MND

MND appear to have a fairly material beat.

We’ve been long Mono as a varied way to play the strong energy thematic.

Woodside, Origin, Worley, Monadelphous and Aurizon completed our “multi-pronged” effort to play the energy bet, and it has largely worked. The idea was that WPL and ORG should trade largely in-line with the commodity price, and if aggressive capex expansion plans lowered the prospective returns to WPL and ORG then at the least WOR and MND should benefit from the additional spending.

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AZJ sat slightly adjacent to the idea, as a “cheap infrastructure” play.

MND has reported a great set of numbers today, and we are very happy holders.

Cashflows and profits up

And although this graph is to the prior half, the balance sheet remains in fantastic shape, with $153m of net cash.

Mgmt commentary on new work won, and pipeline of expenditure from the majors is bullish, and the valuation remains very compelling.

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