Cash balance increase by $296k, puts the company on track for a profit of around $600-750k at the current rate, with upside should Clements and Ardo orders materialise lifting revenue in the next 2 quarters. That would see the company trade around a PE of 10ish.
Cash balance building up nicely, now back over a $1m. With potential to be in excess of $1.5m at FY end. This significantly de-risks the company (IMO) in terms of requiring additional cap raises to fund working cap and weather any delays in accounts receivable etc. This also opens up ....dare I say it... a maiden dividend, or preferably investing in growth with a value-add acquisition!
Reputation wise the ability to successfully deliver Ardo's range will be a big tick when pitching to secure other supplier arrangements for the Australian region and growing MLAs footprint.
Overall I'm very pleased, and will certainly look to add to my position around these levels.
All DYOR, IMO etc....
MLA Price at posting:
4.6¢ Sentiment: Buy Disclosure: Held
