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TerraCom

DB:2GF
Snowflake Description

Unattractive dividend payer with imperfect balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
2GF
DB
A$101M
Market Cap
  1. Home
  2. DE
  3. Energy
Company description

TerraCom Limited engages in the exploration, extraction, and production of coal in Australia and Mongolia. The last earnings update was 31 days ago. More info.


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  • TerraCom has significant price volatility in the past 3 months.
2GF Share Price and Events
7 Day Returns
-20.6%
DB:2GF
18.1%
DE Oil and Gas
7.3%
DE Market
1 Year Returns
-84.5%
DB:2GF
21.9%
DE Oil and Gas
-17.7%
DE Market
2GF Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
TerraCom (2GF) -20.6% -41.4% -70.1% -84.5% -61.6% -48.8%
DE Oil and Gas 18.1% -15.9% -28.7% 21.9% -25.6% 137.4%
DE Market 7.3% -17.9% -25.8% -17.7% -25.6% -29%
1 Year Return vs Industry and Market
  • 2GF underperformed the Oil and Gas industry which returned 21.9% over the past year.
  • 2GF underperformed the Market in Germany which returned -17.7% over the past year.
Price Volatility
2GF
Industry
5yr Volatility vs Market

Value

 Is TerraCom undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of TerraCom to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for TerraCom.

DB:2GF Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Dividend Discount Model
Dividend Per Share Company Filings (2019-12-31) in AUD A$ .020000
Payout Ratio Company Filings (2019-12-31) -1645.8%
Discount Rate (Cost of Equity) See below 10%
Perpetual Growth Rate 10-Year DE Government Bond Rate -0.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:2GF
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate -0.4%
Equity Risk Premium S&P Global 5.4%
Oil and Gas Unlevered Beta Simply Wall St/ S&P Global 0.81
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.808 (1 + (1- 30%) (273.62%))
1.908
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.91
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= -0.39% + (1.908 * 5.44%)
9.99%

Discounted Cash Flow Calculation for DB:2GF using Dividend Discount Model Model

The calculations below outline how an intrinsic value for TerraCom is arrived at by discounting future dividends to their present value. This approach is used for finance firms where free cash flow is difficult to estimate (e.g. Banks/ Insurance firms).

If the firm does not pay the majority of its earnings out as a dividend this method will often arrive at a value significantly lower than the share price.

See our documentation to learn about this calculation.

DB:2GF Gordon Growth Model
Calculation Result
Value per share = Expected dividends per share / (Discount Rate - Perpetual growth rate)
= A$0.02 / (9.99% - -0.39%)
A$0.01
DB:2GF Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:2GF represents 0.42414x of ASX:TER
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.42414x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (AUD) x Listing Adjustment Factor
= A$ 0.05 x 0.42414
€0.02
Value per share (EUR) From above. €0.02
Current discount Discount to share price of €0.06
= -1 x (€0.06 - €0.02) / €0.02
-167.6%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of TerraCom is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for TerraCom's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are TerraCom's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:2GF PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in AUD A$-0.05
ASX:TER Share Price ** ASX (2020-03-30) in AUD A$0.15
Europe Oil and Gas Industry PE Ratio Median Figure of 105 Publicly-Listed Oil and Gas Companies 5.67x
Germany Market PE Ratio Median Figure of 400 Publicly-Listed Companies 16.36x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of TerraCom.

DB:2GF PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= ASX:TER Share Price ÷ EPS (both in AUD)

= 0.15 ÷ -0.05

-2.7x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • TerraCom is loss making, we can't compare its value to the Europe Oil and Gas industry average.
  • TerraCom is loss making, we can't compare the value of its earnings to the Germany market.
Price based on expected Growth
Does TerraCom's expected growth come at a high price?
Raw Data
DB:2GF PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -2.7x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
Not available
Europe Oil and Gas Industry PEG Ratio Median Figure of 65 Publicly-Listed Oil and Gas Companies 0.17x
Germany Market PEG Ratio Median Figure of 254 Publicly-Listed Companies 1.2x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for TerraCom, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on TerraCom's assets?
Raw Data
DB:2GF PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in AUD A$0.12
ASX:TER Share Price * ASX (2020-03-30) in AUD A$0.15
Germany Oil and Gas Industry PB Ratio Median Figure of 6 Publicly-Listed Oil and Gas Companies 0.94x
Germany Market PB Ratio Median Figure of 574 Publicly-Listed Companies 1.43x
DB:2GF PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= ASX:TER Share Price ÷ Book Value per Share (both in AUD)

= 0.15 ÷ 0.12

1.19x

* Primary Listing of TerraCom.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • TerraCom is overvalued based on assets compared to the DE Oil and Gas industry average.
X
Value checks
We assess TerraCom's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Oil and Gas industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Oil and Gas industry average (and greater than 0)? (1 check)
  5. TerraCom has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is TerraCom expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as TerraCom has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.

