Bubs acquires China-approved infant formula plant in $35...

First 22 Last

Share
Profile

Follow
aquasea

1,419 Posts.

97

02/09/20

15:45

Post #: 47027385
Share

Originally posted by meghotcop: ↑

Good point, aquasea. You inspired me to look again and closer at the AR.

I wasn't aware that cash had gone up to $26m, 3$m more than last year. That is a positive - in a sense. Having said that, BUB had also received a cash injection of $35m from a CR in that year in question. So, as back of an envelope calculation, the balance sheet position of cash in the bank started at the beginning with $23m, had an inflow of $35m (CR), adding up to $58m. Now, at the end of the reporting period we find $26m in the till. Where has the cash gone?

One obvious position is inventory with an increase of $16m. Inventory has more than doubled from $15m to $31m. It means an enlarged position of ingredients and finshed product is sitting in storage waiting to be sold. So, that is not that good. Perhaps.

I have accounted for $16m inventory. What happened to the rest of the $35m, i.e. $19m (35 -16). I reckon they were spent on running the business
as net cash used in operating activities $22m.

This is a quick analysis, and you will notice that the figures is out by $3m. I believe, that is because of rounding, and other incidental that I have not mentioned and perhaps overlooked.

So, you can see, that there is quite lot of cash walking out the door, or converted into inventory. I think, BUB has considerable pressure to sell product, even if it means to do a JV or similar with someone else. Without another CR, this is not sustainable for even another year.

DYOR - all in good spirit

Expand

Bubs acquires China-approved infant formula plant in $35 million...
www.smh.com.au/business/companies/bubs-acquires-china...

BUB Price at posting: 91.5¢ Sentiment: Hold Disclosure: Held
1 Upvote

0 Great analysis

Reply

Top Stories

Listen: HotCopper Wire Podcast 015 – Yeah, we're thinking the IPO market is back

Thursday's HotCopper trends: Paradigm's drug IP buy, MTM placement | June 26

BPH

Australia’s gas crisis is here – and dying coal plants aren’t helping

PAR

Paradigm adds new oral combo IP to osteoarthritis drug stable with $500K pick-up

NEU

Neuren jumps over +11% on patent win for Pitt Hopkins drug treatment

First 22 Last

Add to My Watchlist

What is My Watchlist?

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)
Last 17.0¢		Change 0.005(3.03%)		Mkt cap ! $151.8M

Open	High	Low	Value	Volume
16.0¢	17.5¢	16.0¢	$840.2K	4.990M

Buyers (Bids)

No.	Vol.	Price($)
4	165376	17.0¢

Sellers (Offers)

Price($)	Vol.	No.
17.5¢	959650	27

View Market Depth

No.	Vol.	Price($)
4	165376	0.170
12	305647	0.165
18	404846	0.160
31	1776381	0.155
22	1411921	0.150

Price($)	Vol.	No.
0.175	943923	26
0.180	698120	30
0.185	936959	11
0.190	382927	8
0.195	103393	3

Last trade - 14.36pm 26/06/2025 (20 minute delay)

BUB (ASX) Chart

Bubs acquires China-approved infant formula plant in $35...

Bubs acquires China-approved infant formula plant in $35 million...

Listen: HotCopper Wire Podcast 015 – Yeah, we're thinking the IPO market is back

Thursday's HotCopper trends: Paradigm's drug IP buy, MTM placement | June 26

Australia’s gas crisis is here – and dying coal plants aren’t helping

Paradigm adds new oral combo IP to osteoarthritis drug stable with $500K pick-up

Neuren jumps over +11% on patent win for Pitt Hopkins drug treatment

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

Bubs acquires China-approved infant formula plant in $35...

Bubs acquires China-approved infant formula plant in $35 million...

Top Stories

Listen: HotCopper Wire Podcast 015 – Yeah, we're thinking the IPO market is back

Thursday's HotCopper trends: Paradigm's drug IP buy, MTM placement | June 26

Australia’s gas crisis is here – and dying coal plants aren’t helping

Paradigm adds new oral combo IP to osteoarthritis drug stable with $500K pick-up

Neuren jumps over +11% on patent win for Pitt Hopkins drug treatment

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News