Solitario(US:XPL)2024-05-01 23:19Financial Performance - Net loss for the three months ended March 31, 2024, was $730,000, compared to a net loss of $380,000 for the same period in 2023, indicating an increase in loss of about 92.11%[17]. - Solitario reported a net loss of $730,000 or $0.01 per share for Q1 2024, compared to a net loss of $380,000 or $0.01 per share for Q1 2023, indicating an increase in net loss of 92.1%[70]. - Net cash used in operations increased to $991,000 for the three months ended March 31, 2024, compared to $685,000 for the same period in 2023[87]. Assets and Equity - Total assets decreased from $26,757,000 on December 31, 2023, to $25,705,000 on March 31, 2024, representing a decline of approximately 3.93%[13][14]. - Current assets decreased from $9,941,000 to $8,904,000, a reduction of about 10.43%[13]. - Shareholders' equity decreased from $25,950,000 on December 31, 2023, to $25,293,000 on March 31, 2024, a decline of approximately 2.53%[15]. - Solitario's shareholders' equity decreased to $25,293,000 at March 31, 2024, from $25,950,000 at December 31, 2023, primarily due to a net loss of $730,000[57]. - Working capital decreased to $8,657,000 as of March 31, 2024, down from $9,309,000 as of December 31, 2023[83]. Cash and Investments - Cash and cash equivalents decreased from $440,000 at the end of Q1 2023 to $141,000 at the end of Q1 2024, a decline of approximately 68.07%[19]. - As of March 31, 2024, the company has $7,659,000 in cash and short-term investments, with $7,518,000 in a money market account[81]. - The company anticipates using its cash and short-term investments to fund exploration activities and potentially acquire additional mineral property assets[24]. - Net cash provided from the sale of short-term investments was $918,000 in Q1 2024, compared to $809,000 in Q1 2023[89]. Operating Expenses - Total operating expenses increased from $757,000 in Q1 2023 to $833,000 in Q1 2024, marking an increase of approximately 10.03%[17]. - General and administrative costs were $413,000 in Q1 2024, slightly higher than $409,000 in Q1 2023, with travel and shareholder relation costs increasing to $186,000 from $139,000[73]. - Exploration expenses rose from $275,000 in Q1 2023 to $354,000 in Q1 2024, an increase of about 28.73%[35]. - Exploration expenses increased to $354,000 in Q1 2024 from $275,000 in Q1 2023, primarily due to higher costs at the Golden Crest Project, which rose to $335,000 from $241,000[71]. Marketable Securities - As of March 31, 2024, Solitario's marketable equity securities had a fair value of $1,040,000, up from $1,032,000 at December 31, 2023, reflecting an unrealized gain of $8,000[39]. - The company recorded an unrealized gain on marketable equity securities of $8,000 in Q1 2024, a significant decrease from $329,000 in Q1 2023[75]. - The company did not sell any marketable equity securities during the three months ended March 31, 2024, maintaining its investment strategy[39]. - The company did not sell any marketable equity securities during the three months ended March 31, 2024 or 2023[89]. Shareholder Activity - The company reported a weighted average of 79,624,000 shares outstanding for Q1 2024, compared to 64,801,000 shares for Q1 2023, reflecting an increase of approximately 22.76%[17]. - The company sold 1,651,309 shares of common stock under the ATM Agreement at a price of $0.68 per share, generating net proceeds of $1,085,000 in April 2024[61]. - The company entered into an ATM Agreement allowing for the sale of up to $10.0 million in common stock, but did not sell any shares during Q1 2024[86]. Internal Controls and Risk Factors - As of March 31, 2024, the management assessed the effectiveness of internal control over financial reporting and determined it to be effective based on COSO criteria[107]. - There were no changes in internal control over financial reporting during the quarter ended March 31, 2024, that materially affected its effectiveness[108]. - As of March 31, 2024, there were no material changes to the Risk Factors associated with the business compared to the 2023 Annual Report[110]. Other Financial Information - Solitario recorded an asset retirement obligation of $125,000 related to its Lik Project in Alaska[36]. - The total lease liability for Solitario's Wheat Ridge office lease is projected to be $85,000 through February 2026[42]. - As of March 31, 2024, the intrinsic value of outstanding stock options under the 2013 Plan is $491,000, with a weighted average life of 2.59 years[52]. - Solitario's deferred tax assets are fully offset by a valuation allowance, indicating uncertainty in realizing these assets[46]. - No options were exercised from the 2013 Plan during the three months ended March 31, 2023, indicating a potential lack of liquidity or market interest[52]. - There were no unregistered sales of equity securities during the quarter ended March 31, 2024[111]. - None of the Company's directors or officers adopted, modified, or terminated any trading arrangements during the quarter ended March 31, 2024[112].