The concern here is that the dividend is unsustainable. This is...

The concern here is that the dividend is unsustainable. This is FY24 full year back of the envelope but so these number should be checked but...

Lets say the co brings in circa $11.7 million in lease income from the three properties assuming they're more or less fully occupied.

I've got $3.5 million in management fees and direct property expenses.

That gives EBIT of $8.2 million

$4.1 million in interest expense annually.

That makes pre-tax profit of $4.1 million and lets say $2.9 million in after tax profit.

With 144 million shares on issue that makes earnings of 2 cents per share.

To maintain a 6 cent annual distribution they are going to need to dip into that debt facility.

Guess on the flipside they could get taken out at something nearer to NTA...