Papyrus Australia Ltd (ASX:PPY) Updates November 2024 Cash Flow Statement
Correction to Cash Flow Statement
Papyrus Australia Ltd (ASX:PPY) announced a revision to its Appendix 4C cash flow statement for November 2024. The update clarifies that certain expenditures, including $346,000 for research and development and $50,000 in legal fees, were initially misrepresented. These figures were abnormal and have been excluded from the estimated cash available for future operating activities to ensure accurate market reflection.
Cash Position and Future Outlook
The company reported a net cash usage of $455,000 from operating activities, resulting in a cash balance of $332,000 at month-end. Papyrus views the previously highlighted expenses as one-time occurrences, which will not repeat in the foreseeable future. Additionally, the company has $250,000 in unused financing facilities, totalling available funding of $582,000.
Papyrus continues to evaluate funding avenues to support its operations and maintains confidence in the success of future capital raising initiatives.
Management Perspective
Vince Rigano, Company Secretary, commented, “Our continued assessment of funding options is crucial for maintaining operational stability. We believe based on our past successful capital raisings, we will secure necessary resources moving forward.”
Future Funding Strategy
The company expects the commercialisation of its subsidary PPYEg will begin contributing profitably by the second quarter of 2026.
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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