Sunday, December 22, 2013 12:47:56 PM
Yes.
$1.8B for the partner.
$1.3B for us.
Seems like a fair deal.
We also get $500M in assets (25%). But that is the same as the profits from consultancy.
So now we can look at what that means for the next few years.
If you do it pro rata then revenue from consultancy = $200M per year.
Profit was 25% or $50M per year. I think I already used that for my 2014 estimate
Prawns sales will kick in in a few years.
So the profits will look like this
Year 1 50M
Year 2 50M
Year 3 200M
Year 4 350M
Year 5 500M
Year 6 650M
Year 7 800M
Year 8 950M
Year 9 1,100M
Year 10 1,250M or $1.3B
Now you can calculate the long term EPS growth rate. From this farm alone
$1.8B for the partner.
$1.3B for us.
Seems like a fair deal.
We also get $500M in assets (25%). But that is the same as the profits from consultancy.
So now we can look at what that means for the next few years.
If you do it pro rata then revenue from consultancy = $200M per year.
Profit was 25% or $50M per year. I think I already used that for my 2014 estimate
Prawns sales will kick in in a few years.
So the profits will look like this
Year 1 50M
Year 2 50M
Year 3 200M
Year 4 350M
Year 5 500M
Year 6 650M
Year 7 800M
Year 8 950M
Year 9 1,100M
Year 10 1,250M or $1.3B
Now you can calculate the long term EPS growth rate. From this farm alone
Join the InvestorsHub Community
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
