Select Harvest Limited Executive Summary

Company analysis & Market research
Company Details
Select Harvests Limited ACN: 000 721 380
Chairman: Michael Iwaniw MD: Paul Chambers 360 Settlement Rd Thomastown, VIC 3074 Tel: [phone] Fax: [phone]

Executive Summary

Select Harvest Limited is an Australian company listed on the Australian Securities Exchange. Its main business operations are the producing, manufacturing, distributing and marketing of almond products. The company has over 11 000 acres of its own orchards (either owned or leased) and manages a further 34 000 acres. The share price has experienced severe fluctuations over the past, from a high
Cash Cycle | 229 | 220 | 179 | 156 | 175 | 266 | 144 | 128 | 101 | 89 | 133 | Funding Gap | NFG | NFG | NFG | NFG | NFG | NFG | NFG | NFG | NFG | NFG | NFG |

Select Harvest Ltd | - Working Capital | | Year | 2010 | 2011 | Days in year | 365 | 365 | | $000's | | Sales | 238,376 | 248,316 | COGS | 200651 | 220439 | A/c Receivable | 33,495 | 37,065 | Inventory | 34,152 | 37,618 | A/c Payable | 37,504 | 24,221 | | | | Days Inventory | 62 | 62 | Days A/c Recievable | 51 | 54 | Operating Cycle | 113 | 117 | Less: Days A/c Payble | 68 | 40 | Funding Gap | -45 | -77 | Cash Cycle | 45 | 77 | Funding Gap | NFG | NFG | GrainCorp - | Working Capital | | Year | 2010 | 2011 | Days in year | 365 | 365 | | $000's | | Sales/Revenue | 1,989,900 | 2,776,800 | COGS | 1,467,100 | 2,115,100 | A/c Receivable | 253,800 | 326,100 | Inventory | 348,100 | 526,600 | A/c Payable | 233,700 | 318,100 | | | | Days Inventory | 87 | 91 | Days A/c Recievable | 47 | 43 | Operating Cycle | 133 | 134 | Less: Days A/c Payble | 58 | 55 | Funding Gap | -75 | -79 | Cash Cycle | 75 | 79 | Funding Gap | NFG | NFG | Ruralco - | Working Capital | | Year | 2010 | 2011 | Days in year | 365 | 365
The estimate was finalised as r=5%, however the accuracy of this is compromised to some extent by volatility in Select Harvest.
Dividend growth is expected to decrease by a further 50% to $0.04 per share in 2013. This follows a decrease of 38.46% from 2011 to $0.08 per share in 2012. This estimated further reduction is due to the loss incurred in the latest financial year and the recovery time expected to overcome this. Post 2013, the expectation is that the company would be in a position to allow a higher dividend, increasing it to $0.06 per share, translating to a 33% growth in 2014.

Taking averages of dividends to form a flat line growth rate prediction:

2009: $0.2291
2010: $0.1909
2011: $0.14
2012: $0.10
2013: $0.04
2014: