2016 Q1 Form 10-K Financial Statement

#000127956916002939 Filed on March 16, 2016

View on sec.gov

Income Statement

Concept 2016 Q1 2014 Q4 2014
Revenue $0.00 $0.00 $0.00
YoY Change
Cost Of Revenue
YoY Change
Gross Profit
YoY Change
Gross Profit Margin
Selling, General & Admin $870.0K $1.530M $5.700M
YoY Change -24.35% -27.83% -42.48%
% of Gross Profit
Research & Development $800.0K $670.0K $2.630M
YoY Change 100.0% -49.24% -67.89%
% of Gross Profit
Depreciation & Amortization $1.315K $10.00K $15.78K
YoY Change -25.66% -27.62%
% of Gross Profit
Operating Expenses $1.670M $2.210M $8.373M
YoY Change 7.41% -31.79% -53.93%
Operating Profit
YoY Change
Interest Expense -$820.0K $560.0K $610.0K
YoY Change -189.13% -77.78% -92.92%
% of Operating Profit
Other Income/Expense, Net -$817.0K $0.00 $606.2K
YoY Change -188.94% -92.72%
Pretax Income -$2.490M -$1.650M $7.767M
YoY Change 289.06% 61.76% -178.83%
Income Tax $0.00
% Of Pretax Income 0.0%
Net Earnings -$2.487M -$1.654M -$7.767M
YoY Change 290.81% 62.2% -21.17%
Net Earnings / Revenue
Basic Earnings Per Share
Diluted Earnings Per Share -$21.41K -$16.17K -$78.43K
COMMON SHARES
Basic Shares Outstanding 116.3M shares
Diluted Shares Outstanding

Balance Sheet

Concept 2016 Q1 2014 Q4 2014
SHORT-TERM ASSETS
Cash & Short-Term Investments $5.100M $13.50M $13.50M
YoY Change -54.87% -3.57% -3.57%
Cash & Equivalents $5.091M $13.52M $13.50M
Short-Term Investments
Other Short-Term Assets $200.0K $200.0K $200.0K
YoY Change 0.0% 0.0% 0.0%
Inventory
Prepaid Expenses
Receivables
Other Receivables
Total Short-Term Assets $5.300M $13.76M $13.80M
YoY Change -53.91% -3.03% -2.82%
LONG-TERM ASSETS
Property, Plant & Equipment $55.20M $37.13K $55.20M
YoY Change 0.0% -45.33% 0.0%
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments
YoY Change
Other Assets $0.00 $0.00
YoY Change
Total Long-Term Assets $55.20M $55.24M $55.20M
YoY Change 0.0% -0.06% -0.18%
TOTAL ASSETS
Total Short-Term Assets $5.300M $13.76M $13.80M
Total Long-Term Assets $55.20M $55.24M $55.20M
Total Assets $60.50M $69.00M $69.00M
YoY Change -9.29% -0.66% -0.72%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $200.0K $270.5K $300.0K
YoY Change 0.0% 536.91%
Accrued Expenses $300.0K $878.7K $900.0K
YoY Change 0.0% -39.45% -40.0%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $15.10M $1.149M $1.100M
YoY Change 2920.0% -23.07% -26.67%
LONG-TERM LIABILITIES
Long-Term Debt $0.00 $0.00 $0.00
YoY Change
Other Long-Term Liabilities $0.00 $14.70M $14.70M
YoY Change -100.0% -0.68% -0.68%
Total Long-Term Liabilities $0.00 $14.70M $14.70M
YoY Change -100.0% -0.68% -0.68%
TOTAL LIABILITIES
Total Short-Term Liabilities $15.10M $1.149M $1.100M
Total Long-Term Liabilities $0.00 $14.70M $14.70M
Total Liabilities $15.13M $15.85M $15.80M
YoY Change 0.84% -2.73% -3.07%
SHAREHOLDERS EQUITY
Retained Earnings -$233.5M -$226.2M
YoY Change 3.56%
Common Stock $277.7M $277.1M
YoY Change 3.19%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $45.38M $53.16M $53.20M
YoY Change
Total Liabilities & Shareholders Equity $60.50M $69.00M $69.00M
YoY Change -9.3% -0.66% -0.72%

