Originally Posted by
Beagle
Thought it might be an idea to revisit the numbers and crunch them again this morning.
August 2019 they forecast $3.9m before tax profit on $16.3m sales = after tax profit of $2.81m assuming full company tax rate of 28% which on 218.8m shares gives eps of 1.284 cps.
They confirmed earlier this month they had met this forecast net profit and importantly, (exceeded the sales) for the year.
The exceeded the sales is very important because its a clue to higher profits going forward, most especially, (and lets not forget this), because new brands were introduced mid way and very late in the 2019 year respectively) and we will get the full 12 month effect of those new brand sales in 2020, (and now at much more advantageous exchange rates). When you factor that in with the fact that sales beat forecast for the second half of 2019 the prospects ahead look very good.
Historic PE is now 21/1.284 = only 16.4 (I was very surprised it was this low so double checked my numbers), against a market that even with the strong correction of late probably has a historic market PE in the very late 20's. This metric is not much more than half the market but for a company growing very strongly indeed.
By my calculations eps will slightly more than double when announced on Tuesday and is set to grow strongly in 2020. Critical mass has also now been achieved for a main board listing at some stage in the future in my opinion.