Had a good look at the results. The important part to me is the...

Had a good look at the results. The important part to me is the cashflow statement. It shows they spent $23M opening/refurbishing stores. Which left $15M for discretionary distribution (dividends/paying off debt). Looks like you can add in $3M for the fraudulent expense but that would be negated by extra tax payable in a normal year. So that gives them approx. 7.9 cps of discretionary income after opening new stores.

So,

1) Why no dividend? Is it to increase shareholders equity so the banks are happier? Is it because they earn 2/3rds of income in the next 6 months and want to see the result of that first? Is it to put pressure on Naah Investments?

2) Wish they'd stop opening stores or at least open fewer stores. In the last three years they have gone from 714 to 843 stores. It seems this has been largely profitless growth consuming a lot of resources.

3) Heartening to see like for like sales growth up significantly for the second half. Hope it carries through to this half. If it does, profit should be significantly higher.

And lastly, still seems cheap.