re: grovulent peo-takeover rumour The next quarter is likely to be cash flow negative - as it is seasonaly their worst quarter for collections.
First quarter collections were also low - where that is seasonally a good quarter for collections. I haven't been able to get an explanation for that.
It's unlikely that they won't make some profit in 06 as they have 1.8 mill in goodwill that will no longer be amortised. The question is whether they will improve their EBITA... Will the market be happy with a net profit where it is less than 1.8 million (which would be a reduction in EBITA)?
PEO
people telecom limited
