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Western Wind Energy Corp V.WND



TSXV:WND - Post by User

Comment by peter75on Oct 27, 2012 7:35pm
149 Views
Post# 20531624

RE: RE: RE: RE: RE: RE: RE: Yabucoa =+ $160 millio

RE: RE: RE: RE: RE: RE: RE: Yabucoa =+ $160 millio

I spent the better part of the afternoon reading there balance sheet alomg with hearing the last confrence call

63 million shares outstanding

Here are a few assuptions

windtar 120 mw added 10 million in sales= 3.2 million to the bottom line

total netincome minus - deficit previous quarter

Paid 6 million in intrest  for the quarter vs 1.7 million previous qr

cost of revenue on the 10million only cost one million

 gross margins are fantastic on new sites, Jeff mentioned on his confrence call that turbines prices have fallen big time

Purto Rico adding 30 mw using the assumtion of windstar but 75 percent smaller adds 8 million dollars to the bottom line annually 30 mw wind farm

Cash flow improved by 12 million dollars equals 48 million a year

Shareholders equity increased by 3 million for the q = 12 million peryear

Nuts and bolts is this, cash flow is king, pay down  debt now that excelerated cash flows kick in

Previous loans were high intrest ,now risk and reward are balanced and cash flow makes it easier to service debt hence better rates and terms from the lenders

net income for the q was 2.424 m mrq 4 cents per share

annualised to 9.68 million or 16 cents per share

DEBT SERVICING at over 6 million mrq will fall big time as ffo kick in perhaps reducing debt repayment costs by 20 percent

which is 1.2 million on the q and 4.8 million on the bottom line

Purto Rico not even factored

This company could easily be 10 cents  a  share in earnings (quarter) once finance costs and tax credits take effect

 a bigger player could add another 5 cents as tuck in with its  eyes closed

remove 1/2 of wages and salaries= 3.6 million per yr

remove 8 million a year in interest expense

Factor 70 million in tax loss going fwd

Factor govt credits

This stock  with the proper accounting metrics about to come in - cash flow generation shows another big easment on strees -and another 3 million to share holders equity for the quarter minus one time items

You can see this at  .75 cents in earnings a year from now and a 1.00 2 years out

I blend the two together  get 87 cents and multiply by five

Five x earnings is common practise in valuing sell price of companies

 

Grand total wnd will sell for 4.35 per share

That is my story until we see or hear somtthing other than the metrics I derived the info from

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