I am more worried about cashflow. Plenty of companies have ended in administration making a accounting profit because they were not earning enough cash to pay their debts. It might be fine to capitalise the strip ratio, but all this stripping is certainly going to have a massive impact on the cashflow in 2019. How understanding are the bankers going to be if GCY gets into a cashflow problem in the next 12 months?
GCY Price at posting:
14.0¢ Sentiment: Hold Disclosure: Not Held