Show me the analysis anyway

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
13%
Expected Oil and Gas industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Is TerraCom expected to grow at an attractive rate?
  • Unable to compare TerraCom's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare TerraCom's earnings growth to the Germany market average as no estimate data is available.
  • Unable to compare TerraCom's revenue growth to the Germany market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
DB:2GF Future Growth Rates Data Sources
Data Point Source Value (per year)
Europe Oil and Gas Industry Earnings Growth Rate Market Cap Weighted Average 13%
Europe Oil and Gas Industry Revenue Growth Rate Market Cap Weighted Average 2.1%
Germany Market Earnings Growth Rate Market Cap Weighted Average 14.3%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:2GF Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in AUD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:2GF Past Financials Data
Date (Data in AUD Millions) Revenue Cash Flow Net Income *
2019-12-31 326 23 -24
2019-09-30 332 45 -18
2019-06-30 338 67 -11
2019-03-31 306 66 -6
2018-12-31 274 64 -1
2018-09-30 211 49 -10
2018-06-30 147 34 -18
2018-03-31 107 19 9
2017-12-31 68 3 37
2017-09-30 45 -3 30
2017-06-30 22 -10 22
2017-03-31 13 -16 8

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if TerraCom is high growth as no earnings estimate data is available.
  • Unable to determine if TerraCom is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:2GF Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from TerraCom Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:2GF Past Financials Data
Date (Data in AUD Millions) EPS *
2019-12-31 -0.05
2019-09-30 -0.04
2019-06-30 -0.03
2019-03-31 -0.02
2018-12-31 0.00
2018-09-30 -0.03
2018-06-30 -0.06
2018-03-31 0.03
2017-12-31 0.13
2017-09-30 0.11
2017-06-30 0.09
2017-03-31 0.03

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if TerraCom will efficiently use shareholders’ funds in the future without estimates of Return on Equity.

Next steps:

  1. Take a look at our analysis of 2GF’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  2. TerraCom's future outlook can be gauged by looking at industry trends and market size, and determining how well-positioned the company is compared to its competitors. Take a look at other high-growth Energy companies here
  3. TerraCom's competitive advantages and company strategy can generally be found in its financial reports archived here.
  4. Use fundamentals to screen for another stock to analyse from our database of over 75,000 companies worldwide
X
Future performance checks
We assess TerraCom's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
TerraCom has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has TerraCom performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare TerraCom's growth in the last year to its industry (Oil and Gas).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • TerraCom does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.
  • Unable to compare TerraCom's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare TerraCom's 1-year growth to the Europe Oil and Gas industry average as it is not currently profitable.
Earnings and Revenue History
TerraCom's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from TerraCom Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:2GF Past Revenue, Cash Flow and Net Income Data
Date (Data in AUD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 326.41 -23.84 12.52
2019-09-30 332.36 -17.54 11.62
2019-06-30 338.32 -11.23 10.73
2019-03-31 306.10 -6.08 11.74
2018-12-31 273.89 -0.93 12.76
2018-09-30 210.51 -9.67 10.93
2018-06-30 147.14 -18.40 9.10
2018-03-31 107.42 9.43 8.78
2017-12-31 67.70 37.26 8.46
2017-09-30 45.10 29.86 11.34
2017-06-30 22.49 22.47 14.21
2017-03-31 12.80 7.86 14.38
2016-12-31 3.11 -6.75 14.55
2016-09-30 6.50 -29.08 13.23
2016-06-30 9.90 -51.41 11.90
2016-03-31 8.35 -70.35 10.86
2015-12-31 6.80 -89.29 9.83
2015-09-30 3.40 -66.19 8.33
2015-06-30 -43.09 6.84
2015-03-31 -60.89 7.43
2014-12-31 -78.69 8.02
2014-09-30 -70.76 9.01
2014-06-30 -62.82 9.99
2014-03-31 -34.98 9.82
2013-12-31 -7.13 9.65
2013-09-30 -3.72 9.30
2013-06-30 -0.32 8.95
2013-03-31 -0.27 -4.88 8.92

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if TerraCom has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • TerraCom used its assets more efficiently than the Europe Oil and Gas industry average last year based on Return on Assets.
  • It is difficult to establish if TerraCom improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess TerraCom's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Oil and Gas industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
TerraCom has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is TerraCom's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up TerraCom's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • TerraCom's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • TerraCom's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of TerraCom's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from TerraCom Company Filings, last reported 2 months ago.

