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General Information

Western Areas Limited
WSA
http://www.westernareas.com.au
Diversified Metals & Mining
828
233

Current Price Data+

Current Price Open High Low Last Close Volume Price Movement
$3.56 $3.52 $3.59 $3.51 $3.56 1188047 - ( No change )
  • +Security prices are delayed by least 20 minutes and are indicative only.

Current Broker Consensus Recommendation

Buy
22/05/2015
5

Company Overview

Business Description
Western Areas Limited (WSA, formerly Western Areas NL) is an Australian-based nickel sulphide explorer and producer. The core asset is the 100% owned Forrestania NickelOperation which comprises two operating mines, producing approx 25,000tpa nickel in ore. WSA also has interest in projects overseas through investments in Mustang Minerals (Canada) and FinnAust Mining (Finland), and 100% interest in Bioheap Ltd, a patented bacterial leaching technology.
Strategy Analysis
Western Areas is engaged in the acquisition, exploration and development of nickel sulphide deposits in established mineral provinces in Australia and Canada. The company┬┤s main focus is exploring for and developing high grade massive nickel sulphide deposits at the Forrestania Project in Western Australia and exploring for nickel, copper and platinum group element deposits elsewhere. Western Areas reported NPAT down 91% to $2.13m for the half-year ended 31 December 2012. The decrease was primarily due to a fall in commodity prices and a non-cash impairment of $6m. Revenues from ordinary activities were $158.96m, up 7% from the same period last year. Diluted EPS was 1.1 cents compared to 13.4 cents last year. Net operating cash flow was $48.08m compared to $64.41m last year. The interim dividend declared was 2 cents compared with 4 cents last year.

Financial Summary

Year to Jun NPAT EPS EPS chg (%) PER DPS Yield (%) Franking (%)
2016 F 77.8 33.0 45.2% 10.8 25.0 7.0% 100.0%
2015 F 53.6 22.8 87.8% 15.6 15.0 4.2% 100.0%
2014 A 25.5 12.1 -475.0% 26.2 5.0 1.6% 100.0%

Peer Comparison

Company Mkt Cap EPS Growth (%) P/E (%) Dividend Yield (%)
2014 A 2015 F 2016 F 2014 A 2015 F 2016 F 2014 A 2015 F 2016 F
BHP Billiton (BHP) $93,942M 0.1223 -0.3229 -0.4018 10.9387 16.1558 27.0083 4.39% 5.37% 5.52%
Iluka Resources (ILU) $3,685M -0.5350 1.4446 0.5723 61.7111 25.2438 16.0555 2.16% 3.09% 4.35%
Rio Tinto (RIO) $24,073M -0.1938 -0.4311 0.0931 9.1676 16.1139 14.7410 4.62% 5.01% 5.34%
South32 (S32) $12,298M 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.00% 0.00% 0.00%
Western Areas (WSA) $819M 4.5758 0.7025 0.6360 21.7687 12.7861 7.8153 1.42% 2.84% 4.55%

Financial Summary

Earnings P/E Ratio P/B Ratio P/E Growth
Company 0.42 13.50 2.22 0.20
Market 1.01 17.00 1.33 1.59
Sector 0.77 13.60 0.69 0.50

Directors

Name Position Start Date
Mr David Clifford Southam Finance Director 15/11/2010
Mr Daniel Richard Lougher Managing Director 19/05/2008
Mr Julian Philip Hanna Non-Executive Director 24/12/1999
Mr Craig Leslie Readhead Non-Executive Director 26/06/2014
Mr Timothy Carl Netscher Non-Executive Director 01/08/2014
Mr Richard James Yeates Non-Executive Director 01/10/2009
Mr Ian Alexander Macliver Non-Executive Director, Non-Executive Chairman 01/10/2011

Management

Name Position
Joe Belladonna Chief Financial Officer,Company Secretary
G Marshall General Manager Commercial
C Wilkinson General Manager Exploration
W Jones General Manager Operations

Substantial Shareholders

Holding Name
16,789,858 (7.20%) Jungle Creek Gold Mines Pty Ltd
12,477,922 (5.40%) Schroder Investment Management Australia Limited

Calendar of Events

Date Event
13 April 2016 Report (Quarterly)
18 February 2016 Report (Interim)
20 January 2016 Report (Quarterly)
16 October 2015 Report (Annual)
16 October 2015 Report (Quarterly)
24 August 2015 Report (Prelim)
21 July 2015 Report (Quarterly)
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