Since listing on the ASX just over 12 months ago, the share price of Southern Cross Electrical Engineering has fallen from a high of $1.84 to a low last week of 45¢. Consensus earnings per share forecasts for 2008-09 have recently been trimmed from 14.7¢ to 12.8¢, but this still leaves Southern Cross on a conservative price-earnings ratio of about 4.

In 2007-08 the company's net profit of $14.3 million was ahead of prospectus forecasts by more than 15 per cent. The dividend was 20 per cent higher, and the company finished the year with net cash of $24.4 million and a record order book that accounted for more than half of management's projected revenues in 2008-09.