hey
@bitbybit, your calculations are a bit by bit off. Of course your calculations were completely speculative. The 4 million dollar contract is actually 4.4 million as well as $400,000 contract with good health product, Astaxanthin oil contract $120,000. as well as the 2 smaller contracts one for $57,000 and the other for $68,000 (not on the 4C quarterly. and that's only for the past couple months. what other contracts could they land now that the European Union listing has been approved for export of marine products with NZS. As well as USA giving FDA approval for exports with NZS. Landing new contracts in the 4 million dollar mark will be difficult to land with out being able to travel to most countries as this is how most deals are made, with showing around facilities, running over the numbers and wining and dining clients. but once overseas business travel kicks off again, these contracts should start becoming more common.
One other thing is your expected net profit margin is only 15%, that would be in the extremely conservative side. I know my local seafood importers for my town have profit margins of 36% on most items, with the more luxurious seafood it is around 48%. I know this as i worked there in accounting when i was 22. of course this a seafood company with only the town for clients and is not the numbers applied to NZS. However i don't believe 15% would be there margins especially considering they are doing luxurious seafood items and not just your fish and prawns.
The company has already made $434,000 for the month of July (last month). That is with no new contracts for the month, just greater local and online sales and contracts beginning that were pre-signed in the quarter before hand. That is 65.76% of the entire last quarter in the first month of this quarter already. The growth is undeniable and as previously stated, once the business travel kicks off, this company will be releasing contracts every month at worse, due to the variety and quality of its products.
I know i haven't given much more details on the profit margins other than also speculation. But with my first hand experience in seafood, my opinion is that the profit margins will be greater than 15%. Averaging this stock price between 3.3c - 3.8c conservatively. 4c if a new contract in the 1 million dollar range comes out shortly.
heres some links for my facts
4c report -
https://www.asx.com.au/asxpdf/20200730/pdf/44kz416rkjd9vl.pdfbusiness travel -
https://www.sbs.com.au/news/how-long-will-australians-have-to-wait-to-travel-overseas-again
(20min delay)