I have been watching API for a year now, not a holder personally but family super fund is.
I was surprised by the top line revenue numbers but as some pointed out, the March 50% boost was excluded.
Anyone questioning whether this is a good buy, needs to look at the cash flow statement.. Specifically, the cash flows from operations. Cash inflows were +$129m vs cash outflows of $63m in 2019. Thats a $199m turnaround in cashflows in 12 months.
Cash receipts from Customers increased by $183m in the 12 months to 29 February and cash payments to suppliers/employees decreased $9m for the year.
Net cash flows for the year (post repayment of borrowings, sale of SIG shares etc) also increased.
Cash actually increased by $34m for the year and the cash balance vs 2019 increased by $50m. This locks in the possibility of dividends resuming post COVID-19 IMO.
If in doubt, read the cash flow statement. As Matthew Kidman says, the CFS is the truth serum for the P&L.
API Price at posting:
$1.04 Sentiment: Buy Disclosure: Not Held
