The addition of recurring revenue streams in the higher margin Asset and Mining Services segments has been positive through 2019, however low Construction wins by historical standards suggests a weak 1H20 should be expected. A recovery here is needed to meet our full year forecasts, and timing remains a key short-term uncertainty. Nevertheless, we retain a view that the business is well set up for a medium term recovery; with an increasing baseload of recurring revenue, the swing in performance when Construction delivers more in line with historic norms, could be significant. We maintain a BUY call on a revised valuation of $0.50 (prior $0.55).
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