Just in case you dont understand-SKI's income comes from...

Just in case you dont understand-

SKI's income comes from regulated cash flows since its a monopoly. One of the conditions is that they have a 60% gearing - also.. returns on their debt is guaranteed at 11% due to the RAB provisions.

Do some reading and you'll find out that cash flows are very sustainable.

underlying EPS is actually around 18cps - eventually once capex is complete (3-5years) - expect these to come to shareholders as dividends

around 18% yield on a defensive regulated utility is not bad eh