NWH 0.00% $3.82 nrw holdings limited

Bullish Sign? - Bounced off 200 EMA, page-3709

  1. 776 Posts.
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    Had another look at the half yearly. If we look at some important metrics (ebitda, cash, debt, gross income, dividend, business growth, diversification, sector health) NRW seems pretty well placed IMO.
    Of course net profit did not meet expectations and write downs for Altura, Co-vid and depreciaition did not help. You can't gloss over this and the impact of Co-vid caught me and seems like a few others unaware of the size of the impact.
    To maintain a 4 cent dividend at payout ratio of 60%, net profit for 6 months would need to be about $28 million? Hope my maths is right? So in the short term perhaps the dividend may not lift until 2022?
    They made note of the fact the Primero impacts were not included in the report. Will there be any adverse effect in the full year as a result of the purchase? Perhaps in the case of BGC , Nrw paid a low price but accumulated some baggage along the way. Hopefully Primero does not have any ghosts?
    Have any carryover Primero shareholders been spooked with the drop and finally sold out?
    Has the Co-Vid labour issues been addressed in WA? Blackrock indicated post the half year report they thought things (including margins) would improve second half.
    So, IMO investors are down on the sector generally, but in the case of NRW it seems to me uncertainty around the next 6 months is the issue. We may have to wait for the full year to get the picture. I'm not that optimistic as I was but certainly from 2022 things should look more rosy. So again, no need for investors to rush in. An update on some of these issues would not go astray, not just gross income but a little detail about labour, Primero , new contracts and margins.
    Harsh to concentrate on just the last 6 month report (acquisition of Golding and RCR were very nice) especially considering Co-vid impact so I'm not happy where we are today but tomorrow is another day and I see better time ahead if we wait 6-12 months. GLTA

 
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