Capral on track to resume dividends for FY16

The balance sheet remains strong, and the company won’t have to pay tax for many years, thanks to accumulated grossed-up tax losses of close to $290m. This, coupled with modest CapEx requirements, should result in strong cash generation. The company has paid no dividends since 2004, but appears on track to consider a final dividend at the FY16 result (December year-end). Assuming a conservative 50%
payout of FY16 free cash flow, the stock is yielding over 8% at a share price of 17.5c. 

Article contributed by Perpetual Pure Micro-Cap Fund:  (VIEW LINK)