Seymour Whyte operates as an engineering, infrastructure and construction company to the transport and utility sectors. The transport division consists of projects including roads, bridges, rail, and aviation and resource infrastructure whilst the utility division focuses on Power stations and energy projects, bulk water catchments, irrigation infrastructure, pipelines and other civil works. Revenue streams are increasingly diversified geographically. The business is now fully established in NSW and an office has been opened in Victoria allowing for expansion and growth into that market. The company generated NPAT of $9.9m which was within the guidance range. Stronger project margins were largely mitigated a lower revenue number. The business is well positioned for future success, a $42m cash balance provides a strong balance sheet with a reliable dividend. Over 90% of FY16 revenue forecasts are covered by diversified contracts. SWL’s current order book for FY16 is A$334m with the possibility for additional growth as late stage tenders come in. When allowing for the cash balance, valuation looks compelling on 4.5x EV/EBITDA. Newsletter available here: (VIEW LINK)