Forum Archive Index - February 2001

["G Stolwyk" <stolwyk@wave.co.nz>]

 

 

Rick,

 

Thanks. The P/E(ev) will come down further if the $12.8 mill. referred to in my previous post, is applied.

 

Also, accounts receivable jumped from $21 mill. to $ 40 mill.

Yes, the business has grown but I like to know if this is normal data and how much has turned into cash or was used in debt reduction in the meantime.

 

We already know that the first 3 months of trading were not that great and that depreciation costs are heavy.

 

What we need to know is the frequency- and time use of these vehicles. The higher these figures the higher the cash flows ! They need cash to replace / increase the number of vehicles!

 

THL won't be keen to disclose this as competitors could use it.

I think that there are still some abnormals to come before June 30 as well.

 

Anyway, it already is in the price, I think.

I have always found that heavy acquisitions take time to settle down.

 

As you know, they lately appointed some key staff in Australia and they will run the operation as an Aussie managed operation as M. Hill does. 

And that is important over there!

 

Therefore, I have thought for some time now that THL's real innings will start on July 1. And we then need plenty of snow over time!

 

In the meantime, we shall just have to " cop it " and wait for their announcement!

 

Suggest, you also read my next post.

 

Gerry