I'll be honest - haven't really done the work for an update (and this is a stock where you need to do the work), but spent some time looking this morning. Looks like the market didn't like Q1 results. Free cash flow of -$77 million, cash declining $62M in the quarter is a pretty big deal on paper - latter figure is ~30% of their market c…
I'll be honest - haven't really done the work for an update (and this is a stock where you need to do the work), but spent some time looking this morning. Looks like the market didn't like Q1 results. Free cash flow of -$77 million, cash declining $62M in the quarter is a pretty big deal on paper - latter figure is ~30% of their market cap before the report.
Infrastructure biz had terrible quarter; management says it's "timing", but anyone who's done this for six months has heard that song before. Sometimes it's true, sometimes management is missing a pretty significant downturn.
But some working capital swings in FCF which should reverse. Don't really see anything, then, that changes the story. Think you have to *really* believe in either the infrastructure biz or the medical opportunity, but the good thing here seems to be that only one of them needs to work out. Given the cycle and the nature of medical product development, that's obviously not guaranteed though.
Hey Joe, well if you'd asked me during the school holidays a few decades ago there's a decent chance I would have replied "The Geyserland Hotel". My parents LOVED that place and we went back year after year. It's very sad to read that it's been permanently closed. Message me directly on Seeking Alpha if you'd like to connect; maybe a chat over WhatsApp (I'll have to brush up on my kiwi accent)?
I'll be honest - haven't really done the work for an update (and this is a stock where you need to do the work), but spent some time looking this morning. Looks like the market didn't like Q1 results. Free cash flow of -$77 million, cash declining $62M in the quarter is a pretty big deal on paper - latter figure is ~30% of their market cap before the report.
Infrastructure biz had terrible quarter; management says it's "timing", but anyone who's done this for six months has heard that song before. Sometimes it's true, sometimes management is missing a pretty significant downturn.
But some working capital swings in FCF which should reverse. Don't really see anything, then, that changes the story. Think you have to *really* believe in either the infrastructure biz or the medical opportunity, but the good thing here seems to be that only one of them needs to work out. Given the cycle and the nature of medical product development, that's obviously not guaranteed though.
ok thanks!
PS: your business partner is in NZ or from NZ?
Hey Mike. I'm in Rotorua, where abouts are you?
Hey Joe, well if you'd asked me during the school holidays a few decades ago there's a decent chance I would have replied "The Geyserland Hotel". My parents LOVED that place and we went back year after year. It's very sad to read that it's been permanently closed. Message me directly on Seeking Alpha if you'd like to connect; maybe a chat over WhatsApp (I'll have to brush up on my kiwi accent)?