STS released a short commentary on BRR. From what I can see the second half was affeceted by weather in NWS and QLD areas. This is an excuse that i heard BOL use before a collapse however perry seemed to say they are all operating smoothly now and 210 order book points to strong growth. It seems UK has been cut which also lowered 2008 second half but if you exclude UK was ahead. UK sale also provides some cash flow. meridean integration now centralised in south melbourne and should provide synergies going forward. All areas of business have record order books to complement the total record. Based on 210 mill lets say 200 mill is booked at 5% net profit margin it is 10 mill which would be 20cps earnings. The key is maintaining the profit margin which may be affected by oil and labor costs for all we know. Either way yield is strong and EPS should be up there once again.
STS Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
