I'm still really disappointed in the communications but great to see these audit issues look minor, noting the changes as:
Through finalising the audit, the below adjustments have been made;
Inventory – The audit identified an error of $282k, resulting in inventory decreasing and cost of good sold increasing
Depreciation – the audit identified an $765k error in the calculation of depreciation for certain drill rigs late in FY15
Tax – tax has been adjusted based on the above two transactions.
Overall, nice improvement in the Revenue and Net Profit results in a tough climate, debt levels still of concern but they do seem to be servicing it well
All they really need to do is ramp up the communication, if the market can maintain confidence that revenues are going the right way and the debt can be managed the share price will rise. To do that they need to provide regular updates.
Dazzler
HDX Price at posting:
15.0¢ Sentiment: Buy Disclosure: Held