RE:RE:RE:RE:RE:RE:RE:RE:revenue increased 15% Q v Q, not great, but 3 things areIt mentions:
accounts receivable of $15,314,059 (March 31, 2021 - $7,615,110), and inventory of $607,162 (March 31, 2022 - $220,687) offset against current liabilities of $8,871,258 (March 31, 2022 - $1,920,094).
first It is important to note that these figures can be manipulated ( not saying they are) at will by the company to address the points they want to make in this financial release, unless professionaly audited.
Then the company mentions that a large portion of their hardware sales hasn't been cashed yet but "promise" they are working hard on it and all receivables should be cashed by June 31....several shareholders/nvestors including myself greatly doubt that will be the case.... sales should be recognized as such only once fully paid.
then in case you did not read it they come up with the section:
Reliq Health Technologies Inc. Management’s Discussion and Analysis - Period Ended March 31, 2023 Financial Condition, Liquidity, and Requirements Outlook...
which some posters address as a Co standard warning about liabilities etc. but in fact if you carefully read it, basically nullify and absolve them about most of what they say they plan to accomplish in case they fail.
Read below:
The Company’s cash balance and working capital position may not be able to sustain the Company’s existing operations. Major Contracts The Company has and may enter into major contracts that are complex and have several delivery milestones. These contracts are often subject to delay, change, revision and renewal. There is no guarantee that the Company can complete all activities on time and on budget and that the funding available will be adequate to meet adjustments to the contract. Failure by the Company to fulfill such contracts on a timely basis is a significant risk to the Company. Risk to Reputation Reputation is a critical asset in the investment industry. Potential damage to that reputation is a significant risk for the Company. Any of the risks identified herein could damage the Company’s reputation, which in turn, could result in a lack of client or employee confidence, legal liability and difficulties in raising capital. Risks Related to Investments The Company intends to expand its operations and business by investing in additional businesses, products or technologies. Investments may involve a number of special risks, including diversion of management’s attention, failure to retain key personnel, unanticipated events or circumstances, and legal liabilities. In addition, there can be no assurance that the businesses, products or technologies, if any, will achieve anticipated revenues and income. Investments could also result in potentially dilutive issuances of equity securities. The failure of the Company to manage its investment strategy successfully could have a material adverse effect on the Company’s business, results of operations and financial condition. Dependence on Key Personnel The success of the Company is largely dependent on the performance of its key senior management employees. Failure to retain key employees and to attract and retain additional key employees with necessary skills could impact the Company’s growth and profitability. The Company’s progress to date in commercializing its proprietary products has been dependent, to a significant extent, on the skills of its senior management. The departure or death of certain members of the executive team could have an adverse effect on the Company. The Company has experienced changes in its management personnel and further changes may occur in the future. The Company may face transitional difficulties in connection with these changes, and there can be no assurance that the Company will be able to attract and retain highly-skilled and qualified personnel to replace employees who leave the Company. Industry Growth There can be no assurance that the market for the Company’s existing products will continue to grow or that the Company will be successful in independently establishing markets for its products. If the markets in which the Company’s products compete fail to grow or grow more slowly than the Company currently anticipates, or if the Company is unable to establish markets for its new products, the Company’s operating results and financial condition could be adversely affected. Economic Slowdown From time to time markets have witnessed the weakening of global macro-economic conditions, including the current economic slowdown that may lead to a recession. This weakness could have adverse effects on the investments of the Company’s ability to continue as a going concern. However, the Company’s solutions create new revenue streams for its clients without requiring upfront investment. As a result, the Company expects demand for its products to continue to grow even if the economy contracts further. Management of Future Growth and Expansion Planned expansion of the Company’s business and its future success will depend on its ability to manage growth as it expands its products and marketing capacities, which may place a significant strain on the Company’s management resources, employees and operations, as well as its ability to finance such growth. To manage growth effectively, the Company will be required to continue to implement changes in certain aspects of its business, expand its operations, and develop, train, manage and assimilate an increasing number of management-level and other employees. If management is unable to manage growth effectively, the Company’s business, prospects, financial condition and operating results could be affected. Reliq Health Technologies Inc. Management’s Discussion and Analysis - Period Ended March 31, 2023 Legislative, Insurance, Compliance Costs, Regulatory Action and Environment To comply with various increasing and complex regulatory reporting and standards involves significant cost. Changes to securities regulatory standards, accounting policies, and compliance reporting could place an additional expense burden on the Company. Insurers may increase premiums as the Company’s business continue to grow so future premiums for the Company’s insurance policies, including directors’ and officers’ insurance policies, could be subject to increase.