am not seeing and bring me back my rose tinted spectacles!
CAN Price at posting:
13.3¢ Sentiment: Hold Disclosure: Held
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