ready for take off, page-11

Petepan, thanks for your summary.
Here is mine albeit not in depth but very relevant in my opinion.
The company has not changed accounting policies from previous years and is still taking up "Accrued revenue" which in my opinion is inflating profit figures. A paltry $500,000 NPAT for the first 6 months of FY14.
It's EPS IS 0.0018 (not 18 cents and not 1.8 cents - 0.18 of a cent)
Whilst accrued revenue has fallen by about 15% from the last reporting period it is close to two times the value of debtors. I would imagine that I don't have to explain what accrued revenue is?
The NTA of the company includes intangibles/goodwill of over $120 million! Please tell me what goodwill this company deserves given its low profit margins. When they did the clean up last year they should have written off much more but that's my opinion.
Debtors 31 Dec $47 million and creditors $48.5 million. You think that is great? Without any accrued revenue or a reduced accrued revenue the company would have made a loss.
I cannot see this company paying a dividend anytime soon. If they did it would in my opinion be poor financial management because in essence they would be paying back shareholders from borrowings and capital raising/rights issue proceeds.
So we can safely assume that NPAT for FY14 will come in at around $7 million assuming they hit guidance of $20m EBITDA. There is as you know a huge bias in profit towards second half FY14.
So looking at EPS for FY14 based on my NPAT calculations we get around 1.8 cents per share.
In case you are questioning my calculations
$7m NPAT/386m shares.
That's a current PE ratio of 12.42 times. This PE ratio is the type seen for growth companies and in a bull market.
In my opinion SSM is definitely not a growth company and we are definitely not in a traditional bull market. The industrial market today is really company specific.
All the above is my opinion based on what I know. By all means tear it to shreds if you can.
If you need me to justify my $7m NPAT calculations don't hesitate to yell out.
As for Thorney and Rubino I say good luck to them. I think they're going need plenty. CHEERS!