@mal85 - depends on the size of the tax assets they're...

@mal85 - depends on the size of the tax assets they're realizing. I'm no expert here and need to brush up a little on the accounting, but my understanding is that they can recognise a deferred tax asset if there is a reasonable expectation of using those tax assets in years to come.

My $12m estimate is made up of operating profit of about $6m (3.5m to date, plus $2.5m next qtr), and another $6m in realised tax assets (for next financial year/s).
$6m in operating profit will (in this scenario) offset the ~$1.7m in deferred tax assets currently on the balance sheet and a little more. Given growth in the company and run-rate, justifying a $6m deferred tax asset is not hard at all...

Perhaps I'm mis-understanding the rules around recognition of deferred tax assets, in which case I'd adjust my estimate accordingly.