In the same breath, also miss Snapiti. Hoping he would be back sometime.
Printable View
In the same breath, also miss Snapiti. Hoping he would be back sometime.
Snapps gone :(
Ouch...that's a shame :(
Good on a ya Roger. Winner69 has been bit quiet of late, wonder why?
MD Mr Borland putting money where his mouth is, buys 375k on-market (@ $1.99/share), great stuff!!!
Good to see! Hope SCL stays above the $2 mark.
I've just been reading the interim report. As noted, NPAT from continuing operations was a record $33.2m. However, there's a potentially nasty little item of ($13.515m) appearing in the accounts under "items that may be reclassified subsequently to profit or loss- continuing operations" representing net loss after tax on cash flow hedges. Now I realise that the amount finally written off - or gained - in this respect will only become known in the future but it's a substantial number, currently, and I wonder what the underlying transactions and the rates at which they were written, are. As it is, it's unclear whether higher/lower interest rates/exchange rates would be detrimental or beneficial.
Comments?
I would not be too worried by that. The whole purpose of a hedge is to give certainty to cash flow. Depending on the rate at which it was written for it may end up being smaller, or even negative. However for that to happen the income on foreign sales will increase by a similar amount, so the nett result would be for little change in the bottom line.
Have a look at the presentation that went with that report particularly page 7
Best Wishes
Paper Tiger