So Decmil's gross margin has shrunk by 43%, from 11.4% to 6.4%. There's a red flag if there ever was one. There's no point in building a bigger order book at the expense of profitability. This strategy of bidding low to win work was never going to work and has led many companies down a path of no return.
The other red flag is on the cash front - $50M in cash + current receivables but $58M in current payables. So which suppliers are they holding off paying? I know they have lending facilities but they should not be needing to dip into them to cover operating costs.
So Decmil's gross margin has shrunk by 43%, from 11.4% to 6.4%....
-
- There are more pages in this discussion • 10 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Add DCG (ASX) to my watchlist
 (20min delay)
|
|||||
|
Last
29.5¢ |
Change
0.005(1.72%) |
Mkt cap ! $45.89M | |||
| Open | High | Low | Value | Volume |
| 29.0¢ | 29.5¢ | 29.0¢ | $300.7K | 1.033M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 17 | 3365316 | 29.0¢ |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| 29.5¢ | 918187 | 13 |
View Market Depth
| Last trade - 16.10pm 05/07/2024 (20 minute delay) ? |
| DCG (ASX) Chart |