Westwater Resources Announces Second Quarter 2020 Results & Business Update - Seite 2

FINANCIAL SUMMARY

Table 1: Financial Summary

(000's, Except Per Share)

2Q 2020

2Q 2019

2Q
Variance

1H 2020

1H 2019

1H
Variance

Net Cash Used in Operations

$ (2,610)

$ (1,584)

65%

$ (6,065)

$ (4,324)

40%

Mineral Property Expenses

$ (576)

$ (808)

-29%

$ (1,178)

$ (1,426)

-17%

General and Administrative

$ (1,659)

$ (1,700)

-2%

$ (3,438)

$ (3,405)

1%

Net Loss

$ (2,467)

$ (2,775)

-11%

$ (5,754)

$ (5,949)

-3%

Net Loss Per Share

$ (0.43)

$ (1.81)

-76%

$ (1.18)

$ (3.95)

-70%

Weighted Avg. Shares Outstanding

5,786

1,533

277%

4,896

1,506

225%

• Net Cash Used in Operations. Net cash used in operating activities was $6.0 million for the six months ended June 30, 2020, as compared with $4.3 million for the same period in 2019. The $1.7 million increase in cash used was primarily due to an increase in prepaid assets and a decrease in accounts payable and accrued liabilities in 2020.
• Operating Expenses. For the three months ended June 30, 2020, mineral property expenses decreased by $0.2 million from the corresponding period in 2019. The decrease was primarily due to the timing of the annual lease rental for a uranium property in New Mexico. For the current year, the leaseholder agreed to payments in seven monthly installments from May to November, while in 2019 the lease rental was paid in whole during the second quarter of the year. At June 30, 2020, five monthly payments remained.
• General and Administrative Expenses. General and administrative expenses for the three and six months ended June 30, 2020 and 2019 remained relatively constant at $1.7 million and $3.4 million respectively.
• Net Loss. Consolidated net loss for the three months ended June 30, 2020 was $2.5 million, or $0.43 per share, as compared with a consolidated net loss of $2.8 million, or $1.81 per share for the same period in 2019. The $0.3 million decrease in our consolidated net loss from the respective prior period was the result of a decrease in mineral property expenses in the current year and a decrease in arbitration costs due to minimal scheduled proceedings during the current quarter.
• Cash and Working Capital. At June 30, 2020 the Company’s cash balances were $2.3 million and the Company had a working capital deficit balance of $1.0 million. The Company’s cash balance at July 31, 2020 is $2.9 million. The company is pursuing project financing to support execution of the graphite business plan, including discretionary capital expenditures associated with graphite battery-material product development, construction of pilot plant facility and construction of commercial production facility.
• Shares Outstanding. Total shares outstanding are 7,564,815 at July 31, 2020.

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