Hello everybody
The meeting was short and sweet ( carrot cake served up again).
About 32 people attended including several staff.
Because I truly did lose my voice some time ago (when Parma stepped in and called the company instead) and it mysteriously has not returned I emailed the question list to company secretary Kim Hyman.
Someone called Len representing a shareholders association of 17 shareholders spoke and asked questions from the floor before the presentation. As are ( I think ) all Hot Copper posting shareholders, his association is delighted with the calibre of NRW and the outstanding results management has achieved.
The question had to do with risk management in terms of the step change in scale ( seeing as the company has doubled in size)
This question was comprehensively answered by Michael Arnett.
Basically as we know after the bitter experience of Samsung, NRW’s diligence in terms if risk assessment are extremely high including full investigation of the risk profile of the contracting party.
“The board asesses this at both a nacro and micro level,”
Management’s ability to handle increased work level had already been clearly demonstrated at the height of the boom.
We are now at record growth yet, as has been mentioned here already , the company is leaner, wiser and general,y more capable than ever before ( plus we are at the start of a cycle with visible tenders remaining at $6 billion )
.....
Other stuff :
The separate office in Brisbane is long standing, not new .
Issues, if there are any, to do with FAL or Gascoyne were not addressed...probably a good thing as the subjects are both market sensitive and press sensitive .
Hughes Drilling rehab of machinery is going great - there has been a “marked” imorovenent in reliability and availability.
NRW is exoecting improved performance in H2 and in coming years, The company is looking forward to increased margins in the future. Business comes from external clients and used in NRW’s own projects.
The company is synergistic with NRW operations.
“It’s a great business and will improve”...
Labour - leaders have great satisfaction in seeing ex employees continuing to return to both Golding and NRW....
Infrastructure projects ..... NRW continues to look but it is well set up and doesn’t need to be anything but canny . I gained the sense it is not going to stick it’s neck out and doesn’t need to.
There’s a bit more but I have to go now and just wanted to post this whilst still fresh.
Biggest takeaway :
This is an excellent business well set up for current environment and the future ..
Oh and dividends are likely to continue
And we should all be very pleased
Cheers
(20min delay)
