The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
Can't see that too well.. ive taken q3 from h1 to get q4 view
Key points
We made a loss on chrome, despite 13pc increase in sales
Pgm margin down 7.1pc on q3 despite a 24pc increase in basket price from 1 538 to 1906
Q3 V Q4
H1 Q3 Q4 Q3 V Q4 %
Combined
Sales 48.2 23.142 25.058 1.916 8%
Earnings 28.4 15.17 13.23 -1.94 -13%
Margin 58.9% 65.6% 52.8% -12.8% -19%
PGM
Sales 36.6 17.7 18.9 1.2 7%
Earnings 27.4 13.9 13.5 -0.4 -3%
Margin 74.9% 78.5% 71.4% -7.1% -9%
Chrome
Sales 11.6 5.442 6.158 0.716 13%
Earnings 1 1.27 -0.27 -1.54 -121%
Margin 8.6% 23.3% -4.4% -27.7% -119%
Oz 28,187 15,044 13,143 -1,901 -13%
Basket Price 1,710.0 1,538.3 1,906.6 368.3 24%
Hi Jonah, i agree paying a dividend is not appropriate until funding is complete.. based on my calculations, underlying profit before tax excluding Fv adj and gain on acquisiton was 13.6m or 24.8% of sales for FY 20. If i annualise Q3 sales at FY20 adjusted margins would take net profit for 2021 at around 23.4m.. this is before copper.. given accumulated losses were 33m at y.e, at 2021 we could be in a position of distributable reserves.. from a cash point of view, we would not even consider a divi until 2022..
Agreed, seems crazy... plus my figures are conservative, given Q4 has seen uplifts in pgm, copper and chrome prices.. key thing to remember, is JLP will have distributable reserves at the y.e for the first time, so can technically pay a dividend
The key for JLP is that they are considered market leaders... minning companies are seeking guidance directly from them.. JLP have taken a tiny bite from a mutant sized cake.. other businesses will no doubt enter the market.. plenty to go around..
JLP due to its track record will secure more elephant sized deals.. others will need to demonstrate on a small scale before they go big
Also JLP have secured production for over 25yrs already in zambian copper..
The investment objective of the Slater Growth Fund is to seek long term capital growth, principally through investment in UK Companies. The Fund will focus in particular on shares which the Manager believes are currently under-valued and that have the potential of a significant re-rating.
Q1 2021 operational earnings of £15m, assume £11m PBT.. RNS 13th confrims the £15m
Extrapolate the above we have annualised earnings of £44m on south african operations alone... earnings per share of 2p, and therefore at a multiple of 10 20p.. i believe industry average multiple is around 13.. so a little discount
Zambian earnings at minimum expected to be inline with south Africa.. therefore a further £44m per annum and jointly £88m earnings per share of 4p, multiple of 10, = share price of 40p
No value for tjate.. which we have the mining right for and has NPV of more than 2billion. If platinum prices continue to rise, we could sell this licence or farm out
Also we could easily add futher projects as the JLP brand grows.. anyone think im wrong..