I do not hold and have no financial interest in CSS or any of its peers. I do not short (or know how to). Basically, have no financial gain from how CSS perform.
Was simply helping a member of DangInvestor with the data entry into this company he was investigating. With his permission I thought to share the results as shown by my awesome app.
The notes and opinions are mine. Just a simple armchair, financial analysis. Nothing deeper or more exceptional than that.
My opinion, and the accounting to back it up:
The business is highly speculative.
That is, from a financial, investing for profit, point of view, its one you do not want to have or to hold.
Its operations have not produce any cash profit since ever. Surviving mainly on shareholders capital and government grants. Bankers are not really lending... so its a business thats in dire need of cash.
Caveat... Beware Empire Builders...
That is not to say that, maybe, some trade and strategic buyer wont take over; or that the decade and a half of investments might soon bear some fruit and make it all worthwhile, somehow.
Investors should really get out in the field, understanding the business better than its management... to possibly understand and see where or how some value may bloom from all those cash and investment.
Failing to kick the tyres, have one on one with everyone at the company... I wouldnt risk it.
This stock is not one for the armchair, financial, investor.
TWO CHARTS TO RULE THEM ALL
Contributed Equity Chart: All Wrong
A good business should not raise equity or borrow to survive. CSS operations loses money and its only through govt grants and shareholders cash injection that kept it afloat.
Cash Flows Mostly from Financing
Look at the Net Cash from Key Activities... negative net operating cash; debt and equity financing to fund and cover all other activities.
Financially speaking, not a profitable business.
You can probably stop there. But seeing how there are plenty of charts and money is at stake...
SEE ATTACHED DOC FOR MY 2Cents ON:
Under Doc|Companys Reports Archive.
- Competitive Advantage against Mother Nature?
- Aggressive, potential double counting, of inventory gain as both revenue and as current asset.
- Clean Seas Own Forecasts | Projections FY18+
- Random Notes.
SEE MISC NOTES | COMMENTARIES for a couple notes on interpreting a few key charts and metrics. Particularly the market pricing and expectation.