How bloody ridiculous of the NZX to do a price enquiry. I mean its gone up from 25 cents to 29 cents in a stock that is thinly traded. Come on NZX you just make yourself look stupid.
A lot to like in today's announcement...... just a tab wordy!!
"We previously announced our EBITDA2 target for the fiscal year ending 31 March 2018 as being forArborGen to double the US-GAAP EBITDA result achieved in the prior year – i.e. to achieve US-GAAPEBITDA of US$3.4 million (~US$9 million pre R&D). We are happy to now report that, despite anextremely tough hurricane season that prevailed during the year and which adversely impactedseedling sales by ~20 million units, ArborGen managed to record a US-GAAP EBITDA result for the12months to 31 March 2018 of US$4.3 million (pre transaction-related costs and impairment costs3), ona gross profit of US$18 million. Excluding R&D of US$5.6 million, EBITDA was ~US$10 million (all figuresstated under US-GAAP, pre-depreciation). These numbers are ahead of our previously announcedearnings targets, in what turned out to be a very difficult operating environment, so we are verypleased with the result....
Looking to our next fiscal year target, we have said that we want to see the prior year’s US$1.7 millionEBITDA result double and then double again, so a long way of saying we are now targeting4,5 a US-GAAP EBITDA result approaching US$7 million for the year ended 31 March 2019. "
A lot to like in today's announcement...... just a tab wordy!!
Very wordy and complicated. Granted not helped by intermingling of business and change in reporting periods. But I think for a start they need to try harder in simplifying shareholder communication.
They seem to think co still undervalued by 35%- but a bit of a positive with ACC taking a stake. (But then they take a stake in anything). Good to see sales up - but a risk with MCP bagging problems resulting in lower inventory.
While US tax position may add abit of value I wouldn't put any on NZ's forest planting objectives.
I'm still OK holding - but looking for a clearer picture in 12 months
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