Search Follow us

Rotala (ROL)

Business description

Robust's principal assets are the Lakuwahi gold and base metal project on Romang Island, Indonesia and its 87.3% interest in AIM-listed Tengri Resources, which holds the Andash, Talas and Bashkol gold/copper projects in the Kyrgyz Republic.

Routes for growth

Outlook | Industrial Support Services | 08/12/2010

Through the consolidation of smaller operators and growth of the business through new business wins, Rotala has created a local bus group that is now delivering profitable growth. With larger operators under pressure, both economically and from the Competition Commission, we believe Rotala is well placed to continue its growth trajectory. Following a period of restructuring the operating model, the cash generative nature of the business is becoming increasingly apparent. With the shares trading at a substantial discount to peers, we feel there is further upside potential.

Edison's research is freely available. We will never ask for your credit card details and you do not need to register. By downloading this research you are agreeing to our terms and conditions, which you can read in full here.

Stock data

Market cap.A$94.8m
Last closeA$0.480
High / Low (52 weeks)A$0.5 / A$0.5
Stock market listingAU
Forecast net cash (A$m)13.2
Forecast gearing ratio (%)N/A
SectorIndustrial Support Services

Price performance

Relative *(1.1)(1.2)(4.8)

* % Relative to local index