RE:RE:riskP0rkchop - (9/21/2020 9:22:18 AM)
RE:risk You're a liar. There is no 50 million due this year. Please do your own DD people, they're clearly out to scare. I've posted the charts that show the actual debt below.
This is the outstanding debt and due dates. Theres 9 mil due in October, 7.5 in December, 2.5 march 2021 and 7.7 September 2021. Outside of that, they have their BMO financing and then their 50 mil loan which will be paid back over 36 months starting in 2022. Presumably after this last raise, they will have enough for October and hopefully December. I see no reason the 2021 debt can't be paid from revenue.
As usual on this board, a lot of mis-information or incomplete info.
Porky oultines only the actual loan schedule - unfortunayely, that's not the only debt Zena faces - there's remains a significant accounts payable balance per the last financials.
'Current liabilities' are defined as amounts to be paid within the year or current fiscal period, so in addition to the current portions of the long term loans - Accounts Payable was approx. $23.6 million - and the 'Customer Deposits' totalled $37.2 million. The deposits are prepayments on orders - which is fine unless the buyer (hello Tilray) decides they'd rather just have their money back as they no longer need the cannabis.
As well, in addition to the current liabilities shown above, there are the continuing/ongoing operating costs requiring payment and eating cash - such payroll, utlities and Kevin Coft's dock fees for his yacht (which is quite nice).
SO - yes, Zena addressed some long term debt, but it didn't go away but they also still have signnficant (huge actually) current operating costs - and the cash flow just isn't there yet to cover it all.
And as I posted previously - Warren Buffet says the good companies don't talk about 'positive ebitda' because it's not a true picture. Top tier companies talk about bottom line profit or loss - because that IS the bottom line.