I like to see the source figures / calculations so that I can...

I like to see the source figures / calculations so that I can check they add up correctly. People sometimes make mistakes.

I have been looking at NMS again today and rereading the Intersuisse Investment Research note (17 Jan 2008, on NMS website) and spotted some parts which amused me. For example, calling 'NMS' 'NSM' (within Inverstment Rationale section above table). I think the writer could have overused the word strong "While EPS growth will be slowed by share issues and NMS needs to prove its integration expertise, it has made a very STRONG start in capturing a STRONG commercial advantage in a market for specialised services STRONGly in demand as the pace of ..."

For my calculations I am interested in the current Shareholders Equity figure. Shareholders equity at 30/06/07 was 56,600,000. After the latest share issues what is it now? Is it 56,600,00 + 60,895,000 (per 01/02/08 press release - 64.1 million shares at $0.95)? For these purposes ignore profits/losses so far in this financial year.

I am interested in this figure as I am looking at the level of Shareholders Equity as a proportion of Revenue.

Revenue growth is the thing I am interested in. Per NMS, revenue is expected to grow from 30/06/07 to 30/06/08 by 5 times ($16m x 5 = $80m). Then from $80m in FYE 30/06/08 to $130m in FYE 30/06/09. The profit on Revenue of $130m is predicted to be $23m (with circa 300m shares in issue).

My thinking is that there is work available for NMS but, for NMS to keep growing it will need to raise significant further levels of capital. I wonder if the success of NMS is linked to whether it will be able to raise cash in a year or two.