GrahamB wrote: With all the banter back and forth lets review the facts of the company
The current facts:
- Delisting: “PyroGenesis Canada (TSX:PYR) has delisted from the Nasdaq caused by “a failure to maintain a minimum US$1 share price”
- , Declining revenues, lack of profitability, risks of running out of working capital and liquidity issues. MRQ posting net income of -C$6.35 million in Q2 2023
- Allegations of fraud by Quebec, regulators, and ongoing sales by the trust don’t help.
A direct assessment of the facts does not suggest a positive course,coupled with negative momentum as the stock trades at a multi year low
- Contracts Announced but issues collecting payment
In the companies words:
“As at June 30, 2023 the allowance for expected credit loss on trade accounts receivable is $5,967,840 ($4,693,283 as at December 31, 2022). The amount as at June 30, 2023, includes $5,061,000 attributable to one specific customer, whereby the carrying amount has been reduced from $10,536,701 to $5,475,701. “
And general from SEDAR
“The Company has incurred, in the last years, operating losses and negative cash flows from operations, and as a result, the Company has an accumulated deficit of $105,872,203 as at June 30, 2023, ($93,384,858 as at December 31, 2022). Furthermore, there have been unexpected delays in the collection of certain accounts receivable from contracts closed in a prior year. This has resulted in a shortfall in cash flows from operating activities that would be used in funding the Company’s operations. As at June 30, 2023, the Company has working capital deficiency of $3,168,366 ($1,650,709 as at December 31, 2022) including cash of $829,583 ($3,445,649 as at December 31, 2022). The working capital is net of an allowance for credit losses amounting to $6,303,840 ($5,023,283 as at December 31, 2022) as further described in Notes 6 and 7. The Company’s business plan is dependent upon the successful completion of contracts and also the receipt of payments from certain contracts closed in a prior year and expects these payments to be made during fiscal 2023, as well as the achievement of profitable operations through the signing, completion and delivery of additional contracts or a reduction in certain operating expenses. In the absence of this, the Company is dependent upon raising additional funds to finance operations within and beyond the next twelve months.”