raju,
you seem to be concerned about funding needs for CST.
With the company now in profit and fast becoming a cash cow it is pretty evident that they will not need cash, either equity or borrowings.
Rather with $19 million in their bank account and no debt they have a fast increasing cash hoard. If they do require a few extra staff expenses will rise marginally but nowhere near the pace of profitability and free cash. From what the company has said the new offices are already established and paid for so no cash drain there.
At a guess franked dividends will start late next year, in the meantime the only other possible need for cash is the possibility of a small add on aquisition.
Particularly in these times they are in a pretty unique position with a fair bit of cash in the bank and no need for debt. Correct me if I'm wrong but I can't really see much similarity between CST and the companies you mention.
regards, EB
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