Cash Reserve Problems Cloud PNV’s Future

PNV (PNVN) will not meet its capital needs beyond February without additional financing, the company stated in a quarterly report filed Nov. 14.

The report also stated that the company would not meet a $4.9 million interest payment that was due Nov. 15. PNV said it could have difficulty obtaining additional debt financing, and that it may be unable to implement certain operational and financial strategies because of the terms of its loans.

PNV reported a first-quarter net loss of $18.2 million, or $1.14 per share, which is slightly lower than the $18.3 million loss posted a year ago. It burned through $13 million last quarter and has less than $20 million in cash remaining, according to the quarterly report.

The company also reported revenue of $5.5 million, an increase of 62%. Its subscriber base increased 23% from a year ago but remained unchanged from the fourth quarter.

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