Butn Limited - Quarterly Cash Flow Report - June 2024
BTN (BTN) Share Update July 2024 Sunday 21st
Butn Limited Reports Quarterly Cash Flow for June 2024
Butn Limited (ASX: BTN) has released its quarterly cash flow report for the period ending 30 June 2024, providing insights into its financial activities and cash position.
Instant Summary:
- Receipts from customers totaled $3,547,000 for the quarter.
- Net cash from operating activities was $156,000.
- Net cash used in investing activities was $141,000.
- Net cash from financing activities was $4,644,000.
- Cash and cash equivalents at the end of the quarter were $13,284,000.
Operating Activities
During the quarter, Butn Limited reported receipts from customers amounting to $3,547,000. The company incurred various expenses, including $668,000 for product manufacturing and operating costs, $21,000 for advertising and marketing, $641,000 for staff costs, and $537,000 for administration and corporate costs. Despite these expenses, Butn Limited managed to generate a net cash inflow of $156,000 from operating activities.
Investing Activities
In terms of investing activities, the company spent $245,000 on intellectual property. However, it received $104,000 from receivables, resulting in a net cash outflow of $141,000 from investing activities for the quarter.
Financing Activities
Butn Limited also reported significant financing activities. The company raised $5,009,000 from the issuance of equity securities and incurred transaction costs of $365,000 related to these issues. Additionally, the company received $8,653,000 from borrowings but repaid $9,150,000 in borrowings, resulting in a net cash inflow of $4,644,000 from financing activities.
Cash Position
At the beginning of the quarter, Butn Limited had cash and cash equivalents of $8,625,000. After accounting for the net cash flows from operating, investing, and financing activities, the company ended the quarter with a cash balance of $13,284,000.
The positive net cash flow from operating activities and the significant cash inflow from financing activities indicate a strong liquidity position for Butn Limited. This could boost investor confidence and potentially lead to a positive impact on the company's stock price. However, the ongoing expenses and the net cash outflow from investing activities highlight areas that investors should monitor closely.
Investor Reaction:
Analysts have noted the company's strong cash position as a positive sign, while also pointing out the need to manage operating and investing expenses effectively. Investor sentiment appears cautiously optimistic, with a focus on the company's future financial strategies.
Conclusion:
Investors should keep an eye on Butn Limited's financial performance in the coming quarters, particularly its ability to generate positive cash flow from operating activities and manage its expenses. The company's strategic decisions in these areas will be crucial in maintaining and enhancing investor confidence.