Seems to be a lot of terms being thrown around willy-nilly. Liquidity includes cash and facilities you can quickly convert to cash such as approved lines of credit. If you've borrowed the cash it will be reflected as a liability on the other side of the balance sheet such that the net position at the bottomline is essentially just the interest payable. Thus, cash and net debt are the numbers of interest.
In keeping with that, the instructive pieces of information coming out of yesterday's QF announcement were (a) that their cash position as of 30 April was $2.4 billion and (b) that net debt had peaked in February and was expected to be lower than $6.05 billion by 30 June.
That all augurs well for them. Compared to their 30 December numbers per their half-year report, it shows that they have significantly slowed their cash burn and almost certainly have an improving outlook so long as further lockdowns/travel restrictions are avoided.
If you want to cut through the bumf and hoopla look at how the market reacted - it really didn't blink. QAN is up over 1.5 percent since yesterday's announcement.
REX on the other hand ... they announce that they'll break even and their share price drops. Probably goes to credibility, your Honour.
Last edited by MickG0105; 21st May 2021 at 03:30.
Reason: Tidy up for clarity