Incidentally, I should have specified that the adjustment for Net Payables in the table above was done on an incremental basis, i.e. it was the annual increase in Net Payables that was subtracted from Net Receipts, not the absolute amount.
While the fact that the Company is able to run a negative working capital position is not a bad thing in itself, the postponement of payments into following financial periods does inflate reported Net Receipts above the level that can be truly considered as recurring, hence the impact on cash conversion metrics.
GEM Price at posting:
$4.09 Sentiment: Buy Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)