I wasn't really comparing those companies to TEL. It was more an observation about small telecom sector sentiment - when some in a sector disappoint, then the good can get dragged down with the bad, even if they are different.
The Cassydora acquisition looks long term and strategic in nature. I would think it was made to be earnings enhancing in the long term, at the cost of being earnings dilutative in the short term. Contracts take time to cost and negotiate, and are likely to incur proportionally more expenses at the beginning due to start up costs. In the short term, Cassydora may not even contribute any sales to the current half, as we are nearly five months into it and nothing has been announced. I think that it would do well to even break even this year.
In post 107 a week ago SteMiS suggested:
Cassydora (???) 117 [Sales] 45 [PBT]
That would be a pre-tax profit margin of 38%; I can't see that being achieved unless all admin expenses are accounted for elsewhere.
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