PGC

2.33%

42.0¢ paragon care limited

Ann: Full Year Results Presentation, page-12

First 12 Last

Share
Profile

Follow
WAIMO70

186 Posts.

7

01/09/20

08:31

Post #: 46974295
Share

Originally posted by DiggingforGold: ↑

The good:

- Massive improvement on cash collection and management in the second half. Profitable businesses which can't manage cash still die, so hopefully they keep the focus on this when moving forward. Positive operating cash in the 2H even excluding JobKeeper and tax refunds is a huge win during COVID.
- Actually managed to nearly match last year's revenue, despite COVID. This doesn't look to include JobKeeper either which was netted off against employee expenses.
- Cost out seems to be progressing and they are realising synergies with shared services. Certainly hope so, if they didn't have central finance, HR & IS&T teams previously then it was an absolute failure of previous management.

The bad:

- Debt remains stubbornly high. They seem happy about it based on their gearing against company capital, but the companies capital is based on intangible goodwill. Not coming down any time soon with repayments deferred to Dec-21, hopefully will not grow though and the business will.
- $15m of earn-out listed in current liabilities means it is due this financial year. I hope it isn't until closer to next June because that is a significant chunk of the cash balance.

Unsure:

- Dividends being back on the agenda. Would probably prefer that money go towards debt repayments to shore up the balance sheet, but don't care a huge amount provided they are back in the profit.
- No update on the court case they had going over in WA against one of the prior owners of a business they bought out (if I remember correctly)?

Hopes & Dreams for FY21:

- Positive NPAT, positive cashflow (overall not just operating and without raising capital), revenue growth and gross margins back to prior year 40%

Overall an OK result for a new management team taking over a cluster during a cluster. Didn't knock it out of the park, but definitely not a bad result in my opinion. Upgrading sentiment to a buy, but feel the risk is very high with those debt levels.

Expand

Yes I agree on your point of divvies being paid, I would much rather they focus on debt reduction, I was a little concerned they may have had a deeply discounted share raise but the banks must be happy with the outlook at the moment, which also gives me a measure of confidence.

PGC Price at posting: 20.5¢ Sentiment: Hold Disclosure: Held
Upvote

0 Great analysis

Reply

Top Stories

IMD

IMDEX to receive $10M in out-of-court settlement with Boart Longyear over downhole tool patent

M2R

EIS co-funded campaign sees Miramar kick off maiden drilling at Bangemall, Gascoyne WA

Week 33 Wrap: US recession fears forgotten; RBNZ’s surprise rate cut; more iron ore trouble

Emerald & Azure score Digger & Dealer awards

VTM

Victory Metals dips -8% even as company set to grow heavy REE resource at North Stanmore

Bitcoin: Current State of Play & Where to Next | Swyftx

WNX

Wellnex sees first special access scheme prescriptions for new Wellness Life brand

SVL

Court of Appeal upholds environmental group's challenge to Silver Mines Ltd's Bowden project

ARD

Argent begins search for VMS mineralisation at Kempfield Cu-Pb-Zn-Au-Ag play in NSW

EQR

EQ Resources transitions historic Mt Carbine tungsten mine to owner-operator system

There are more pages in this discussion • 33 more messages in this thread...

First 12 Last

Add PGC (ASX) to my watchlist

(20min delay)
Last 42.0¢		Change -0.010(2.33%)		Mkt cap ! $695.2M

Open	High	Low	Value	Volume
42.5¢	42.5¢	41.0¢	$1.013M	2.435M

Buyers (Bids)

No.	Vol.	Price($)
1	200000	41.5¢

Sellers (Offers)

Price($)	Vol.	No.
42.0¢	54906	2

View Market Depth

No.	Vol.	Price($)
1	200000	0.415
1	10000	0.410
2	17512	0.370
1	40000	0.360
1	100	0.350

Price($)	Vol.	No.
0.430	24266	2
0.435	20000	1
0.440	13990	2
0.445	47000	1
0.450	168008	5

Last trade - 16.10pm 16/08/2024 (20 minute delay)

PGC (ASX) Chart

Ann: Full Year Results Presentation, page-12

IMDEX to receive $10M in out-of-court settlement with Boart Longyear over downhole tool patent

EIS co-funded campaign sees Miramar kick off maiden drilling at Bangemall, Gascoyne WA

Week 33 Wrap: US recession fears forgotten; RBNZ’s surprise rate cut; more iron ore trouble

Emerald & Azure score Digger & Dealer awards

Victory Metals dips -8% even as company set to grow heavy REE resource at North Stanmore

Bitcoin: Current State of Play & Where to Next | Swyftx

Wellnex sees first special access scheme prescriptions for new Wellness Life brand

Court of Appeal upholds environmental group's challenge to Silver Mines Ltd's Bowden project

Argent begins search for VMS mineralisation at Kempfield Cu-Pb-Zn-Au-Ag play in NSW

EQ Resources transitions historic Mt Carbine tungsten mine to owner-operator system

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

Ann: Full Year Results Presentation, page-12

Top Stories

IMDEX to receive $10M in out-of-court settlement with Boart Longyear over downhole tool patent

EIS co-funded campaign sees Miramar kick off maiden drilling at Bangemall, Gascoyne WA

Week 33 Wrap: US recession fears forgotten; RBNZ’s surprise rate cut; more iron ore trouble

Emerald & Azure score Digger & Dealer awards

Victory Metals dips -8% even as company set to grow heavy REE resource at North Stanmore

Bitcoin: Current State of Play & Where to Next | Swyftx

Wellnex sees first special access scheme prescriptions for new Wellness Life brand

Court of Appeal upholds environmental group's challenge to Silver Mines Ltd's Bowden project

Argent begins search for VMS mineralisation at Kempfield Cu-Pb-Zn-Au-Ag play in NSW

EQ Resources transitions historic Mt Carbine tungsten mine to owner-operator system

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News