Ann: Profit Guidance-HIT.AX, page-23

A small coverage by  MARK TOBIN 20 days ago.

https://www.livewiremarkets.com/wires/32171

Nanocap Play Hitech Group Australia HIT:ASX A Tech play from a different angle

Hitech Group Australia HIT:ASX Mkt Cap $11.5mil, SP 37c, No Debt, Est. Cash of $3.5mil, Est ex cash FY16 P/E 5.7, FY16 EPS Growth circa 20%, doesn't pay a dividend but franking credits available. Hitech is a recruitment company providing contract and perm candidates for the ICT industry. They have a long list of both govt and corporate clients and have operated for 20+ years. Recruitment is a very cyclical industry but mgt are of the view that after two solid years the cycle has turned. The ICT sector of the economy is experiencing strong growth which should help Hitech as their customers recruit more employees. Mgt's missteps at putting excess cash to work in listed investments have masked the turnaround in the operating business. Mgt has stated their share trading days are not to be repeated. A $600k investment in a unnamed ASX200 listed company remains on the balance sheet, however the investment has been painfully marked down substantially already. Strong balance sheet, low P/E, no debt and operating in a vibrant sector of the economy it’s interesting.