Yield of 10 to 11%., page-10

My interpretation/opinion: not a "great business" BUT incredibly cheap on a quick look. According to HC its MC is 72M, of which >12M is cash... So business is valued at 60M. When NPAT is 8.8M = <7x P/E. Then you consider that the business has fairly substantial goodwill and therefore a noticeable D&A, so cash flow is actually greater than NPAT, allowing them to pay these fairly large dividends (and ultimately cash flow is a better representation of owner earnings in this sort of business, is it not?).

The only concern is that it isn't a "great business" that can generate cash in any environment. It's struggling for true organic growth with LFL sales falling this year. If this continues, then the valuation is probably fair on the grounds that it's a deteriorating business... If not, then it appears incredibly cheap.

Tough one for me to decide whether to invest or stay on the sidelines. Would be interested to hear other's thoughts, as always.

All in my opinion - not advice.