re: Ann: Quarterly Report and Cashflow for pe...
The advantage of not having any debt: total cash flow for the quarter ($0.2M), leaving the company with $2.9M in the bank.
At this rate, Summit is likely to make it through the next few years without the need to raise any new equity. By then there is every chance of a recovery in the demand for uranium.
Analysts have tipped the recovery in the uranium price for at least a year and sometimes one can't help but wonder whether the uranium price will EVER recover.
However, we know that there is an aggressive international construction schedule for new plants, led by China. And Japan is about to restart some of its reactors as well. Demand for uranium is growing sharply.
The growth in demand is bound to have an effect on the uranium price eventually. A recovery in the uranium price is destined to happen in the next three years. It might happen in the next six months. Ultimately it doesn't matter when in the next three years the uranium price rebounds, because SMM will be able to weather the storm, as demonstrated by the company's Cashflow.
SMM Price at posting:
36.0¢ Sentiment: Hold Disclosure: Held