Cashflow Statement

Concept 2016 Q1 2014 Q4 2014
OPERATING ACTIVITIES
Net Income -$2.487M -$1.654M -$7.767M
YoY Change 290.81% 62.2% -21.17%
Depreciation, Depletion And Amortization $1.315K $10.00K $15.78K
YoY Change -25.66% -27.62%
Cash From Operating Activities -$1.710M -$1.320M -$6.840M
YoY Change 48.7% -38.03% -53.85%
INVESTING ACTIVITIES
Capital Expenditures $0.00 -$30.00K
YoY Change
Acquisitions
YoY Change
Other Investing Activities $0.00 $30.00K
YoY Change -100.0% -200.0%
Cash From Investing Activities $0.00 $0.00
YoY Change -100.0% -100.0%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net $7.316M $7.316M
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 7.290M 7.290M
YoY Change
NET CHANGE
Cash From Operating Activities -1.710M -1.320M -6.840M
Cash From Investing Activities 0.000 0.000
Cash From Financing Activities 7.290M 7.290M
Net Change In Cash -1.710M 5.970M 450.0K
YoY Change 48.7% -376.39% -103.03%
FREE CASH FLOW
Cash From Operating Activities -$1.710M -$1.320M -$6.840M
Capital Expenditures $0.00 -$30.00K
Free Cash Flow -$1.320M -$6.810M
YoY Change -38.03% -54.05%

