Soon to become DDH1 shareholder (currently Swick’s holder).Very positive info about Q1FY22 in AGM presentation above. Utilisation 86% // 77% = +11%.. Avge rig count : 99/ 93 in 2021 = + 6.5%, Avge annual revenue/ rig : $ 3.6M// 3.1M = + 16%, Meters drilled up 7% in Q1 FY22. Was puzzled by silence on DDH1 thread but, (just like IMD) retailers only represent 3% of holders.!Likely due to its recent listing DDH1 has not been spotted yet. But Its track record speaks for itself: For FY 21, Record revenue $ 295M (80% of revenue from recurring clients), Ebitda $ 75M and 25.3% Ebitda margin, Cash generation $ 69M. First results from Q1FY22 show steady growth on all metrics is continuing and the inclusion of Swick by early next year will further boost the growth. For some perpective, quick comparison with IMD (also in Mining Service sector albeit different scope of acitvity) for full FY 2021: D DDH1 IMD Revenue: $295M $265M 5 y Cagr 22% 13% Ebitda $75M $75M 5 y Cagr 19% 23.5% Ebitda margin 25.5% 28% Net Cash $9.5M $48M ROIC 33% 15.5%( ROCE) Market Cap $400M $1.13B I see DDH1 valuation at $1.8 as a first step (before going above $2) once investors spots this quiet achiever. I believe at the latest the market will wake up once DDH1 announces the first quartely results with Swick’s contribution.
DDH Price at posting:
$1.19 Sentiment: Buy Disclosure: Not Held
