Civmec

Civmec: Saw a strong rally on Friday, which also gels well with an article in The Edge over the weekend, which highlights that the company shares continue to slump despite rising orders and stronger results. According to the grp, business remains robust and pipeline of works in the next 4 yrs remains strong. Add that despite Australia’s PM Kevin Rudd saying that the resource boom has ended, company note that client activities still remain strong, with BHP Billiton planning to increase the production of iron ore, as well as recent contract wins from Rio Tinto. Civmec is also even considering expanding outside Australia, particular in the O&G sector, although the co. has yet to come across any suitable opportunity. Overall, grp concedes that it has come up with good results and are doing good work, but the market is not reacting to it.