RE: From the book of Pedro23 Oct 2025 12:48
We were all happy with the company before the profit warning. Remember, you and Mr Laura etc only turned up when the profits warning was released and the SP cratered. With only ~Β£1 m cash on hand, if the company continues to have negative free cash flow (or very low positive FCF), then the runway could be quite short. Without knowing exactly how much cash burn they have (quarterly cash outflows) itβs hard to compute precisely, but imagine if they burn even Β£0.2-Β£0.3 m per quarter, the runway might only be a few quarters unless they raise funds or become strongly cash-generative.
*from the RNS today (released by the company) At 31 August 2025, the Company had cash and *cash equivalents* of Β£1.0 million (31 August 2024: Β£0.6 million), reflecting larger than expected one-off investments in the Company's new headquarters in Bristol and strategic investments in talent and capability to support future growth. *All figures are unaudited*.
When you think what a shock the profits warning was in June (before the low liquidity pump and dumps started), that last sentence is not encouraging.
I will keep an eye on RCFX though - I was an early investor, and much as you try to push the narraitve that I lost money and have an axe to grind, that argument holds no water - the angry people I see on here are those who end up high and dry after failing to pump and dump stock. I think a placnig to raise more money is highly likely. Certainly that would make me thinkg a floor had been reached.
I feel proceed with caution and read what is important - stop ramping
"RC Fornax has made strong progress in reshaping its commercial model and aligning with next-generation defence priorities. The Company is currently in advanced *discussions* on three major new commercial agreements, two of which are with defence primes in support of major land vehicle and maritime programmes. Additionally, market access has expanded significantly since publication of the Strategic Defence Review, with the Company participating in seven *procurement frameworks* which has generated over 20 new *bid opportunities* since April 2025.
We need meat and potatoes, not just the gravy π