Elite Pharmaceuticals, Inc. (OTC:ELTP) may have scored a hat trick during the last three sessions, yet its future run is now fully dependent on a conference call to be held this Thursday.
It was that very announcement that pushed ELTP stock up 12.9% last Friday. Closing the session at $0.175 per share, ELTP set a five-week high. Volumewise, the company enjoyed a similar spike as opposed to previous sessions with 4.7 million shares changing hands. As much as the latter marked a four-week record, it failed to surpass the daily average trading volume of 4.82 million.
As it seems, all that hype about Friday’s press release would hardly have occurred if it was not aimed at giving investors the opportunity to take part in a Q & A session with ELTP’s management. Scheduled to take place on Jun. 30, the conference call will provide a basis for an in-depth discussion with regard to ELTP’s fourth quarter and year-end financial results. In addition thereto, corporate managers will shed further light on their business operations as a whole.
A quick look at OTCmarkets’ database reveals that new ELTP financial reports are a little overdue. Yet, the latest available record is the 10-Q form covering the quarter ended Dec. 30, 2010. Back then, ELTP’s unaudited balance sheet contained:
- $415 thousand in cash, marking a $163K decrease as compared to the fiscal year ended Mar. 30, 2010;
- $2.4 million in current assets, 54% of which in the form of inventories;
- $5.05 million in current liabilities vs. $4.76 million as of Mar. 30, 2010;
- $12.4 million in long-term liabilities, 99% of which are comprised by derivative liabilities such as preferred shares and warrants;
- net income of $5.9 million attributed exclusively to the change in fair value of both warrant and preferred share derivatives;
At least, ELTP shows a slight improvement in revenues, raking in $3.05 million for the nine months ended Dec. 31, 2010, or $0.5 million higher than the revenue accumulated within the corresponding period in 2009. In order to keep stockholders satisfied, ELTP had better come up with encouraging numbers in three days time.
