Golden Hat Resources Inc. Files Audited Annual Report With SEDAR

Golden Hat Resources Inc. [NEX: GHA.H] has filed its audited annual financial statements with SEDAR for fiscal year 2007, ended June 30th, along with the accompanying Management Discussion and Analysis. The financials [PDF file] got an unqualified opinion from the auditors.

Golden Hat's cash increased from $16,592 as of the end of FY '06 (also ended June 30th) to $55,610 as of the end of FY '07. Current assets increased from $22,738 to $61,757 in the same time period. Current liabilities shrunk from $154,997 to $139,723, narrowing the working-capital deficit from $132,259 to $77,966. Book value increased from -0.0831 cents/share to +0.204 cents/share due to the issuance of common shares.

Net loss for FY '07 increased from $106,874 to $154,040 despite a shrinking in expenses from $175,436 to $124,463. The difference is explained in the other-items category: FY '06 saw a reduction of the net loss by $68,562 due to the write-off of accounts payable, because the statutory period for their collection has passed and (as note 10 further explains) "management have determined that they will not be paid." There were no analagous reductions in FY '07; instead, the loss increased due to a $29,577 write-off of the value of a resource property - the Nova Scotia Gold property according to Note 9. As far as the expense items were concerned, all items shrunk except for management fees of $30,000, which remained constant, and Rent & Utilities, which increased slightly. Net loss, though, increased from 0.448 cents/share in FY '06 to 0.461 cents/share in FY '07. A reported increase of 9,576,869 in the weighted average of common shares outstanding explains why the reported per-share loss increased far less than the dollar loss from FY '06 to FY '07.

The accompanying M D & A [PDF file] contains little other than a brief description of the issues facing Golden Hat, as well as a brief description of the Telegraph Creek project which it currently owns plus a summary table of its results for FYs '06 and '07. GHA.H closed at 8 cents/share on Monday, up 0.5 cents/share from Friday's close.