DB:2GF Past Debt and Equity Data
Date (Data in AUD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 65.25 246.09 67.03
2019-09-30 65.25 246.09 67.03
2019-06-30 70.45 220.64 57.20
2019-03-31 70.45 220.64 57.20
2018-12-31 45.20 198.66 12.52
2018-09-30 45.20 198.66 12.52
2018-06-30 27.37 212.87 11.87
2018-03-31 27.37 212.87 11.87
2017-12-31 4.49 186.22 1.07
2017-09-30 4.49 186.22 1.07
2017-06-30 30.10 180.17 8.59
2017-03-31 30.10 180.17 8.59
2016-12-31 -36.08 184.66 1.22
2016-09-30 -36.08 184.66 1.22
2016-06-30 -17.65 161.21 1.28
2016-03-31 -17.65 161.21 1.28
2015-12-31 -44.95 164.36 0.37
2015-09-30 -44.95 164.36 0.37
2015-06-30 26.50 137.86 2.55
2015-03-31 26.50 137.86 2.55
2014-12-31 37.73 122.21 2.22
2014-09-30 37.73 122.21 2.22
2014-06-30 47.34 104.19 9.25
2014-03-31 47.34 104.19 9.25
2013-12-31 109.42 81.53 12.93
2013-09-30 109.42 81.53 12.93
2013-06-30 118.25 54.61 25.79
2013-03-31 118.25 54.61 25.79
  • TerraCom's level of debt (377.2%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (325.5% vs 377.2% today).
CASH RUNWAY ANALYSIS

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

  • Whilst loss making TerraCom has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.
  • Whilst loss making TerraCom has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -45.1% per year.
X
Financial health checks
We assess TerraCom's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. TerraCom has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is TerraCom's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
13.79%
Current annual income from TerraCom dividends.
If you bought €2,000 of TerraCom shares you are expected to receive €276 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • TerraCom's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.7%).
  • TerraCom's dividend is above the markets top 25% of dividend payers in Germany (4.97%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:2GF Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
Europe Oil and Gas Industry Average Dividend Yield Market Cap Weighted Average of 68 Stocks 9.1%
Germany Market Average Dividend Yield Market Cap Weighted Average of 323 Stocks 3.9%
Germany Minimum Threshold Dividend Yield 10th Percentile 1%
Germany Bottom 25% Dividend Yield 25th Percentile 1.7%
Germany Top 25% Dividend Yield 75th Percentile 5%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:2GF Past Annualized Dividends Data
Date (Data in A$) Dividend per share (annual) Avg. Yield (%)
2019-10-23 0.020 7.098

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • It is too early to tell whether TerraCom has stable dividend payments.
  • TerraCom only just started paying a dividend, it is too early to tell if payments are increasing.
Current Payout to shareholders
What portion of TerraCom's earnings are paid to the shareholders as a dividend.
  • The company is paying a dividend however it is incurring a loss.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess TerraCom's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can TerraCom afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. TerraCom has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of TerraCom's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Danny McCarthy
COMPENSATION A$761,383
TENURE AS CEO 1.3 years
CEO Bio

Mr. Danny McCarthy is Chief Executive Officer at TerraCom Limited since December 1, 2018. Mr. McCarthy was Chief Operating Officer of Mineral Resources Limited since April 24, 2016 until November 30, 2018. Mr. McCarthy is an experienced mining professional with 20 years of relevant experience in senior executive, general, operational and project management roles. He worked as Group General Manager Mining Operations at QCoal Pty Ltd and as General Manager Mining with Thiess. He is highly experienced in mine operations, cost control, customer focus and delivery with a demonstrated background in strategy development and execution, mine management, maintenance management, handling and processing.

