Originally Posted by
Snoopy
Thanks for the challenge Muss. I have decided to look at the AT2 annual report for the year ended 30th September as you suggested. Particularly the income statement on page 10.
Removing the one off exchange rate loss we are looking at a normalized after tax profit of $4.12m. There is a joint venture loss of $3.719m to contend with. That seems to be related to the 50% owned joint venture A2 milk UK limited that according to KW has now been dissolved. But if A2 want to progress in the UK they will now have to spend their own money instead. So I don't think you can call the $3.719m lost a one off, when the market is clearly not yet profitable.
All the other expenses seem to be ongoing. I had thoughts of taking out the strategic review. But it looks like ATM have a strategic review every year! So we are back to a normalized profit of $4.12m.
With 617.2m share on issue I get 'eps' of :
$4.12m / 617.2m = 0.6675cps
With the share price at 90c, I get an historic PE of 135.
So ATM looks to be even more expensive than I thought.
SNOOPY