burning cash, page-7

Hi Guys,
I'm no financial wizard myself, I'm a grunt by trade who has an interest in the stock market and in particular specky's.
The $6m was received after the reporting period. Because it came in post Dec 31 it cannot appear in the quarterly statement but can be announced in the commentary.
It will appear in the next quarterly statement.
As far as contract pre-payments go we can only speculate as the terms are commercial in confidence.
However, they did state they received payment for the tooling up process(about 1.2m i think) for the herc contract and I have assumed the $6m is pre-payment for the yet to be produced/delivered herc parts as it is half the 12m contract.
Cash burn is looking better, Perth is now closed so that will help as well. Another thing to remember is they were ramping up production of gp1 parts for the quarter so the next quarter should be even better as it should reflect a full quarter at these production levels(and even better if gp2 parts start production or gp1 parts is still ramping up).
The thing about holding stock that has "radical" technology is that you need patience.
Take a look at metal storm. They developed the biggest break through in small arms technology since the invention of the machine gun. But look where they are now( in administration and shares were one tenth of a cent before they were suspended.
Why? Because they didn't land any significant contracts for the technology, only small research grants/contracts. If they were able to sell conventional platforms while they marketed their technology they might have been in a different position.(All JMHO of course)
See where I'm going here.
I believe QHL have given us holders an insurance policy by attempting to become a going concern through conventional autoclave contracts (they are buying time effectively). If they become profitable based on this then one of the big boys that may be interested in the technology cant just wait for QHL to fall over and get the technology for peanuts. As might be the case for MST (again JMHO). That is what is giving me confidence to accumulate.
Just another of my 2c worth. And always DYOR (remember I'm just a grunt with time on my hands)
Good luck all