Good points all. Everyone has there own way of analysing financials. I referred to operating cash, as rightly pointed out, which excludes non-cash items (such as the $14.4m gain on derivatives). I also exclude fair value adjustments on property, as this is non-cash (albeit, there is an impact on NTA). My reasoning is that the prior half there was a loss on derivatives of $117m, which I also would exclude from my view of operating earnings in that period.
Typically I like to see distributions paid from operating earnings, as typically operating earnings are sustainable, not lumpy or one-off in nature. Sustainable earnings are what drive sustainable ability to pay distributions.
These guys keep occupancy up, pay debt down, without selling assets, then they will be a keep, and the gap to NTA from current sp will reduce. All IMO
AJA Price at posting:
$3.60 Sentiment: LT Buy Disclosure: Held
