I shorted - they might be about to bust their FCC covenants IMO,...

I shorted - they might be about to bust their FCC covenants IMO, with $3.5m headroom, and their guidance might suggest that HY EBITDA might be down $2m on pcp (if NPAT is down $1m in H1 on pcp - not that I can imagine they can predict that). I'm not sure why they wrote "strong balance sheet position". That seems to be a dangerous statement to me, when they are potentially on the verge of needing to crap raise. Their Fixed Charge Cover (FCC) covenant is already set at a very low level, at about 1.2ish x, versus a typical 1.6x ish a la MYR, but while there is possibly a good reason for that, it might reduce the odds of negotiating something lower. Their FCC is of significant interest to landlords as well as bankers.

Their LFLs improved in q4 to my est of -1 from -4 in Q1, but their margins in h2 were terrible, as there were some clearances supporting that. Their inventories are about 6% lower than they were last year, and 16% lower than at the HY. However even with the clearances, net receipts for half 2 was -0.7, as compared to +3.4 in H2 16.