Balance Sheet Is FineWorking capital is current assets less current liabilities .
At Exit Q3, MAE had $3.44 m in cash and $4.29 m in current assets .
At that time, MAE had $3.11 m in current liabilities which means that MAE had WC of about $1.2 million entering Q4 of 2023 .
Included in those current liabilities was $1.5 m in deferred amount owed to Shoreline aggregates .
Shoreline advanced that amount to MAE to buy the Point Rousse property in exchange for 77 acres of MAE land at Point Rousse needed for Shoreline expansion .
At that time, MAE had received $1 m of that $1.5 m , with an additional $250,000 to be received on certain conditions , upon which the 77 acres will be transferred to Shaoreline and the debt extinguished .ie this is a non cash liability .
Normal quarterly operating expenses is about $600,000 .
We are now through mid Q1 so lets say that $900,000 in operating expenses have occurred since Sept 30 / 23 .
Since then, we have received $750,000 in cash flows from fines production at Point Rousses .
That is, we have net oiperating costs of about $150,000 since Sept 30/23 .
So, what is our WC right now ?
$1.2 m less $150,000 = approx $1 million .
But, we should have over $3 m in cash remaining and once the Shoreline Land deal is finalized our WC will increase by $1.5 m plus $250,000 still owed from the Shorelines deal which is a current receivable.
So our liquidity is still solid .
Stating the WC has been a standard statistic of most CP including MAE .