Ecclesiastes 11:2: “Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth.”
Ben Graham - In the short run the market is a voting machine but in the long run the market is a weighing machine
This is a pretty big earnings guidance downgrade. Beagles favourite method using mid point it’s a 16% reduction (best case view down 20%) -
The company now expects earnings before taxation of $340 million to $400 million for the year ended 30 June 2019. This includes the impact of the global Rolls-Royce engine issues.
The previously announced guidance was for underlying earnings before taxation of $425 million to $525 million, which excluded an estimated $30 million to $40 million impact of schedule changes prompted by the global Rolls-Royce engine issues.
This is a pretty big earnings guidance downgrade. Beagles favourite method using mid point it’s a 16% reduction (best case view down 20%) -
The company now expects earnings before taxation of $340 million to $400 million for the year ended 30 June 2019. This includes the impact of the global Rolls-Royce engine issues.
The previously announced guidance was for underlying earnings before taxation of $425 million to $525 million, which excluded an estimated $30 million to $40 million impact of schedule changes prompted by the global Rolls-Royce engine issues.
Given the new guidance assumes a lower average jet fuel cost than previous, in terms of demand levels falling away it is possibly even worse than it looks.
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