They said the results are positive in the title line of the NR so it must be true, right? I mean, would a junior mining company make things up?
Thanks to $5.2m in forex adjustments (the result of having a big fat financial debt in US Dollars but reporting in Loonies) CUM.to got to report a minor net profit this quarter. But the cruel reality is that real costs are still way too close to real revenues so when we consider what’s happened to copper since the end of the 2q15 period, it’s not getting any better in the near future.
Bottom line: When you claim to have returned a net profit but your working cap has dropped by nearly $2m (to $15.9m), things are what they might seem. Let’s not even go into the $439m in total liabilities on its books, the vast majority of which is financial debt.