TSN 0.00% 1.0¢ the sustainable nutrition group ltd

bloomberg data, page-6

  1. 1,057 Posts.
    In Feb earnings were at 1.4m per week
    Three months later they are at 1.61m per week
    Thats a 13% increase in dollar value over three months
    Or an annual rate of 52% (which we wont maintain obviously)
    Good result.

    Earnings check....

    Where production costs are at 35% of revenue:
    - 1.61m in weekly revenue * 52 weeks * 0.65 to account for costs * 0.5 for ACLs share of profits = 27.2m EBIT

    Where production costs are at 30% of revenue (we know there have been improvements but are unsure to what extent):
    - 1.61m in weekly revenue * 52 weeks * 0.7 to account for costs * 0.5 for ACLs share of profits = 29.3m EBIT

    So the current earnings rate is equal to 83% of the target (target is 100m pa according to DRL). Thats good in my view.

 
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