Cloudbreak Discovery (CDL) Shares Plunged 17.5% on FY23 Results

The Cloudbreak Discovery PLC (LON: CDL) share price plunged after presenting its final results for the fiscal year concluded on 30 June 2023, also known as “FY23”. The company reported a loss of £3,997,899 for the year ending on 30 June 2023, a decline from the £5,557,029 loss generated in the same period in 2022.

The company is a prominent player in the natural resources project generation sector, strongly emphasising commodities pivotal to the global energy transition. The firm’s exploration and evaluation cash expenditures amounted to £590,845, up from £370,848 in the previous fiscal year.

Cloudbreak Discovery held £244,074 in cash and cash equivalents at the end of the period (compared to £310,578 on 30 June 2022). The carrying value of its investments stood at £891,255 at the period end, a decrease from £2,069,302 on 30 June 2021.

Some key highlights for the period included the stepping down of Kyler Hardy from his positions as CEO and Chairman in June 2023, leading to Andrew Male's appointment as the Interim CEO. This transition aimed to reposition Cloudbreak with a stronger focus on London.

Consulting contracts with Cronin Capital Ltd and Cronin Services Ltd were terminated simultaneously. Towards the end of 2022, the company enlisted the services of Oberon Capital as its new broker, intending to advance financing opportunities and project development.

Like many companies in the resource sector, Cloudbreak faced challenges during a financially trying period. The company’s Board conducted a comprehensive review of the company's existing assets and is actively exploring opportunities to advance all ongoing projects.

Cloudbreak will maintain its commitment to mining and oil and gas projects, adhering to its project generation and asset aggregation strategy. The company has plans to provide a more in-depth analysis of its projects in the upcoming weeks.

Cloudbreak is determined to continue generating value from its asset portfolio. Post-period, the company successfully raised £340,000 through convertible loan notes from its existing shareholders and directors. 

There is also ongoing scrutiny of new projects, and additional acquisition proposals are being assessed.

Cloudbreak Discovery (CDL) share price. 

The Cloudbreak Discovery stock price plunged 17.51% to trade at 0.35p, from Tuesday’s closing price of 0.42p.