But...From the 4C statements Quarterly (All $ in...

But...


From the 4C statements

Quarterly (All $ in 000)

Employees
September...-1226
December.....- 891
March..........- 952
June…………. -1071

Running rate say -1000.

Advertising and leases
September...-745
December.....-673
March..........-460
June………-1,199
Running rate say -1000 up from -500 in May

Net Customer Receipts (Customer receipts less other working capital, item 1.2(e) in the 4C
September...+ 238
December.....- 126
March..........+ 947
June…………-282

This is obviously the big question mark.

Yes, $15.9m receipts from customers, but outflow of $16.1!!!

Can they recover the money their customers owe them? Or do they just keep growing working capital deficits as customer numbers grow?

So, Running rate say + 300. (or worse)

Therefore

Running rate quarterly
Employees ...........-1000
Lease & Advert.... -1000
Net Customers.....+ 300
Interest..(new).......- 75

Estimate burn rate -2375 per qtr

Of the $2500 reported as cash, only 940k is available for the company – the rest is held in prudentials and receipts in their recent capital raising ($22k 16 June). See note 4 on page 5 of 4C.

So 940k equals 5 weeks cash burn.

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