ASX rules require that if company gives guidance to future profits or losses or financial forecast, then if the company becomes aware that they are unlikely to be met or are likely to be substantially different, then the company is duty bound to advise market and revise its forecasts.
So no news from a company is normally regarded as business as usual, but it is frequent that the compulsory disclosure and reporting of public companies have unveiled unpleasant surprises for the investors. Some companies are guilty of hiding the bad news until last possible moment, other argue that the bad results fall within the parameters of the guidance.
Be it what it may, I am a supporter of frequent and honest updates from companies to their owners, the shareholders.
AJA Price at posting:
$2.74 Sentiment: Hold Disclosure: Held
