More correctly I should not deduct sustaining capital (or exploration) to get accounting profits of $US 48 million less tax at 30% for NPAT of $US33.6 million or $A 47 million. PE is still 3. Free cash flow might be more given sustaining capital is unlikely to exceed depreciation. They therefore have a lot of cash flow available for exploration, takeovers, restarting Casposo and dividends. Any profit from Rawhide would be extra. Of course this is a theoretical calculation over the four quarters from mid 2020, when the financial year is actually calendar, but it gives an idea of the potential.
The quarterly could do a lot more to inform shareholders about whether the problems at Rawhide are fixed, how much they intend to spend on exploration and what is planned about restarting Casposo. Hopefully the new management will become a little more informative with time.
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