This company is in construction and services. I believe their ratio is 50/50... Construction is not all that profitable in the Melbourne market, although services can be if managed well. This company has never turned over more than 45M I would guess...in comparison a company that turns over 400m (STOWE) would have 2000 employees nationwide. Nuvo Group would be lucky to have 150 employees… I would guess further that maximum gross profit would be around 10% with consideration that some projects make losses... they don’t seem to hold capital nor do they have many assets. The business is only based in Melbourne also. This is a boutique operation in a small but competitive market place and all of a sudden they are becoming uncompetitive. Having the spotless beast on its back dictating operations, I would assume, would be more of a disadvantage in the market it competes in.
SPO Price at posting:
$1.12 Sentiment: None Disclosure: Not Held
