Ann: 2019 Annual Report, page-5

Originally posted by Len

IVE Group (ASX:IGL) FY19 results & outlook 7 Nov 2019

Here's a video I found. I wish they would explain how they are going to reduce debt. It's the only thing stopping me from buying.

I thought the same thing myself.
but there is conviction in this strategy.
30mil invested into growth last year, this is to reduce to around 8-10mil + some small extras maybe 12mil tops.
if they reduce overheads, increase revenues thus bigger npat could be around 50mil+ possible to go very large, much more additional money to reduce debt.
i noticed a fair chunk of write downs and goodwill in the 2019 reporting period, there was mention of no further payable considerations moving forward.
although that aside I don’t get why some ppl get so fixated on debt being an issue. IMO debt is a wonderful thing, debt it growth! Who can buy a house and investments without it! My debt is 7 times my income, but I know in 30 odd years my wealth will be 100 times more than those who won’t access debt to drive growth!
There are numerous options to manage debt, renewal of terms, capital raising, cutting dividends, cutting costs, refinancing, pay it down, increase sales, drive up NPAT!
there’s 4 years to go on the current debt facility which is only around $150mil, the foundation seems solid for year on year growth. They’ll significantly reduce the debt, but to be fair, why really bother? In fact if profits are growing and debt is being responsibly managed, my thoughts are, access more debt an keep growing! I’m here cause I wanna make real returns. If debt is scary than why invest in stocks? 99% of high quality stocks have bonza amounts of debt. The only debt free investment I’m aware of are some nano cap stocks that rely on cap raising, terms deposits, bonds, precious metals and some others.