MMA Privilege Sea Trials Video, page-19

Business conditions are terrible, wonderful isn't it? Welcome to the land of contrarian thinking where the beaten down dogs are attentively checked for signs of life.
Great you think it can't survive, tell me about the PSV market. Prove to me why it can't survive - on the numbers.
If you buy when conditions are terrible and a business can survive then the only way is up. It's much safer than buying when conditions are good - MRM 2014 decisions an excellent case in point.
I would add to the Jaya cockup the decision in the 2014 report to have 10 PSV vessels out of a fleet of 70 (rough numbers) - also biting them in the bum hard about now. Their reason was to build exploration drilling capacity - at the absolute worst time possible.
Crescent generously paid me $3.45 per share for half my CDD holding (which cost me $3). At that time I had like 2000 shares.
With each raising I increased my stake by 25% thanks to their support and I bought some on the way down so that I have like a 10k paper loss on 120,000 shares.
That's not like a real loss but even if it was - I didn't do enough homework on CDD, should have waited and it's an inexpensive lesson from my perspective. Now I think I have a much stronger understanding of the business the results have revealed a lot also that wasn't certain earlier.
This is normal par for the course with value investing. Often things I buy fall by half before going up 4x.
There's some merit in the analogy with Cardno but it can be taken too far. I am still digging but I don't think we can compare MRM at 35c with CDD at $3.
There's a risk of negative cashflows for the half in the upcoming result and the ability of MRM to raise capital (on fair terms for all holders) is not assured. Against that in the good times MRM was earning 50m per annum and the market cap is like 130m so there's a strong case MRM is even better value. That's pre Jaya too.
That's really saying something as CDD was truly screaming bargain to me at around the 50c mark. I lose my cool when sheet like that happens as it always has turned out so well for me.
You can look at the headline for CDD that the price fell from $3 to $.46c and that seems bad but the business is still OK and someone who averages in will be doing much better than you think right?
Positive cashflow strong balance sheet, great underlying business I am sleeping soundly on that one.
Right now I have dipped my toes in here, still testing the water. I don't have any preconceived ideas.
MRM may or may not prove suitable for me beyond just a little punt on survival of a business. Even if I lose what I put in I like to support companies in trouble and often it is very lucrative.
Incidentally the company says that 2017 earnings are below analyst consensus but what use is that to me if I don't know what the freaking consensus is. Why not spare us the handwringing and just out with it.
Whatever the consensus was its now down 10m further with contract cancellations right?
Aaarrgghh. Results out soon, surely.