Are you sure about that profit number
Where did you get the $477M from?
If you had written $177M I would not be worried.
Best Wishes
Paper Tiger
Spare a calculation for a confused tiger
Quote:
Originally Posted by
winner69
I said Operating Profit being EBIT less an allowance for tax which divided by total capital invested gives the ROIC .....or simplified EVA for those into economic value added stuff (or the study of excessive economic returns)
Sorry to pester but:
EBIT is around $170M for the half year or $340M for the year...
Best Wishes
Paper Tiger
Smaller than something bigger
SO Chorus will get dumped from the NZX15 Index; for what that is worth.
https://nzx.com/regulators/NZXO/announcements/248110
Best Wishes
Paper Tiger
A Gecko Stole (Part Of) My Spreadsheet
Quote:
Originally Posted by
nextbigthing
Hey Paper Tiger,
Would you mind sharing your model/workings to get to that valuation for the benefit of all?
Cheers, NBT
Having bandied a value of $1.61 for Chorus round this thread I have been called upon to front up, which I hereby do.
This was a quick and dirty evaluation, which means it is sufficiently easy to explain.
Mid November when the calculation was done the prior full year results (30-Jun-13) recorded a profit of $171M and the management had recently announced that with the ComCom decision they were likely to loose $160M in EBITDA once implemented.
So the revised profit would be $55M8 (171-(160*0.72)) or $0.143 per share if the regime was already in place.
A quick look at the accounts and the cash flows and it says to me that they will not go bust and can continue building the new and maintaining the old but they best not pay a dividend.
I then obviously decided that I would assume 5% pa growth in revenue and multiplying profits by 11 (generous for a non-divvy payer) would do. [I am assuming linear growth so a simple multiplier is OK otherwise I need to do the discounting trick]
OK so that gave/gives the following values for CNU.
Date |
Value |
30-Jun-13 |
$1.577 |
30-Nov-13 |
$1.610 |
31-Mar-14 |
$1.636 |
30-Jun-14 |
$1.656 |
Comments:
It was quick and dirty.
I am naturally cautious in valuing any company.
Using a multiplier of 11 means I expect some upside, normally the number would be about 10.
The is little history to the Chorus accounts to determine a normal, another reason to keep it very simple.
I am not going to a more detailed/elaborate valuation for CNU anytime soon, I do not know enough to make anything more accurate.
If your valuation is different then that is fine - it just means they are different, not wrong.
The Geckos actually just steals the elastic bands that hold the Nasi Bunkus and similar together. I can only guess what they do with them!
Best Wishes
Paper Tiger