I was thinking the opposite, given the bad news that is known so far, it should be easy to see the report in a positive light. We have seen a revenue and underlying EBITDA that only down 3% in 2nd half.
We have seen a bad statutory NPAT, down about 70% ($71m H1, $22m H2). The report will give an underlying NPAT and explain the significant items that bought it down.
We know one is the $25m writedown of Teva, which would bring underlying for H2 upto 47m, that leaves H2 still down $24m (or 33%), given that price erosion was claimed to be running at a 'high single digits' annually, and margins are around 50%, that only explains about 10% of the H2 drop (if the margin is 50% the effect of a 10% drop in prices will be doubled, but then halved because its only over 6 months)
So at the moment (by my reasoning) there is about a 23% drop in NPAT that hasn't been explained, the market is assuming the worst, because there is a lot of bad news around, but it might not be the case.
If the market is expecting a bad report, its easy to outdo expectations.
MYX Price at posting:
72.5¢ Sentiment: Buy Disclosure: Held
