> fire bull < good point, there is definitely an inherent risk with the Medibank ( ADF) contract, one customer input of $16.5 mil , with the second largest contract at $ 5.5 mil, all up $22 mil yearly revenue out of a total of $ 53 mil that accounts for more 40% of total revenue from only two customers.
the whole RTW (return to work) industry is ruled by very large employers such as GOV, ADF, and large cooperation, these RTW procedures are mediated by large insurance comp, and other bodies, one such is Medibank in the health section.
KONEKT is the market leader with 11% - 12% of market share with 44 offices around the country which is very helpful logistically for such large employers country wide.
I may add that management is holding around 18 million shares out of 73 million = 25%
lots of skin, much to gain/lose.
Cash flow from operation doubled up over a year from 2.3 mil to 4.8 mil
EPS has gone up every year since 2013 when they had a loss, 2014 EPS = 1.4 c' 2015 EPS= 2.0 c'
2016 EPS = 3.45 c' . and this year 2017 EPS = 4.40 c'.
DIV is up this year by 50%.
IT may be the large scale of the company that enables them to win huge contracts, that smaller operators are incapable of.
The last acquisition is an interesting move
KKT Price at posting:
49.0¢ Sentiment: Buy Disclosure: Held
