The first half produced a NPAT of: $16,626m-$4.039m = $12.587m
How bad did it really get in that second half year?
This is a 'subtraction exercise', because we know the 'divisional profitability of FY2024' and the 'divisional profitability of HY2024'.
2HY2024 Retail & Water Agency Revenue $255.275m $99.110m EBITDA $1.080m $10.883m less Back Office EBITDA ReAllocation ($3.289m) ($1.122m) less Net Interest Allocation ($1.380m) ($2.589m) less Back Office Interest ReAllocation ($0.985m) ($0.382m) less Depreciation & Amortisation ($8.895m) ($3.781m) less Back OfficeDA Reallocation ($1.249m) ($0.391m) less Income Tax Benefit (Expense) $2.808m ($1.248m) add Back Office Tax ReAllocation $0.644m $0.320m equals NPAT (-$11.266m) $1.690m Net Profit Margin -4.41% 1.71%
Notes
1/ Reallocation apportioning is on the basis of divisional revenue.
Total loss figures for the second half after tax were: -$11.266m+$1.690m=-$9.576m, with livestock auctions lightly 'saving the day'. No wonder PGW do not publish their second half results stand alone to highlight such things! But having said that, Rural Supplies, where farmers are buying their farm input goods at the start of the growing season are always weighted to the first half. And Agency, dominated as it is by livestock auctions is always going to be weighted to the second half as fattened up animals are sold for good process. That means the pattern of these second half results are not unusual and it does not mean the company is 'going to the pack'. But the 2HY2024 result does represent a negative tinge on the more usual seasonal result pattern.
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