The underlying EBIT was higher in H2 than H1 so they don't necessarily need to sustain revenue to sustain profits. I think the market has already priced in a large reduction in profit as the ex-cash market cap is only $13m. Last year's underlying NPAT was $8m, so it's trading at a 1.6x multiple. If profit halved it would only be at a 3.2x multiple - not a stretch.
There's no debt now so that's a risk which has been removed from the business also.
RDG Price at posting:
4.1¢ Sentiment: Buy Disclosure: Held
