WLD 2020FY PROFIT, page-3

Thanks Andy,
Your question, "Now the market capital for WLD only 28M and this company have 30M-35M cash on hand, is overvalue or undervalue????"

has two concepts, value and profit. Both suggest positives for the sp.

For value, cash on hand is substantial and must be utilised into performing assets or returned to sh. The idea would go something like this, another entity would propose buying the company for more than mc but less than cash on hand, say $29m. This gives a profit for the entity if successfully sold. If sh see this then they might reject the offer and expect share price gains at least matching mc with cash.

With profit, on on-going concern basis, sh may see the expectation of a dividend and thus add this to returns and so value the shares higher

Thanks for your efforts.

Q what tonnage is the ocean shearer? Do you know which in the fleet returns to the most profit? Would we keep using the size of the drover for example?