1H financials due today, page-3

My concern is the balance sheet in general.

Per the FY2018 Annual Report - you have the following facts:

Total Assets: 349,748,277
> Major item: Intangibles: 190,130,966

Total Liabilities: 179,605,965
> Major item: Debt: 94,073,848

The fact is - net assets are around 170m, and that's less than Intangibles. So, keeping it simple, excluding Intangibles the net assets are negative.

Perhaps it's just me, but I get concerned about debt levels with this fact pattern. 

The dividend point is linked - why would you pay a dividend (as a 160m Market Cap company) with this fact pattern rather than repaying some principle? Happy for you to take an alternative view. If you have it, please share.

I will keep holding this because I believe in the P/L - just think it needs better management of it's balance sheet.