Ann: Annual Report to shareholders, page-2

A continued profitability will be paramount for The Company DLC. A much anticipated Quarterly Report at the end of OCT 2017 will give guidance, good or bad, as to the future of this company.  Cash Cow or just another Penny Stock? V shall C!

UNDERVALUED OR FAIR VALUE?    Starting to develop FREE CASH FLOW for OPPORTUNITIES!  

"We look forward to the continued solid financial performance of our Core Business and other Assets, and we will continue to evaluate opportunities that have the potential to create further value for Shareholders".


Dear Shareholders,
I am pleased to present to you the Annual Report for Delecta Limited ("Delecta" or the "Company") for the year ending 30 June 2017.

Following a much improved 2016 Financial Year result, your Board of Directors is extremely proud of the 2017 results.   

We believed that we would deliver continued growth from our Core business, Calvista Australia Pty Ltd and Calvista New Zealand Limited ("Calvista"), and our Executive Management team have delivered with the profit from Calvista increasing by $1.14 million on 2016 to finish at $1.751 million.

Calvista has been transformed over the past few years, spearheaded by its General Manager, Rodger Sheldon-Collins. We now have a business that is unified, lean, customer centric and highly engaged with its suppliers, and product manufacturers / innovators.

These attributes will assist the ongoing success of Calvista as it continues to navigate difficult retail trading conditions for its traditional customers, and changes to the online retail / wholesale landscape within Australia.

The Company’s investment in European Lithium Limited ("EUR") materialised in the early part of 2017, which was highlighted in my 2016 Financial Year Chairman’s Report. Whilst there has been volatility in the value of this investment consistent with the speculative nature of resource exploration & development assets, it has provided the Company with a tangible asset following the recapitalisation and re-instatement of EUR to the Official List of the Australian Stock Exchange.

Disappointingly, the Company’s investment in Canadian River Inc and its Oil & Gas asset, the Wise # 1-25 Oil & Gas Well in Oklahoma, USA, has not reached expectations to date following entry into the primary production zone of the well, namely the Wilcox formation. Oil and Gas continue to be produced, and our team on the ground in the US and our Australian consultant continue to work hard on improving our results and in turn revenue. The Board has impaired the value of the asset at Balance date by $652K, which in turn reduced Group profit by the same amount.

Group Profit for the 2017 Financial Year ended at $0.790 million, an improvement of $0.962 million on the previous financial year.

In addition, at the conclusion of the 2017 Financial Year the Company:

• Had increased its cash reserves by a further $398K on 2016; and
• Had improved its Net Current Assets by 26% to $6.976 million.

On behalf of the Board, I wish to thank our staff, customers, product partners and suppliers for their continued contribution and support of the Company. We look forward to the continued solid financial performance of our Core Business and other Assets, and we will continue to evaluate opportunities that have the potential to create further value for Shareholders.

• Release Date: 24/10/17 09:15
• Summary: Annual Report to shareholders
• Price Sensitive: No
• Download Document  1.52MB