Business Description:
Tox Free Solutions Limited (TOX) is an integrated waste management and environmental service provider in Australia. The Company provides a range of waste management services including hazardous and non hazardous waste disposal, solid waste management and recycling, liquid waste treatment and household hazardous waste collection. The company has 23 strategically located sites to enable the management of a broad range of industrial and hazardous wastes.

Strategy Analysis:
2009 was a solid year for TOX having won some big-ticket contracts from prominent resource companies. The acquisition of Envirochem will give TOX greater revenue-source diversification as its businesses are based on the east coast of Australia. The strategy going forward will be one of targeting further contract wins to leverage off current infrastructure. Management targets projects with a Return on Invested Capital (ROIC) of 18% which is encouraging. Tox Free Solutions reported NPAT up 49% to $11.87m for the year ended 30 June 2011. Revenues from ordinary activities were $143.56m, up 45% from last year. Diluted EPS was 12.48 cents compared to 9.12 cents last year. Net operating cash flow was $22.44m compared to $17.62m last year. The final dividend declared was 3 cents, taking the full year dividend to 3 cents compared with 2 cents last year.