Solitario(US:XPL)2022-11-02 17:08Financial Performance - Net loss for the three months ended September 30, 2022, was $1,057,000, compared to a net loss of $701,000 for the same period in 2021, representing an increase of 50.9%[16] - As of September 30, 2022, Solitario reported a net loss of $1,057,000 or $0.02 per share, compared to a net loss of $701,000 or $0.01 per share for the same period in 2021[75] - The company recorded a net loss of $3,262,000 or $0.05 per share for the nine months ended September 30, 2022, compared to a net loss of $1,897,000 or $0.03 per share for the same period in 2021[86] Assets and Liabilities - Total current assets decreased from $7,159,000 in December 2021 to $6,132,000 in September 2022, a decline of approximately 14.3%[12] - Total liabilities increased from $276,000 in December 2021 to $609,000 in September 2022, an increase of 120.3%[12] - Cash and cash equivalents decreased from $462,000 in December 2021 to $244,000 in September 2022, a decline of 47.3%[12] - Total shareholders' equity decreased from $23,183,000 in December 2021 to $22,235,000 in September 2022, a decline of 4.1%[14] - Working capital decreased to $5,523,000 as of September 30, 2022, down from $6,883,000 at the end of 2021, reflecting a 19.7% decline[97] Exploration Expenses - Exploration expenses increased to $655,000 for the three months ended September 30, 2022, up from $442,000 in the same period of 2021, a rise of 48.2%[16] - Total exploration expense for the nine months ended September 30, 2022, was $1,832,000, compared to $826,000 for the same period in 2021, marking a 121% increase[86] - Exploration expenditures at the Golden Crest project were $354,000 for the three months ended September 30, 2022, up from $94,000 in the same period in 2021, representing a 276% increase[77] - Exploration expenditures at the Lik project in Alaska were $669,000 for the nine months ended September 30, 2022, compared to $290,000 in the same period in 2021, a 130% increase[87] - Solitario anticipates full-year exploration expenditures for 2022 to exceed those of 2021, with a budget of approximately $2,350,000[76] Cash Flow and Investments - Net cash used in operating activities for the nine months ended September 30, 2022, was $1,948,000, compared to $1,723,000 for the same period in 2021, an increase of 13.1%[19] - Cash used in investing activities was $313,000 in 2022, a significant decrease from $1,452,000 in 2021, indicating a shift in investment strategy[103] - During the nine months ended September 30, 2022, Solitario sold 1,000,000 shares of Vendetta Mining Corp. for proceeds of $53,000, incurring a loss of $159,000 on the sale[43] Shareholder Information - The weighted average shares outstanding for basic and diluted shares increased from 58,446 in Q3 2021 to 64,769 in Q3 2022, an increase of 10.5%[16] - The company issued 2,650,724 shares under the ATM Agreement at an average price of $0.79 per share, resulting in net proceeds of $2,023,000 during the nine months ended September 30, 2022[67] Other Income and Expenses - General and administrative expenses rose to $435,000 in Q3 2022, compared to $207,000 in Q3 2021[75] - Interest income decreased to $29,000 in Q3 2022 from $34,000 in Q3 2021[75] - Stock option compensation expense rose to $245,000 for the three months ended September 30, 2022, compared to $32,000 in the same period in 2021, reflecting a 666% increase[80] - General and administrative costs for the nine months ended September 30, 2022, were $828,000, up from $639,000 in the same period of 2021, reflecting a 29.6% increase[88] Marketable Securities - Marketable equity securities at fair value decreased to $953,000 as of September 30, 2022, from $1,307,000 as of December 31, 2021, reflecting a cumulative unrealized loss of $539,000[41][43] - An unrealized loss on marketable equity securities was recorded at $142,000 for the nine months ended September 30, 2022, compared to a loss of $220,000 in 2021, indicating a 35.5% improvement[90] Compliance and Controls - The company has effective disclosure controls and procedures as of September 30, 2022, as evaluated by the CEO and CFO[118] - There were no changes in internal control over financial reporting during the quarter ended September 30, 2022[120] - No material changes to risk factors associated with the business were reported as of September 30, 2022[121]