HY results are out and they look amazing:
https://www.nzx.com/announcements/357053
Who would have thought that MCK is reporting a quite solid half year profit (actually a record profit after tax) this half year after the lockdown? But before shareholders get too excited lets look at the details:
OK, so running the hotels over the last 6 months generated only a quite small profit ($3m) - but still - they made a profit, who would have thought!
CDI (check there) reported as usual a good result, which is obviously good for the majority shareholder (MCK).
The recent change in tax laws (allowing them to write off property again) added the lions share ($20m) to their HY profit of $26m. Unfortunately only a one-off.
Ah yes -
and there was this one off property sale in Australia.
Still - quite amazing ... I expected at best a NIL in earnings .. and here they are and delivering the best (after tax) HY result ever!
Outlook is not quite that flash (that's the problem with one-offs, they are one-offs), but still - they do expect to make a (modest) profit for the full year.
Who would have thought ... isn't it amazing to own really solid and conservative companies with solid balance sheets? I like the quiet performers nobody is talking about ...
Discl: very happy holder!
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