Lifelogger Technologies Corp (OTCMKTS:LOGG) comes in the list of those OTC firms that promises big but when it comes to converting them into reality they are short of financial resources. In the latest quarterly report, the company disclosed that it had a working capital of $33,629, a sharp decline of $274,523 compared to $307,882 at end of last quarter. A larger part of working capital was deployed in the development of company’s ‘Lifelogger’ camera.
Lifelogger revealed that net cash deployed in operating activities was $157,244 in 1Q2015 compared to $18, 723 net cash generated by operating activities in 1Q2014. The higher cash utilization in the first quarter can be attributed to a increase in net loss and at the same time decline in prepaid expenses and accruals. The decline in accounts receivables helped the company to offset the higher cash utilization in the quarter. The net cash generated by financing activities came unchanged at $0 in 1Q2015.
Lifelogger stated that it lacks adequate resources to support its comprehensive business plan. There is need of at least $971,000 to cover the expenses in next one year. The company needs $578,000 of funds to support marketing and development of its innovative product ‘Lifelogger’, $192,000 for subcontractors and salaries, and rest of the amount for sales and marketing operations.
Lifelogger Technologies Corp (OTCMKTS:LOGG) mentioned that it would require additional funds of nearly $101,000 to cover general overhead expenses like office overheads, general working capital, accounting fees and corporate legal fees. The management raised funds of $150,000 and $250,000 in May 2015 and September 2014, respectively by issuing shares of company’s unregistered common stock.
In last trading session, the stock price of LOGG declined more than 1% to close the trading session at $0.305. The decline came at a share volume of 221,768 compared to average share volume of 1.10 million.