FROM MacBank this morning-BLY reports its FY09 result on 19...

FROM MacBank this morning-

BLY reports its FY09 result on 19 February. We expect net profit of US$7.7m, down 95% on the pcp, on the back of a 48% decline in revenue.
=>The key focus will be on the outlook for FY10. BLYs guidance for a 15% increase in revenue in 2010 assumes no material improvement in spending by the majors, which appears conservative given that we have heard that the majors are increasing their capex/exploration budgets by c20-30%. With revenue from the larger players now representing a greater portion of BLYs total revenue (majors 50-60%, intermediate producers 20-30%, juniors c15%), in our view there is potential upside to BLYs revenue guidance in 2010 (we forecast a 20% lift in revenue).
=>Outperform recommendation, $0.42 price target