Company DescriptionLeading Edge Materials Corp. explores for and develops a portfolio of raw material projects in Europe. The company primarily explores for graphite, lithium, nickel, cobalt, and rare earth elements. It holds a 100% interest in the Woxna graphite project that includes four concessions consisting of Kringelgruven, Mattsmyra, Gropabo, and Mansberg located in Gavleborg County, central Sweden. The company also holds interests in the Norra Karr HREE project located in south-central Sweden; and a 51% interest in the Bihor Sud nickel cobalt exploration alliance located in Romania. Leading Edge Materials Corp. was formerly known as Flinders Resources Limited and changed its name to Leading Edge Materials Corp. in August 2016. The company is headquartered in Vancouver, Canada.

How the Company Makes Money

Leading Edge Materials Financial Statement Overview

Summary

Leading Edge Materials faces significant operational challenges, with no revenue generation and consistent losses impacting its financial health. The balance sheet remains strong with no debt and a solid equity base, but the lack of operational cash flow and negative profitability margins raise concerns about long-term viability.

Income Statement

Very Negative

The company has consistently reported zero revenue over several years, indicating significant challenges in generating sales. All profitability margins, like gross profit margin and net profit margin, are not meaningful due to the absence of revenue. EBIT and EBITDA margins are negative, reflecting ongoing operating losses. Revenue growth rate is not applicable as revenue remains zero.

Balance Sheet

Negative

The balance sheet shows a stable equity position with no debt, as evidenced by a debt-to-equity ratio of zero. However, the absence of revenue and continuous losses have limited the company's ability to generate returns, as reflected by negative ROE. The equity ratio is relatively strong, indicating a solid capital structure, but the lack of revenue generation poses long-term sustainability risks.

Cash Flow

Negative

The cash flow statement shows negative operating cash flow, indicating that the company is not generating cash from its core operations. Free cash flow is also negative, showing a reliance on external financing for cash needs. Free cash flow growth is negative, highlighting the lack of operational improvement. The operating cash flow to net income ratio is not favorable due to consistent net losses.

TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Breakdown
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00	0.00
	Gross Profit
-94.02K	-128.06K	-24.07K	-68.29K	-53.75K	-45.80K
	EBIT
-2.32M	-2.12M	-2.66M	-3.41M	-2.23M	6.39M
	EBITDA
-2.35M	-2.12M	-2.44M	-1.14M	-1.77M	-11.03M
	Net Income Common Stockholders
-2.69M	-2.58M	-3.64M	-116.35K	-1.43M	-19.85M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.09M	2.58M	1.35M	2.30M	3.36M	395.61K
	Total Assets
24.85M	25.39M	23.83M	28.76M	27.22M	24.83M
	Total Debt
0.00	0.00	0.00	0.00	0.00	0.00
	Net Debt
-2.00M	-2.43M	-1.20M	-1.32M	-3.36M	-395.61K
	Total Liabilities
5.75M	5.00M	5.50M	10.15M	7.50M	8.28M
	Stockholders Equity
19.10M	20.39M	18.34M	18.60M	19.71M	16.54M
Cash Flow		Free Cash Flow
-3.44M	-2.55M	-2.04M	-2.84M	-1.59M	-2.06M
	Operating Cash Flow
-1.33M	-1.63M	-1.52M	-2.53M	-1.51M	-1.99M
	Investing Cash Flow
-2.12M	-919.34K	-327.03K	387.78K	-69.26K	-69.40K
	Financing Cash Flow
4.48M	3.78M	1.73M	101.70K	4.54M	1.27M

Leading Edge Materials Peers Comparison

Overall Rating

UnderperformOutperform

Sector (51)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LEMIF		$36.43M	―	-12.61%	―	―	―
Sector *	51 Neutral	$2.02B	-1.14	-21.36%	3.64%	2.88%	-30.57%
NCF	39 Underperform	C$60.70M	―	-8.64%	―	―	56.63%
NRM	37 Underperform	C$9.39M	―	-45.87%	―	―	72.76%
NGPHF		$8.31M	―	-329.25%	―	―	―
DFMTF		$41.94M	―	-10.05%	―	―	―
LBNK	39 Underperform	C$11.88M	―	-144.76%	―	―	48.54%

* Basic Materials Sector Average

Performance Comparison

LEMIF

Leading Edge Materials

0.14

0.05

55.56%

TSE:NCF

Northcliff Resources

0.10

0.08

400.00%

TSE:NRM

Noram Lithium Corp

0.10

0.00

0.00%

NGPHF

Northern Graphite

0.06

-0.03

-33.33%

DFMTF

Defense Metals

0.14

>-0.01

-6.67%

TSE:LBNK

LithiumBank Resources Corp.

0.24

-0.61

-71.76%

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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