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Electrovaya Inc T.ELVA

Alternate Symbol(s):  ELVA

Electrovaya Inc. is a Canada-based lithium-ion battery technology and manufacturing company. The Company designs, develops and manufactures lithium-ion batteries and battery systems for energy storage, clean electric transportation, heavy duty electric vehicles and other specialized applications based on its Infinity Battery Technology Platform. The Company is focused on contributing to the prevention of climate change by supplying safe and long-lasting lithium-ion batteries. The Company is also developing next generation solid state battery technology at its Labs division. The Company has two operating sites in Canada and has a 52-acre site with approximately 135,000 square foot manufacturing facility in New York state. Its battery products are used across various applications, including material handling, e-mobility and energy storage.


TSX:ELVA - Post by User

Bullboard Posts
Comment by Dacomon Jul 31, 2015 3:42pm
322 Views
Post# 23981249

RE:We are back *itches! 6M Q2 revenue!

RE:We are back *itches! 6M Q2 revenue!Varadero, I'm feeling left out. Wouldn't you like a comment from me? Anyway, here it is...even if unsolicited. Whilst I continue to be impressed at Dr. Gupta's ability to spin a story "Electrovaya now has the technology and manufacturing capacity to become the world leader in clean Lithium Ion energy storage solutions, you shouldn't get too excited just yet. Yes, yes, if you think that due diligence has been completed simply by picking up on one of the loud pronouncements of management (in this case 900% revenue growth from the prior quarter), then you still have a lot to learn. There are a multitude of other things that you might have seen if you'd gone to SEDAR and read the financials. I think it is of significant to note that the loss for Q3 2015 vs Q2 2015 increased from $955K to $1,329K , despite the massive increase in revenue. So, it is a bit too early to claim glorious success, especially with all of the German production modification costs and disruption costs still to come. Of course, it may well be that operations will eventually run smoothly and profits will arrive one day, but, in the meantime, you'd be foolhardy not to keep an eye on cash. If my math is right, Electrovaya have obtained $200K though share issue this quarter, got $2,988K cash from Litarion and increased loan financing by $2,059K. This adds up to $5,421K. However, their closing cash only went up by $2,371K, (from $721K to $3,192K) so that means they "used" $2,870K in the quarter. A bit disconcerting if you only have $3,192K in the bank. I might be wrong with these numbers because, as usual, Electrovaya don't include the quarterly cash flow in their financial statements....you have to figure it out by going back to prior periods and doing comparisons. I don't know how they get away with this, but, hey, I'm sure the OSC have reasons for thinking it is acceptable disclosure. So Varedero, my advice is to not get too enamoured by rapidly increasing revenues and keep your eyes firmly focused on profitability, cash flow and the balance sheet. I'll concede that you might get your $8 Electrovaya stock one day, but not based on this sort of performance and profitability.
Bullboard Posts