Interesting to look back over Petsec's profit record and to realise that its best year was 1996 when it recorded a profit of in excess of $21 million. The company recorded another $20 million profit in 1997 before things turned sour.
Instructive too I suppose to note that with a record half year profit of $16.3 million already this year Petsec only has to make $6 million profit in the second half to have its best year ever profit wise.
Back in 1996/97 on the strength of its then results the share price was as high as $7.00 and never lower than $5.00. Now of course with an even better performance looming its shares are 84 cents. Go figure.
In some ways Petsec is better placed to face the future than it was in 1996/7. It has no debt, oil and gas prices are now more than double what Petsec faced in those soon to be difficult years. And it has a more conservative, but potentially far more rewarding and focused exploration/development program which is likely to deliver the company even better profits in 2004.
PSA Price at posting:
0.0¢ Sentiment: None Disclosure: Held
