Ann: New Contracts, page-3

"Other thing I like there : the company is showing more a growth profile (at least for revenues and work in hand) since H2 24."

Trouble is, these sorts of technical service providers have lumpy Revenues and they don't grow to the sky. But sometimes the market bakes in expectations of unusually long duration earnings cycles, which leaves little margin for error.

I think MYG is entering this zone of stronger-for-much, much-longer market sentiment; the stock's 20c jump over the past few days is clearly not just for the 5c special dividend; it would also have been in response to the $96m worth of new contracts that have been secured.

While this might sound like a big number for a company with a Market Cap of a similar amount, it must be remembered that this new work spans three years; so, while they come out of the starting blocks already running, there is still a significant degree of Revenue infill required - just to maintain the current level of Revenue and Earnings, let alone grow them beyond FY2025.

I don't believe we are at the top of the earnings cycle for MYG, but no one rings a bell at that point to let us know, so I start to worry when the market starts implicitly saying, "There is no more cycle; the cycle is dead."

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