So without the asset write off (a once off) wouldn't they have recorded a 16 million dollar profit or circa 2.2c of EPS?
That was with commodity prices in the toilet for most of the year, peak AUD (remember that every 1c adds 4 million to operating expenses) - it's down 13c from those highs (there's approx. 52 mill right there!)..., and add to that the lost productivity from the storms in Dec/Jan.
Their own guidance is for 50-70 million of profit. Why is 80 million so unrealistic given zinc prices are already up 15c from the lows? That will also impact earnings though for the FY.
I'm just tossing numbers around to see what's possible, so take it with a grain of salt. I think they will probably achieve eps of 5-6c. All the consultants they have hired will have their eye on the other 3c or so...
I am a bit hungover from a Christmas party, but if they do make 6c eps, the PE would be about 5.41.
3 was a bit ambitious, my apologies. Business in Germany is very good at the moment by the way. Despite the headlines. Spoke to a lot of business owners last night and everyone's order books for 2012 are looking good. I am very optimistic.
KZL Price at posting:
32.5¢ Sentiment: Buy Disclosure: Held
