oversold, page-7

2. the earnings from these acquisition seem like they will not be kicking in strongly over this half, which is forecast to earn $38m npat for the half year, similar to the $74m npat fully year profit for last year

the point is CDD traded up to $8.64 this year, probably because investors thought earnings from the many acquisitions would kick in

but the profit guidance of $36m to $40m for the 1H13 shows either:

1. earnings from new acquisitions are not kicking in

or

2. there is a drop in earnings elsewhere

CDD increased their shares on issue by 23% & increased their debt by 92% but their NPAT, forecast for 1H13, remains essentially unchanged & their EPS for 1H13 has fallen by 7% (compared to the previous period)