Each new high is lower than the previous one. If you look at the chart disclosing the market performance of Elephant Talk Communications, Inc. (OTC:ETAK), this is exactly what you will see at first sight.
Except for the 11% surge at the beginning of the month, ETAK stock has done nothing worth remembering on the stock market. Last Friday, ETAK closed the week at its Thursday level of $2.50 per share on a week-low volume of 144 thousand. Thus, a long-awaited breakthrough was once again dealt a blow.
A week ago, the international provider of business software solutions to telecommunications and financial services companies announced a full-on quarterly report for the three-month period ended Sep. 30, 2011. As seen in the 10-Q form, ETAK’s balance sheet contained:
- cash reserves in excess of $10.8 million;
- working capital surplus of $10.5 million;
- $7.8 million in revenue as opposed to $9 million accumulated in Q3 of 2010;
- a quarterly net loss of $7.3 million vs $25.8 million accrued in the corresponding quarter of 2010.
According to management, ETAK’s core activities in 2011 have been aimed at popularizing its anti-fraud technology, as well as expanding its mobile services. Whether these efforts will bear any fruit or not will be evident when the Q4 results see the light of day. Until then, ETAK will continue trading way below the $4.00 threshold it achieved in early-July.
