Implant Sciences Corporation (OTCMKTS:IMSC) Receives A Hit

tags: IMSC

Implant Sciences Corporation (OTCMKTS:IMSC) made a pretty decent run in the beginning of the second quarter of the year and gained quite a lot of altitude in the charts on increased volume. Unfortunately, the past couple of months have seen the price of the company stock decline.


The daily volumes have also dropped quite significantly and there is an overall negative sentiment towards the ticker. We can’t really blame investors for that. After all, the company has a healthy $35 million market cap, while the numbers in its balance sheet are not that reassuring. The latest report contained the following numbers of prime interest.


  • cash: $280 thousand
  • current assets: $14.7 million
  • current liabilities: $99.6 million
  • revenues: $10.75 million
  • net loss: $4.1 million


And while the company does generate impressive revenues and shows a major increase on a year-over-year basis we can’t ignore the massive amount of liabilities that it has picked up along the way. Even more terrifying is the fact that the maturity date of its obligation had to be extended earlier this year.


One of the latest press releases even informs us that the conversion price for the company’s September 2012 convertible promissory note had to be reduced from $1.09 to $0.19 per share. This means that the amount of common shares that can be issued after the due date of the note, which is October 31, 2016 totals an estimated 36.8 million.


Meanwhile, even after yesterdays’ 12.82% we see that IMSC is sitting at $0.44 a pop. Still, trading is going rather slow and the 187 thousand shares that changed their owners generated only $87 thousand in daily dollar volume.


Today’s news, however, don’t seem to be exciting for investors, as the ticker is still riding red and the volume has already doubled that of yesterday, indicating that a lot of people have started to shed their holdings.

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