Company: OCC
Filing Date: 2025-06-05
Form Type: 10-Q
Source: 0001437749-25-019494
Chunk: 94

Company: OPTICAL CABLE CORP
Filing Date: 2025-06-05
Form: 10-Q
Item: Item 8
Chunk 94
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 revolver - current totaling $1.8 million, resulting from net repayments on our Revolver.

Total shareholders’ equity at April 30, 2025 decreased $1.7 million in the first half of fiscal year 2025 resulting primarily from a net loss of $1.8 million, partially offset by share-based compensation, net of $79,000.

Liquidity and Capital Resources

Our primary capital needs have been to fund working capital requirements through our Revolver. Our primary source of capital for this purpose has been existing cash, cash provided by operations, and borrowings under our Revolver (see “Credit Facilities” below).

Our cash totaled $894,000 as of April 30, 2025, an increase of $650,000 compared to $244,000 as of October 31, 2024. The increase in cash for the six months ended April 30, 2025 primarily resulted from net cash provided by operating activities of $2.8 million, partially offset by net cash used in financing activities of $2.0 million, resulting primarily from net repayments on our Revolver, and capital expenditures of $140,000.

On April 30, 2025, we had working capital of $13.9 million compared to $15.5 million on October 31, 2024. The ratio of current assets to current liabilities as of April 30, 2025 was 1.9 to 1.0, compared to 2.0 to 1.0 as of October 31, 2024. The decrease in working capital and in the current ratio was primarily due to the decrease in trade accounts receivable, net of $1.8 million and the increase in accounts payable and accrued expenses totaling $2.1 million, partially offset by the decrease in note payable, revolver – current totaling $1.8 million.

As of April 30, 2025 and October 31, 2024, we had outstanding loan balances under our Revolver totaling $6.5 million and $8.3 million, respectively. As of April 30, 2025 and October 31, 2024, we had other outstanding bank loan balances, excluding our Revolver, totaling $2.6 million.

Net Cash

Net cash provided by operating activities was $2.8 million in the first half of fiscal year 2025, compared to $113,000 for the first half of fiscal year 2024. Net cash