CEO Compensation
  • Insufficient data for Danny to compare compensation growth.
  • Danny's remuneration is about average for companies of similar size in Germany.
Management Team Tenure

Average tenure of the TerraCom management team in years:

1.3
Average Tenure
  • The average tenure for the TerraCom management team is less than 2 years, this suggests a new team.
Management Team

Danny McCarthy

TITLE
Chief Executive Officer
COMPENSATION
A$761K
TENURE
1.3 yrs

Nathan Boom

TITLE
Chief Financial Officer
COMPENSATION
A$560K
TENURE
3 yrs

Megan Etcell

TITLE
Company Secretary
TENURE
0.3 yrs

Reece Henry

TITLE
Exploration Manager - Mongolia
Board of Directors Tenure

Average tenure and age of the TerraCom board of directors in years:

2.5
Average Tenure
61
Average Age
  • The average tenure for the TerraCom board of directors is less than 3 years, this suggests a new board.
Board of Directors

Wal King

TITLE
Independent Non-Executive Chairman of the Board
COMPENSATION
A$272K
AGE
75
TENURE
2.5 yrs

Craig Ransley

TITLE
Non-Executive Deputy Chairman
COMPENSATION
A$65K
AGE
50

Matthew Hunter

TITLE
Non-Executive Director
COMPENSATION
A$63K
TENURE
2.2 yrs

Tsogt Togoo

TITLE
Independent Non­-Executive Director
COMPENSATION
A$139K
TENURE
7 yrs

Craig Wallace

TITLE
Independent Non-Executive Director
COMPENSATION
A$127K
TENURE
5.3 yrs

Jim Soorley

TITLE
Independent Non-Executive Director
COMPENSATION
A$127K
AGE
67
TENURE
3 yrs

Paul Anderson

TITLE
Non-Executive Director
COMPENSATION
A$63K
TENURE
1.8 yrs

Glen Lewis

TITLE
Independent Non-Executive Director
AGE
55
TENURE
0.3 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by TerraCom individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
17. Mar 20 Buy Glen Lewis Individual 12. Mar 20 13. Mar 20 133,695 €0.11 €13,802
10. Mar 20 Buy Glen Lewis Individual 04. Mar 20 04. Mar 20 119,500 €0.12 €14,689
03. Mar 20 Buy Ocp Asia (Singapore) Pte. Limited Company 21. Mar 19 19. Aug 19 5,957,333 €0.36 €2,149,673
10. Feb 20 Buy Glen Lewis Individual 07. Feb 20 07. Feb 20 168,425 €0.18 €30,815
21. Jun 19 Buy Noble Group Limited Company 05. Jun 19 14. Jun 19 15,518,472 €0.36 €5,556,473
12. Jun 19 Buy Paul Anderson Individual 05. Jun 19 05. Jun 19 4,391 €0.36 €1,580
12. Jun 19 Buy Bonython Coal No 1 Pty Limited, Asset Management Arm Company 05. Jun 19 05. Jun 19 23,183,074 €0.36 €8,340,304
12. Jun 19 Buy Singleton No.5 Investment Trust Company 05. Jun 19 05. Jun 19 57,641 €0.36 €20,737
12. Jun 19 Buy Wallace King Individual 05. Jun 19 05. Jun 19 194,158 €0.36 €69,850
12. Jun 19 Buy Philip Forrest Individual 05. Jun 19 05. Jun 19 21,231 €0.36 €7,638
12. Jun 19 Buy Matthew Hunter Individual 05. Jun 19 05. Jun 19 207,693 €0.36 €74,719
X
Management checks
We assess TerraCom's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. TerraCom has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

TerraCom Limited engages in the exploration, extraction, and production of coal in Australia and Mongolia. It explores for hard coking, thermal, and PCI coal. The company primarily focuses on the Northern Galilee project comprising the Hughenden and the Pentland projects covering an area of approximately 2,160 square kilometers, as well as the Clyde Park project that covers an area of approximately 133 square kilometers located in the Galilee Basin, Queensland; and the Springsure project covering an area of approximately 1,178 square kilometers situated in the Central-Western Bowen basin coal mining district, Queensland. The company was formerly known as Guildford Coal Limited and changed its name to TerraCom Limited in November 2015. TerraCom Limited was founded in 2009 and is based in Clermont, Australia.

Details
Name: TerraCom Limited
2GF
Exchange: DB
Founded: 2009
A$55,769,156
695,283,384
Website: http://www.terracomresources.com
Address: TerraCom Limited
Blair Athol Mine Access Road,
PO Box 131,
Clermont,
Queensland, 4721,
Australia
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
ASX TER Ordinary Shares Australian Securities Exchange AU AUD 22. Jul 2010
DB 2GF Ordinary Shares Deutsche Boerse AG DE EUR 22. Jul 2010
CHIA TER Ordinary Shares Chi-X Australia AU AUD 22. Jul 2010
Number of employees
Current staff
Staff numbers
0
TerraCom employees.
Industry
Coal and Consumable Fuels
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/03/30 22:03
End of day share price update: 2020/03/30 00:00
Last earnings filing: 2020/02/28
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/06/30


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.