sideways crawl......, page-7

The profit guidance in Feb mentioned $38mil EDBITDA (from previous target of $48mil)

Assuming they are on track, i have a EPS of 8.7cents, so at current prices we have a PE of 4.6 or thereabouts.

But on the side of caution assume 15% miss then EBITDA would be in the vicinity of $32.3mil, EPS of 7.5, PE of 5.2.

Anything greater than 15% would surely have a triggered another profit guidance.

Then you have QLD Infrastructure dispute of $14.6mil, which they are not paying until resolutions are made. Now this impacts cash flow.

Dec08 they stated negative cash flows of $15.0mil, so this QLD issue is ill timed. Also it is noted $13.2mil in retained earnings and reserves.

One senses things may be tight (capital raising?)hence why the selling has occurred, either for a genuine exit or in an attempt to flush out weak hands.

Since the drop to Feb low (23 cent low on 19th Feb)and then the rise over the next 7 weeks (60 cent high on 7th April)approx 94million shares were traded.

Since then we have drifted down to these levels on the back of approx 30million shares.

One would have expected more with tax loss selling.

Imo it's weak hands selling, bored hands selling, traders plying their trade.

Those who are cautious are best to wait for the full year result when it's released next month.