Skellerup (SKL) Fundamentals

[percy]

Glass half full Percy...must be the new brand of coffee my wife bought last week...I see the glass half empty...change coffee or get new glasses ?

Remember a good business can have a poor year, and a bad business can have a good year.
SKL is a very good business.
The only surprise to me was how poor NZ dairying was.I thought the consumables would have held up better.Can't see how farmers can keep putting off buying the liners.

[percy]

Pretty average result, down of FY15 which was also an average result (EBIT 10% lower than FY14). To be expected though given the state of their main markets. Also agree with BP, that I am impressed by their development of new markets/diversification.

I will look to purchase if price drops significantly on this news.

Yes we could see under $1.20 again.
The buy signal will be when Sir Selwyn "tops up".

[Beagle]

Remember a good business can have a poor year, and a bad business can have a good year.
SKL is a very good business.

Yes we could see under $1.20 again.
The buy signal will be when Sir Selwyn "tops up".

Fair comment and yes I'd be interested at around $1.20 again but as for whether its worth $1.40+ on the back of this result...

[Biscuit]

Thanks for the link.
Mixed,flat,steady dividend,yet there is progress being made.
Diversified means when one sector is down other sectors are on the rise.
Still a well run business with a strong balance sheet that is "well positioned" to take advantage of any opportunities that come along.Great seeing they are finding more of those opportunities in the USA.

Yes, given the known headwinds in Agri division and in oil/gas mining in the US, its not a bad result.

[xafalcon]

I read it as a net neutral report.

I don't know SKL's hedging policy, so hard to confirm what actual exchange rate(s) they are converting at.

SKL are in some tough market segments with the current commodities rout - mining, dairy, oil, so almost certainly some downwards pressure on domestic sales (into dairy) and margins (world wide) would be expected

International sales volumes do appear to be increasing, so this bodes well for the future

[James108]

I read it as a net neutral report.

I don't know SKL's hedging policy, so hard to confirm what actual exchange rate(s) they are converting at.

SKL are in some tough market segments with the current commodities rout - mining, dairy, oil, so almost certainly some downwards pressure on domestic sales (into dairy) and margins (world wide) would be expected

International sales volumes do appear to be increasing, so this bodes well for the future

I tend to agree, I guess I am just hoping for another opportunity to top up at $1.18

[winner69]

Love how things are told

Yesterday Trade Me went to 2 decimal places on the EPS calculation so they could say EPS increased

Today Skellerup say earnings are 'similar level to prior corresponding period (pcp)' when they are actually less

Beauty is in the eyes of the beholder Or something like that

[macduffy]

SKL, STU and FBU's results show how difficult it is to grow earnings in a low inflation, flat local and world economy. Don't expect too many spectacular results around this reporting season.

[Jantar]

On looking through the financial statement I see that revenue is up nicely. The expenses that have increased are marketing and distribution. Administration expenses have been held or reduced slightly. That seems like a good result to me.

[xafalcon]

The market doesn't seem to like the report