GAA released its 30 June end of year report this morning and the market has responded positively, pushing the share price up 10 cents or 25% to 50c.
The report has 4 highlights –
1. Net sales of $54.6 million
2. NPAT of $4.6 million
3. Forecast growth in NPAT 4 2007-2008 of 25%.
4. One off non cash write down of the Agreement with Genepharm Asia Pacific Enterprises P/L , which it would seem was costing the company about $2.4 million per annum and was to be amortised over 10 years, and which was reducing EBITDA annually by $2.4 million.
The Report suggests that the company is moving away from its ties with Genepharm Europe, is now able to make a profit, has written off an intangible asset which was encumbering its ability to post a profit, and is positive about sales growth for the 2007-2008 year.
If the company is able to produce NPAT for 2007-2008 in accordance with stated guidance in the Report that would translate to NPAT of $5.75 million or 4.1 cents per share based on issued capital of 140 million FPO shares.
It would be logical to expect payment of a dividend for the 2007-2008 financial year based on those figures.
GAA
genepharm australasia limited