This morning BWX Limited (ASX: BWX) reported its half-year results for the period ending December 31 2018. Below is a summary of the results with comparisons to the prior corresponding year.
- Net profit of $2.6m, down 52%
- Revenue of $68.1m, up 1%
- Underlying EBITDA of $7.1m
- Q2 underlying EBITDA of $9.4m
- No interim dividend declared, compared to 3.3 cents
- Forecast for full year underlying EBITDA between $27m-$29m
- Sukin sales revenue of $23.2m, compared to $36.4m
- Basic earnings per share of 2.1 cents, compared to 5.2 cents
- Adjusted earnings per share (backing out one off costs, tax impacts, etc) 3.2 cents
- Operating cash loss of $7.8 million
- Debt of $56.7 million, compared to $50.8 million 30 June 2018
- Cash on hand of $5.6 million
The BWX share price is up 11% in response to the news most likely because the company has reported a much stronger second quarter to fiscal year 2018 and very marginally downgraded its full year EBITDA guidance to come in between $27 million to $29 million.
The second fiscal quarter ending December 31 2018 produced "EBITDA" of $9.1 million compared to an EBITDA loss of $2.3 million for the first quarter of fiscal 2019 as management work through a number of issues around its US acquisitions, systems and technology improvements among other issues.
The company has a market value around $210.6 million at $1.80 per share and given the historical issues and financials I'm not a buyer of BWX shares.
