Assuming another year of 25% growth, which doesn't appear difficult given the increase capacity in Chicken processing, we should be able to achieve $48m in sales in 2019.
If we can also improve gross margin a couple of points with more scale and some efficiencies from the new chiller, this would give $14.4m in GP, then with a relatively static cost base, allowing for minor increases, EBIT could easily be $1m this time next year.
I think that is relatively conservative, I think the chiller could significantly improve the gross margin for the chicken products!
TFL Price at posting:
14.5¢ Sentiment: Buy Disclosure: Held
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