Morning Pokerface Using the guidance EBITDA announcements would...

Morning Pokerface

Using the guidance EBITDA announcements would suggest all is well. However, given that their suspension of DCB activities and associated costs was only announced Feb and confirmed April, IMO it is unwise to use the EBITDA number for H2 2017 to provide comfort for the likely run rate entering FY 2018. I for one will be interrogating their financials to get a better handle on the cost of the transition, any fallout and most importantly, what's left and how profitable this will be.

All sins get buried below the EBITDA line (particularly for Companies needing major transformations) and hence my fixation with NPAT and EPS ( the catch-all metric).

I believe write downs will be material.

We should get the numbers next week.

Rokewa