Ann: Media Release - Half-Year Results 31 December 2023, page-6

One of the difficulty with this company : you have to correct a lot of published elements to have a real picture of the company :
- as mentioned above, we need to take only half of the EBITDA and cash flow when we want to compare it to the market cap (as they only own 51 % of KWB which represents 100 % of their earnings),
- same problem with the cash : they publish a net cash of 33.9 m$ for the group and 24.8 m$ for Joyce share.
However, the real cash for Joyce share is more around 19.6 m $, as KWB cash (18.5 m$) includes 10.2 m $ of customers deposits.

This level of (net) cash is really high compared to the market cap (98 m$).
It explains why the company has a buyback program until 18/9/24 (I don't think they have used it for some time).

Joyce has now a rather surprising profile :
- high dividend yield (8.3 %*), with a payout of 66 %,
- real potential of growth (due to KWB showroom opening potential).

Joyce has also a very high return on its investments.
It has a ROE of 24 % based on FY 23 results (looking at results and equity, excluding minority interests).
But it largely under-estimates the real return of their business as the company has a very high level of cash (25 m$ of net cash for the Joyce share vs 33 m$ of equity excluding minority interests at 30/6/23).
The best way to look at the return on investment for this company is probably to look at KWB consolidated group (p.92 of Joyce annual report).
In FY 23, KWB had a net profit of 17.2 m$ for net assets of 12 m$ between 30/6/22 and 30/6/23.
So the real return on investments for KWB was more than 100 %.

* taking a cautious estimate of a flat final dividend after + 38 % for the interim dividend.