2 words Development expenditure. It always is a capital item, yet is an ongoing expenditure every year. It seems to run at about $9m/quarter.
It is why when you look over the books for the last year and see how much money they made, then look at cash holdings not changing much, you wonder what happened.
So how good do the numbers look when you add another $9m per quarter to costs, where the capital item "development" really should be.
Suddenly you get to realise they are not making as making as much as you thought, and it explains where the SP is and why there is so little cash after making all this money last year.
MML Price at posting:
81.0¢ Sentiment: Sell Disclosure: Not Held
