Mate I don't think the market cares about your calculations aye

First 14422 Last

Share
Profile

Follow
eric341

7,594 Posts.

826

07/06/22

14:12

Post #: 61868150
Share

Originally posted by steve10: ↑

Allowing for $3M pa savings announced, $1M pa savings for fulfilment, $900k revenue increase x 57% = about $500k extra margin per quarter Q1/Q2/Q4 & $1,250k revenue reduction x 57% = about $700k less margin Q3 it appears there is about $2M cash buffer until cashflow positive. A CR may not be required & there are also another 5 warehouses to flip. Revenue increases are conservative.

Q3 FY22 = $3M cash burn - $500k cost savings Q4 FY22 = $2.5M - $500k additional GP Q4 FY22 = -$2M cash burn Q4 FY22
$7.74M cash - $2M Q4 FY22 = $5.74M / $2M = more than 2 quarters

Q4 FY22 = $2M cash burn - $250k cost savings = $1.75M - $500k additional GP Q1 FY23 = -$1.25M cash burn Q1 FY23
$5.74M cash - $1.25M Q1 FY23 = $4.49M cash / $1.25M = more than 2 quarters

Q1 FY23 = $1.25M cash burn - $250k cost savings = $1M - $500k additional GP Q2 FY23 = -$0.5M cash burn Q2 FY23
$4.49M cash - $0.5M Q2 FY23 = $3.99M / $0.5M = more than 2 quarters

Q2 FY23 = $0.5M cash burn + $700k less GP Q3 FY23 = -$1.2M cash burn Q3 FY23
$3.99M cash - $1.2M Q3 FY23 = $2.79M / $1.2M = more than 2 quarters

Q3 FY23 = $1.2M cash burn - $500k additional GP Q4 FY23 = -$0.7M cash burn Q4 FY23
$2.79M cash - $0.7M Q4 FY23 = $2.09M / $0.7M = more than 2 quarters

Q4 FY23 = $0.7M cash burn - $500k additional GP Q1 FY24 = -$0.2M cash burn Q1 FY24
$2.09M cash - $0.2M = $1.89M / $0.2M = more than 2 quarters

Q1 FY24 = $0.2M cash burn - $500k additional GP Q2 FY24 = +$0.3M cash flow positive Q2 FY24
$1.89M cash + $0.3M = $2.19M & cashflow positive

Expand

Mate I don't think the market cares about your calculations aye

DW8 Price at posting: 2.0¢ Sentiment: Sell Disclosure: Not Held
5 Upvote

0 Great analysis

Reply