Result will show a big shift in momentum. Ute and Swagman have...

Result will show a big shift in momentum.

Ute and Swagman have been increasingly active on the Aus-Asia routes and they have been turning around in 1-2 days over the past 1-2 months. Live steer prices from Darwin and Townsville are now around $2.50-2.70 v. A$3.70-$4.00 in Indonesia and Vietnam. There is a grey channel from Vietnam into China where price is now A$5.00+. So trading margins are back to normal levels.

The larger Shearer and Drover have remained on the South America to Turkey route on charter (not trading). They are also more active of late. There's no visibility on how many days this half the ships have been chartered - it could be the entire time which would be very positive because income would be maximised and trading (cattle) inventory and debt would reduce further this half.

Corporate overheads are down this half.

Interest will be down this half because debt has been declining.

Once again, cash R&M will be well below accounting depreciation.

For this half - I'll punt an accounting profit and even better positive operating cashflow with very positive momentum for FY19.