This must be in the ballpark as management haven't guided anything.
But lets take 10% of that for a bit of safety with this analysis.
so FY14 EPS = 20 cents
At the board meeting that decides the dividend...
CFO says, we had a accounting profit of 20 cents a share. If we pay out 60%, that is 12 cents dividend for the fill year. So 6 cents for this half year. Our bankers just extended our debt maturity and maintained our very low interest rate. Our gearing is close to the low end of our target range at 32%.
I recommend a 2H14 dividend of 6 cents.
The writer implies no investment recommendation. This report contains material speculative in nature. Investors should seek professional investment advice. The writer owns shares in Arrium.
ARI Price at posting:
77.0¢ Sentiment: Hold Disclosure: Held
