DSB - Delta SBD

[System]

Delta SBD Limited (DSB) is one of the largest contract companies servicing the Australian underground coal mining industry.

http://www.deltasbd.com.au

 

[VSntchr]

Any opinions on this one.

Hit a high of over $1.00 and is now back down to around 73c. Suprisingly it also pays a divvy..5.1c for the last two dividends combined, which if repeated in the coming year would be a very nice yield...

From what I understand the underground mining is alot more risky and a stuff up could really affect the earnings of companies involved...

Might have a look through the figures tonight and see how it all stacks up, but would be good if anyone else has an opinion on the operations and industry etc.

 

[skc]

Any opinions on this one.

Hit a high of over $1.00 and is now back down to around 73c. Suprisingly it also pays a divvy..5.1c for the last two dividends combined, which if repeated in the coming year would be a very nice yield...

From what I understand the underground mining is alot more risky and a stuff up could really affect the earnings of companies involved...

Might have a look through the figures tonight and see how it all stacks up, but would be good if anyone else has an opinion on the operations and industry etc.

Bought and sold this a couple of times. It is a decent company is terms of P&L but the balance sheet is slightly weak with $22m net debt and ~$10m debt coming up due / refinance. Their operating cashflow was OK (+$4m at half year) but they took debt (hire purchase) on to buy up plenty of equipment (~$16m) in the first 6 months.
A major key is their workbook which is presented quite well in their recent company presentation.

It's illiquid and it went up to $1.09 shortly after someone mentioned it on Roger Montgomery's blog. MYE is in the same space and the most directly comparable peer.