Ecograf (ASX:EGR) share price falls on the back of its Q4 results

The market is reacting poorly to Ecograf’s fourth quarter report.
The post Ecograf (ASX:EGR) share price falls on the back of its Q4 results appeared first on The Motley Fool Australia. –

The Ecograf Ltd (ASX: EGR) share price is falling today after the company released its report for the quarter ended 30 June.

Ecograf’s quarterly activities and cash flow report details the performance of its battery anode material business, lithium-ion battery materials recycling business, and graphite mining business.

The Ecograf share price is currently 72 cents, 3.38% lower than its previous close.

Let’s take a closer look at today’s news from Ecograf.

What’s driving the Ecograf share price today?

Cash flow report

The Ecograf share price is down on the back of the company’s final quarter of the 2021 financial year report.

Over the quarter ended 30 June, Ecograf used $553,000 in operating activities.

It spent $79,000 on exploration, $195,000 on staffing, and $242,000 on administration and corporate costs.

The company received $374,000 worth of government grants and tax incentives.

That brings its total spend on operating activities over the 2021 financial year to $2.33 million.

Ecograf finished the quarter with $52.6 million cash in the bank, mostly left over from its February capital raise.

That’s enough to fund it for another 88 quarters, or 22 years, if its outflows stay the same.

Activities report

The Ecograf share price is slipping despite the company’s productive quarter.

Over the quarter, the company’s Battery Anode Material Facility, located near Perth, was awarded Major Project Status.

It also completed locked cycle testing for the facility’s pre-construction program.

The company is also in discussions with European countries about developing a Battery Anode Material Facility in Europe.

Ecograf’s Tanzanian graphite mining business is going well, having received the approval of the Tanzanian government.

Finally, Ecograf listed on the OTCQX market over the quarter.

Ecograf share price snapshot

Despite today’s fall, Ecograf has been performing well this year.

So far, Ecograf shares have gained 320% since the start of 2021. They are also 921% higher than they were this time last year.

The company has a market capitalisation of around $321 million, with approximately 449 million shares outstanding.

The post Ecograf (ASX:EGR) share price falls on the back of its Q4 results appeared first on The Motley Fool Australia.

Should you invest $1,000 in Ecograf right now?

Before you consider Ecograf, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Ecograf wasn’t one of them.

The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of May 24th 2021

More reading

EcoGraf (ASX:EGR) share price flying 14% higher on funding update
EcoGraf (ASX:EGR) share price lifts 5% on lithium update
Why the Ecograf (ASX:EGR) share price is soaring 16% today
Here’s why the Ecograf (ASX:EGR) share price is up 8% today
Why the Novonix (ASX:NVX) share price rocketed 16% today

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. 

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;

To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.

An active and funded account with a positive trading balance is required to continue to have access to the tools;

Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;

Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!