Hi Shakattack, sorry to take so long to reply to your post.
I've been through the financials more thoroughly this time but am still not convinced that there is value at current prices and how they intend to pay 9 cents in dividends unless they get a substantial increase in profit very soon.
At the end of FY15 they had a cash balance of $24.754m, after dividend distributions of $27.001m and a profit in FY16 of $18.162m (also allowing for additional costs and income) the cash at the end of the year now stands at $14.455m.
You also need to take into account that at the start of the FY they also did a capital raising for almost $40m. if that raising hadn't been successful then you can see how the balance would easily now be in the red.
I also find it hard to understand why they would pay out $27m in dividends in the same year that they had to do a $40m capital raise to fund purchases they made weakening their balance sheet.
With regard to the debt, yes they only paid $1.6m in interest but I assume that they are also liable for the $219m in debt if the Financial Leases they have set up go bad, (there is no break up of who the leases are made out to or the ability of companies to repay their obligations to CSV). The finance lease interest expenses still cost the company almost $13m last year (thus the $15m I quoted in an earlier post). They state that some is with government sectors and would assume that it is fairly safe but again not much information to go on.
At the same time I don't see CSV as being in any financial trouble as such and if they can continue to grow are currently priced at about fair value. I do believe though that they need to work on their balance sheet and foresee dividends been reduced or cancelled in the near future.
Again this is from my own research and in my own opinion and welcome further discussion/debate on CSV - a balance sheet can only show you so much and is not necessarily a true reflection of a companies hidden potential.
