profits understated imo

$25m net debt reduction is great news.

One note: Depreciation is based on estimated useful life at the time of purchase as far as I am aware. However with the recent slump in revenues, the useful life is being extended through lack of usage IMO. A lot of the work done by EHL's equipment will produce significant wear and tear, so lower utilisation is a plus as well as a minus (due to lower revenues). I don't know what % of depreciation might be able to be written back in theory, to get a more accurate picture. "Real" profit (whatever that is) is probably higher than the accounting profit. I added back 22m in my sums after tax.

NTA is therefore probably higher too under that logic by pretax $30m approx.

I don't see why EHL will not be able to make good progress paying down their debts. They have some safety buffers such as the ability to offer to sell some of their equipment. I would hope that if mining falls in a hole, the lower AUD might make their equipment value higher under international prices as well as the foreign denominated debt more expensive to cancel each other out. Seems EHL is priced for the bottom of the cycle, and we don't know for sure that a slump is coming.

GLTA