Ann: Investor Presentation , page-12

To add to Ormond and Andrix's take on the results, I will let you all in on a little secret (OK, not really a secret, but something many investors don't take too much notice of).

MTU's operating cash flow (after tax and interest) is generally around 30% more than the NPAT. This is one reason why they will very quickly pay down the debt taken on with the latest acquisition, while rapidly increasing dividends. Another way of looking at it is this: The forward FY13 P/E might be around 12 and ROE around 28%(based on expected NPAT of around 57.5M), but Price/Cash Flow is more like 9 (expected cash flow of $75M). Expected FY13 cash flow return on equity is a whopping 37%.

So, although MTU stacks up well on the conventional measures of P/E and ROE, it is an absolute ripper on cash flow metrics. Add in the franking credits as well, and presto! An excellent after-tax return and thanks to the great cash flow, plenty of money left over for MTU to reinvest and continue to rapidly grow.