Ann: Quarterly Activities/Appendix 4C Cash Flow Report, page-3

It’s not all doom and gloom. I recognise what I’m about to say is an optimistic view of likely events, and that the bank could pull the plug tomorrow and we are gone. But…consider this:

a) I don’t think the bank WILL call it in. They consistently give the impression of wanting to give this local business every chance to right the ship.

b) we’ve heard it before, but if a few US sales DO eventuate as implied, that is high margin stuff and will make a real difference to the bottom line.

c) the core, future business which management has been clearly staking its chips on, Road Safety Rentals, in now bedded in in three states and is growing.

d) it’s now a market cap 2 million dollar company with revenue of 13 million annually. It should be possible to transform 13 million in revenue into 1 million of consistent annual profit, especially if US sales start contributing meaningfully. If that profit eventuates,
the current market cap is clearly too low…about five times too low.

But yes, we gotta get through the next year and survive. But still, maybe after that..well, let’s wait and see!