OK, so they finally managed to produce their results. :)Having a...

OK, so they finally managed to produce their results. :)

Having a quick gander, GP is around 36% of revenue, only 3 points lower than iinet's (39%). That's pretty impressive considering they don't really have their own network (their DSLAMs only cover a few percent of their customer base).

They are claiming that revenue is growing, although that's not able to be verified from the numbers published, since there is no datum point for comparison. Assuming it's true, that's impressive too.

Interesting that they have written down the MSAN network (the DSLAMs) to nil. See Note 11. Maybe they would have been better to sell it. Perhaps that's the plan now. Unfortunately the write-down wiped out the profit for the half. Strange decision to write it down to nil if they plan on selling it. Stranger decision if they plan on keeping something they believe has no carrying value. Bloody strange all round when put in context - they could have announced a tidy profit if they hadn't taken this inexplicable decision.

What's not impressive is the staff costs line, which is three times what it was in the previous corresponding half, on only double the revenue. $6M is 21% of revenue! It was under 12% under previous management. Guess: This line includes their marketing costs, which would explain the revenue growth they claim to be getting.

All in all, an intriguing set of numbers, somewhat promising, but unless the company decides to put some kind of presentation out we don't have much data upon which to assess the situation.