Financial Performance - The company reported a net loss of CAD 17,941,000 for the six months ended June 30, 2024, compared to a net loss of CAD 8,584,000 for the same period in 2023[4]. - The basic loss per share for the six months ended June 30, 2024, was CAD (0.32), compared to CAD (0.24) for the same period in 2023[4]. - The company reported a net loss of $(5,772) thousand for the three months ended June 30, 2024, compared to a net income of $11,762 thousand for the same period in 2023[68]. - The basic loss per share for the three months ended June 30, 2024, was $(0.10), compared to a gain of $0.33 for the same period in 2023[68]. - The net loss for the six months ended June 30, 2024, was CAD 17,941,000, compared to a net loss of CAD 8,584,000 for the same period in 2023[6]. Assets and Liabilities - Total assets as of June 30, 2024, amounted to CAD 148,169,000, a slight decrease from CAD 148,692,000 in the previous year[2]. - Current liabilities increased to CAD 64,621,000 from CAD 56,087,000, primarily due to an increase in convertible notes payable, which rose to CAD 48,361,000 from CAD 40,101,000[2]. - The total liabilities increased to CAD 78,148,000 from CAD 65,394,000, reflecting higher debt levels[2]. - Shareholders' equity as of June 30, 2024, was CAD 70,021,000, down from CAD 83,298,000 in the previous year[2]. - The accumulated deficit as of June 30, 2024, was CAD 263,386,000, up from CAD 245,445,000 at the end of 2023[11]. Cash Flow and Financing - The company reported cash used in operating activities of CAD 7,951,000 for the six months ended June 30, 2024, an increase from CAD 4,997,000 in the prior year[6]. - Cash provided by financing activities was CAD 4,229,000 for the six months ended June 30, 2024, compared to CAD 16,488,000 in the same period of 2023[6]. - The company received a government loan of CAD 4,249,000 during the financing activities for the six months ended June 30, 2024[6]. - The company is actively pursuing various financing alternatives, including government grants and strategic partnerships, to enhance liquidity[13]. - The company completed a private placement on August 11, 2023, raising gross proceeds of CAD 21,500,000[13]. Operational Costs - Operating expenses for the three months ended June 30, 2024, totaled CAD 3,418,000, compared to CAD 4,519,000 in the previous year, indicating a reduction in operational costs[4]. - The company incurred consulting and professional fees of CAD 1,092,000 for the same period, with salaries and benefits totaling CAD 798,000[87]. - Salaries and benefits for the six months ended June 30, 2024, totaled CAD 1,695,000, compared to CAD 2,619,000 for the same period in 2023, a decrease of 35%[89]. Marketable Securities and Investments - The company recorded an unrealized gain on marketable securities of CAD 181,000 for the six months ended June 30, 2024, compared to a gain of CAD 31,000 in the previous year[4]. - The total value of marketable securities at June 30, 2024, was $327, down from $595 on December 31, 2023, with unrealized gains recorded at $89 for the three months ended June 30, 2024[25]. - The company sold marketable securities for proceeds of $562 and $594 during the three and six months ended June 30, 2024, respectively, realizing gains of $40 and $44[25]. Construction and Development - The company is constructing an expanded hydrometallurgical cobalt refinery and exploring modular growth scenarios for a recycled battery material program[9]. - The company suspended construction of the refinery due to insufficient funding, raising concerns about its ability to continue as a going concern[11]. - An impairment charge of $49,743 was recognized for the Ontario Refinery, with a recoverable amount determined at $44,899, assuming commercial production will commence in 2026[19]. Stock and Shareholder Information - The weighted average number of common shares outstanding increased to 57,198,468 from 35,972,480 year-over-year[4]. - The Company issued 843,039 common shares at a market price of $0.6439 to settle $401 of interest payments on convertible notes[39]. - The Company issued 19,545,454 units at $1.10 per unit during a private placement, raising gross proceeds of $21,500[46]. - The total number of shares reserved for issuance under the Plan is limited to 4,100,000 shares[52]. - The company reported an increase in the number of stock options outstanding from 772,568 at December 31, 2023, to 3,765,711 at June 30, 2024[55]. Exploration and Evaluation - The balance of exploration and evaluation assets as of June 30, 2024, is $88,619, reflecting a foreign exchange increase of $2,985[22]. - The company has ongoing exploration and evaluation activities in Idaho, USA, with capital assets located in both Canada and the USA[87]. Restatements and Adjustments - Total assets as of June 30, 2023, were restated to $197,009 million, a decrease of $1,968 million from previously reported figures[101]. - The total liabilities were restated to $78,448 million, a decrease of $1,392 million from previously reported figures[101]. - The net loss for the six months ended June 30, 2023, was restated to $8,584 million, an improvement of $1,392 million from previous reports[102].
Electra Battery Materials (ELBM) - 2024 Q2 - Quarterly Report