General Discussion Topics, page-134294

Depends YK. Happy Clappers drinking coolaid usually end up in the "Peoples Temple" - not a happy ending.

This very forum has had at least 1 poster suggesting it's "ludicrous" to have a Mkt Cap below (net) Asset Value - there's some skepticism for you.

Well Net Asset Value (Book) is ~$884M ... and current Mkt Cap is ~$465M ... BOOM - just goes to show the depth of misunderstanding (or NFI if I use the posters terminology) that gets bandied about.

So wait for the HY financials to come out ....
Current Assets ($315M as at 30 June 2023) will have gone down for the HY report (31 Dec 023)
- no special insight there ... spent lots of capital INVESTING back into the business of NAL and exploration for Moblan.

Non-Current Assets (predominantly PPM which was $682M at 30 June 2023) should go up as a result of that investment ... BUT and its a big BUT (encourage reading page 79 of AR)

"At the end of each reporting period, the Group assesses whether there is any indication that an asset may be impaired. The assessment willinclude consideration of external and internal sources of information. If such an indication exists, the recoverable amount of the asset, being thehigher of the asset’s fair value less costs to sell and value in use, is compared to the asset’s carrying value"

"The determination of useful lives, residual values and depreciation methods is reviewed at each reporting period and involves estimates andassumptions. Any changes to useful lives or any other estimates or assumptions may impact prospective depreciation rates and asset carryingvalues."

So yeah, one must always be skeptical. And why did I say that ... remember when SYA acquired NAL in August 2021 it took $120M+ "gain" on the asset acquisition in the FY 2022 as described below.



Food for thought ... or not.