Ann: Half Year Accounts, page-5

Sorry but I don't get all the fuss. The debt position was known at the June 2016 year end. In fact it has improved a bit in these results.
The company may well do a CR but given its strong earnings that should only improve everyone's return as banks are not your friend and I can expect to see them take their slice ( or increasing their slice) for providing most of the funding...
The notional tax on profits is normal accounting treatment.
It was and still is unlikely that the company will be in a position to pay dividends for at least 4 reporting cycles as it repairs its balance sheet. That's assuming each delivers around $5 million profit.
This company has done the turnover vanity thing and really I don't see the lower turnover as an issue if they can be profitable on a lower turnover - maybe that's what has spooked the market but given the forward order book of over $200 million I did not see that as a problem.

"The Group prepares rolling 12 month cash flow forecasts. The 12 month cash flow forecast to 28 February 2018 indicates that the Group will require additional funding during the period."

That is the only negative and in fact would be expected if they increase turnover as the normal cycle would include cash out before cash in. So in fact I see this as a positive in that they are almost predicting an increase in business activity. If they were predicting a trading loss then I have no doubt the auditors would not have supported the preparation as a going concern. The emphasis of matter raised is just pointing out what the directors pointed out - breach of borrowing covenants and going concern ...

Personally I would welcome some cheap shares maybe a CR @ 10c Raising $8 million would do wonders for the balance sheet. The equity employed would double to around $16 million and the overdraft would decline to around $15 million. Much more manageable given that the deleveraging is happening in the hire purchase of plant and equipment at the rate of $10 million per annum whilst depreciation is only around $5.4 million. This company was - my opinion - very poorly managed and is now being managed better. That asset is growing in value to the business - not just on the financial side but survive 2 years and the repayments drop dramatically and the asset becomes real cash in.

As an illustration: The equity employed of shareholders nearly doubled since June 2016 so this has to have been a very good half year and in fact the result was a drop to the bottom. I don't know what the buyer was smoking pushing it up to 18 cents but given that it jumped to 15c in November based upon the change in guidance the move in February was unexplained unless it was people on the fringes hearing noise - then the reality of needing more funding and unwinding the position. Looks like they acquired around 1 million shares in the updraft over a few days and that almost exactly what disappeared in the downdraft thereafter.