excellent result, page-7

I agree that 20 times is a high multiple, and not one that I would willingly pay. However turn the number over and it is a five percent return. It is a concern that they are diversifying internationally and into education.

However - if these diversifications do not produce a high return on shareholders funds, SEK can go back into its shell, start buying back their own shares, or pay big divs, and still produce the growth in SP (with a few minor write-offs). I don't see why they wold go totally underwater on any of these investments. Anyway - so far so good with the diversification.

What is very interesting is how this recession is crushing their competition's profit margins.

The main risk I see is that a competitor starts to offer a good on-line service free of charge. However I think the demand for the service is driven by the jobseekers expectations, and is paid for by the advertisers. I think a free site will have trouble attracting the job-seekers with minimal investment or revenue.

So I'm in, but expecting volatility in the sp. Once market recovers - back to 20 times NPAT.