Another solid year from Saferoads. Yes, sales were down a bit...

Another solid year from Saferoads. Yes, sales were down a bit and net profit was zero, but sales (and hence profits) can be lumpy in their area of business. That is, they're subject to the vagaries of government infrastructure spending.

But there's plenty to be encouraged about. Margins are strong and expanding, and international sales continue to grow, albeit off a smallish base. They're clearly establishing footholds in their target offshore markets, the US and NZ.

Further, as I've come to expect from SRH, they're not standing still, eg. the introduction of online ordering, an expanded rental offering and a clear focus on building relationships with customers.

In regard to the latter, it's good to see Darren getting directly involved. SRH has some world-leading products eg. their free-standing safety barrier. The time and effort spent promoting the features and benefits of their innovative products should pay dividends (literally!) down the track.

SRH seems cheap to me at current prices - not least given the quality of its board/management, its world-class products and growth potential.