I have off loaded 300,000 today - this is a disgraceful result.
Just follow the cash and you will see why
At December 24 (1HFY25) the company had $12m in cash and $31.1m in stock and no debt. Now they have just $8m in cash $27.3m in stock and $5m in debt. Where has this $13m gone????? Hopefully it was to pay down creditors but that's little comfort.
Sales for 2H were $65.2m v 1H of $69.5m - fair enough this might be a usual half yearly thing but certainly their margin dropped in 2H.
If it was 59.5% in 1H and 58.9% for the overall FY25, then 2H dropped quite a bit.
But the big disappointment is their miss on the underlying EBITDA. At just $6m to $6.5m its a long way for their outlook of $8.0m to $12m
Bottom line: another statutory loss for 2H to accompany the statutory loss in 1h of $5.6m
Sorry I am not going to hang around to see the execution of the CEO and the Board and frankly this is what is required otherwise we will see another Mosaic. I still believe in the business model and think there is a large market there, but its not possible with this management team.
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