OTCPK:NNDIF - Post by User
Comment by
Northforce13on May 13, 2020 11:03pm
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Post# 31025730
RE:RE:What to expect
RE:RE:What to expectNIF's quarterly results are unreliable as there are too many moving parts with inventory revaluations and hedges, etc
Q3 2019 was a bizarre outlier, with an extreme degree of this problem.
To whit, in Q3 the price of zinc declined substantially, from 1.32 to 1.13, which normally would result in a decline in inentory value of 24.7 mil. Instead, inventory was written up by 14.6 mil.
When you contemplate that and look at other examples of the same, you arrive at the conclusion that quarterly numbers are extremely volatile and are not reflective of actual profitability.