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<div style="MARGIN: 0pt 0px; FONT: 10pt Times New Roman, Times, Serif "> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px; FONT: 10pt Times New Roman, Times, Serif" align="center"></div> <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"></font> <table style="MARGIN-TOP: 0pt; FONT: 10pt Times New Roman, Times, Serif; MARGIN-BOTTOM: 0pt" cellspacing="0" cellpadding="0" width="100%"> <tr style="VERTICAL-ALIGN: top"> <td style="WIDTH: 0.5in"> <div style="CLEAR:both;CLEAR: both"><font style="FONT-SIZE: 10pt"> 1.</font></div> </td> <td style="TEXT-ALIGN: left"> <div><strong>GENERAL INFORMATION, NATURE OF OPERATIONS AND LIQUIDITY RISK</strong></div> </td> </tr> </table> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif" align="left"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif" align="left"><font style="FONT-SIZE: 10pt">International Tower Hill Mines Ltd. 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Should the default not be remedied, the Company may be required to deliver the underlying claims, which are not part of the project&#8217;s gold resource but are part of the 75 square mile Livengood land package, into a trust in order for them to be sold. Should the proceeds from sale not be sufficient to satisfy the outstanding amount of the Additional Payment, the beneficiaries will have recourse against the Company for any shortfall. The Company considers it highly likely that the proceeds from any such sale, should it prove necessary, would be sufficient to satisfy the amount of the Additional Payment.</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif" align="left">&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif" align="left"><font style="FONT-SIZE: 10pt">In addition, any significant delays in the issuance of required permits for the ongoing work at the Livengood Gold Project, or unexpected results in connection with the ongoing work, could result in the Company being required to raise additional funds to advance permitting efforts. The Company&#8217;s review of its financing options includes pursuing a future strategic alliance to assist in further development, permitting and future construction costs.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif" align="left"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif" align="left"><font style="FONT-SIZE: 10pt">Despite the Company&#8217;s success to date in raising significant equity financing to fund its operations, there is significant uncertainty that the Company will be able to secure any additional financing in the current or future equity markets. The amount of funds to be raised and the terms of any proposed equity financing that may be undertaken will be negotiated by management as opportunities to raise funds arise. Specific plans related to the use of proceeds will be devised once financing has been completed and management knows what funds will be available for these purposes. Due to this uncertainty, if the Company is unable to secure additional financing, it may be required to reduce all discretionary activities at the Project to preserve its working capital to fund anticipated non-discretionary expenditures beyond the 2016 fiscal year.</font></div> </div><table border="0" style="width:100%; table-layout:fixed;" cellspacing="0" cellpadding="0"><tr><td></td></tr></table>
CY2015 us-gaap Use Of Estimates
UseOfEstimates
<div style="MARGIN: 0pt 0px; FONT: 10pt Times New Roman, Times, Serif "> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif" align="left"></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.5in; MARGIN: 0pt 0px; FONT: 10pt Times New Roman, Times, Serif" align="left"><font style="FONT-SIZE: 10pt"><b><font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> </font><font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">Significant judgments, estimates and assumptions</font></b></font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif" align="left"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 35.45pt; FONT: 10pt Times New Roman, Times, Serif" align="left"><font style="FONT-SIZE: 10pt">The preparation of financial statements in accordance with U.S. GAAP requires management to make judgments, estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the period. These judgments, estimates and assumptions are regularly evaluated and are based on management&#8217;s experience and knowledge of the relevant facts and circumstances. While management believes the estimates to be reasonable, actual results could differ from those estimates and could impact future results of operations and cash flows.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 35.45pt; FONT: 10pt Times New Roman, Times, Serif" align="left"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 35.45pt; FONT: 10pt Times New Roman, Times, Serif" align="left"><font style="FONT-SIZE: 10pt">The areas which require significant judgment and estimates that management has made at the financial reporting date, that could result in a material change to the carrying amounts of assets and liabilities, in the event actual results differ from the assumptions made, relate to, but are not limited to the following:</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 35.45pt; FONT: 10pt Times New Roman, Times, Serif" align="left"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 35.45pt; FONT: 10pt Times New Roman, Times, Serif" align="left"><font style="FONT-SIZE: 10pt"><u>Significant estimates</u></font></div> <table style="MARGIN-TOP: 0pt; FONT: 10pt Times New Roman, Times, Serif; MARGIN-BOTTOM: 0pt" cellspacing="0" cellpadding="0" width="100%"> <tr style="VERTICAL-ALIGN: top"> <td style="WIDTH: 0.75in"> <div style="CLEAR:both;CLEAR: both"></div> </td> <td style="WIDTH: 0.25in"> <div style="CLEAR:both;CLEAR: both"><font style="FONT-SIZE: 10pt;FONT-FAMILY:Symbol">&#8901;</font></div> </td> <td style="TEXT-ALIGN: left"> <div style="CLEAR:both;CLEAR: both"><font style="FONT-SIZE: 10pt"> the fair value determination and inputs used in the valuation of the derivative liability (see Note 6).</font></div> </td> </tr> </table> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px; FONT: 10pt Times New Roman, Times, Serif" align="left"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.5in; MARGIN: 0pt 0px; FONT: 10pt Times New Roman, Times, Serif" align="left"><font style="FONT-SIZE: 10pt"><u>Significant judgments</u></font></div> <table style="MARGIN-TOP: 0pt; FONT: 10pt Times New Roman, Times, Serif; MARGIN-BOTTOM: 0pt" cellspacing="0" cellpadding="0" width="100%"> <tr style="VERTICAL-ALIGN: top"> <td style="WIDTH: 0.75in"> <div style="CLEAR:both;CLEAR: both"></div> </td> <td style="WIDTH: 0.25in"> <div style="CLEAR:both;CLEAR: both"><font style="FONT-SIZE: 10pt;FONT-FAMILY:Symbol">&#8901;</font></div> </td> <td style="TEXT-ALIGN: left"> <div style="CLEAR:both;CLEAR: both"><font style="FONT-SIZE: 10pt"> the determination of functional currencies;</font></div> </td> </tr> </table> <table style="MARGIN-TOP: 0pt; FONT: 10pt Times New Roman, Times, Serif; MARGIN-BOTTOM: 0pt" cellspacing="0" cellpadding="0" width="100%"> <tr style="VERTICAL-ALIGN: top"> <td style="WIDTH: 0.75in"> <div style="CLEAR:both;CLEAR: both"></div> </td> <td style="WIDTH: 0.25in"> <div style="CLEAR:both;CLEAR: both"><font style="FONT-SIZE: 10pt;FONT-FAMILY:Symbol">&#8901;</font></div> </td> <td style="TEXT-ALIGN: left"> <div style="CLEAR:both;CLEAR: both"><font style="FONT-SIZE: 10pt"> quantitative and qualitative factors used in the assessment of impairment of the Company&#8217;s capitalized acquisition costs; and</font></div> </td> </tr> </table> <table style="MARGIN-TOP: 0pt; FONT: 10pt Times New Roman, Times, Serif; MARGIN-BOTTOM: 0pt" cellspacing="0" cellpadding="0" width="100%"> <tr style="VERTICAL-ALIGN: top"> <td style="WIDTH: 0.75in"> <div style="CLEAR:both;CLEAR: both"></div> </td> <td style="WIDTH: 0.25in"> <div style="CLEAR:both;CLEAR: both"><font style="FONT-SIZE: 10pt;FONT-FAMILY:Symbol">&#8901;</font></div> </td> <td style="TEXT-ALIGN: left"> <div style="CLEAR:both;CLEAR: both"><font style="FONT-SIZE: 10pt"> the analysis of resource calculations, drill results, labwork, etc. which can impact the Company&#8217;s assessment of impairment, and provisions, if any, for environmental rehabilitation and restoration.<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"></font></font></div> </td> </tr> </table> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: -0.25in; MARGIN: 0pt 0px 0pt 1in; FONT: 10pt Times New Roman, Times, Serif" align="left">&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif" align="left">The Company&#8217;s assessment of impairment related to its capitalized acquisition costs at December 31, 2015 was based on estimated undiscounted future cash flows expected to result from the use and eventual disposition of these assets. The assessment took into account the Company&#8217;s expectation for the future price of gold as well as the probability of achieving certain opportunities to enhance the economics of the Livengood Gold Project as set out in the September 2013 Study and as subsequently developed by the Company. Based on this assessment, no impairments were recorded at December 31, 2015.</div> </div><table border="0" style="width:100%; table-layout:fixed;" cellspacing="0" cellpadding="0"><tr><td></td></tr></table>
CY2015 thm Period For Which Average Gold Price Per Ounce Of Golds Considered For Calculation Of Additional Payment
PeriodForWhichAverageGoldPricePerOunceOfGoldsConsideredForCalculationOfAdditionalPayment
P5Y

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