Revenue, page-61

Last Quarter report reported Profits.  If the trend continues, then we will have a SP between 1.5 and 2.5 cents AUS a share.  This is without the Lithium holdings.  Another 3 million of shareholder value would be added to the 1.5 to 2.5 valuation of DLC.  And no value added with the oil well revenues.  Depending on the Lithium deal, the oil, and the continuation of Profit for the core business of DLC, a SP of between 3.5 and 5.0 cents AUS could happen.  All my opinion of course.  The Annual Report for Delecta Limited ("Delecta" or the "Company") for the year ending 30 June 2016 will come out soon around the last week in July 2016.  For some investors that would be a hell of a gain!

Annual Report for Delecta Limited ("Delecta" or the "Company") for the year ending 30 June 2015.  (BELOW)


Chairman’s Report
Dear Shareholders,
I present to you the Annual Report for Delecta Limited ("Delecta" or the "Company") for the year ending 30 June 2015.
This year has seen the Company deliver on a number of initiatives earmarked for the 2015 Financial Year. Throughout the year we have seen:
A rationalisation of costs within our Calvista Australia Pty Ltd ("Calvista") business under the guidance of its new General Manager, Roger Sheldon-Collins that have included:
• The closure of the Media division and restructuring of supporting departments.
• The closure of the New Zealand office and distribution centre whilst maintaining sales and service to New Zealand from Australia.
• A 74% reduction in aged inventory, freeing up working capital and warehouse space.
• The relocation of Calvista’s Melbourne warehouse resulting in occupancy costs savings of in excess of $800,000 over a 5 year period.
A restoration of customer and supplier relationships highlighted by:
• A successful Adultex 2015 event in which sales lifted by 25% on the previous year.
• Positively trending sales revenues in the second half of 2015FY against budgets.
• Partnering with suppliers of innovative new products such as the "Womanizer", whilst continuing to support and grow the businesses existing suppliers brands in the Australian market.
The Completion of the acquisition of an 80% Operating Interest and 58% Net Revenue Interest in the Wise # 1-25 Oil & Gas Well in Oklahoma, USA which formed part of the Canadian River Field Development Project, and the commencement of production and sales of oil and gas from the non-primary formation of the Wise # 1-25 Well.

The Board’s outlook for the 2016FY is cautiously optimistic.

Calvista is expected to improve on the previous year’s results, benefiting from the array of business improvement initiatives implemented in 2015. Furthermore, competitor activity during 2015 is expected to be unsustainable and the consistent, customer centric model offered by Calvista is expected to assist in driving sales and product partnering growth into 2016.
Production from the Wise # 1-25 Well to 30 June 2015 totalled 3,708 BBL Oil and 29,139 McF of Gas with proceeds received by the Company’s wholly owned subsidiary Canadian River Inc. of $168,000. This initial production has come from the secondary Viola formation, with the primary Wilcox Sandstone formation yet to be accessed due to high downhole pressure rendering it unsafe at this point to remove a bridge plug.
The Operator of the Wise # 1-25 Well, Inland Oil & Gas, continues to monitor the wells pressure with a view to accessing the primary zone. Upon accessing the primary Wilcox formation an electric submersible pump will be installed which is anticipated to increase production rates considerably once complete.
Whilst Oil prices have fallen and remain low with an average 2015FY sale price of $47.64 per barrel, this is being offset to some extent by a low Australian dollar.
Though the planned divestment of the Canadian River Field Development Project to Paynes Find Gold Limited (ASX code PNE) ("Paynes Find") did not reach finalisation with Paynes Find unable to secure the required investor support, the Company maintains its investment in Paynes Find which at the date of this report sat at 37% of issued capital. The Company continues to support the Board of Paynes Find’s endeavours to identify and acquire a suitable project to enable its recapitalisation.
Your Board and Management will look to consolidate its position following the developments of 2015FY, building on improved results from Calvista, and increasing production from the Wise # 1-25 Well.
The Board thanks you for your continued support