Dear friends of i3 Forum

As the Title goes : TSH At Rm1.07 Versus Dlady at Rm27.10 (Compare & Contrast Their Future Potential

We are forward looking and as such we take a peak into their present status to forecast their coming future

Not long ago we also posted IjmPlant versus Hartalega

See

IJMPLANT (2216) Rm1.86 Versus HARTALEGA GLOVE (5186) Rm9.98 COMPARE & CONTRAST THEIR PROSPECTS, Calvin Tan Research

REST IS NOW HISTORY

At Rm1.07 TSH is selling at below its NAv of Rm1.378

Now go deeper

Cash and bank balances Rm375,582,000

Cash is Rm375.582 Millions

Loans and Borrowings Rm394,251,000 (current)

Loans and Borrowings 164,860,000 (non current)

Trade and other receivables Rm42,569,000

Inventories  Rm132,921,000

Trade and other payables Rm138,905,000

(Inventories and receivables more than payables)

Cash less total loan = Rm375.5 Millions less Rm559 million

= leaving a debt of Rm183 Millions

The accounts were until 31 Dec 2022

Now look at Jan 2023 entry (refer Bursa please)

TRANSACTIONS (CHAPTER 10 OF LISTING REQUIREMENTS) : RELATED PARTY TRANSACTIONS TSH RESOURCES BERHAD ("TSH" OR THE "COMPANY") PROPOSED DISPOSAL BY PT BULUNGAN CITRA AGRO PERSADA ("BCAP"), A 90%-OWNED SUBSIDIARY OF TSH, OF BCAPS OIL PALM PLANTATION, TOGETHER WITH THE UNCERTIFIED LAND ADJOINING THE PLANTATION, ALL SITUATED AT NORTH KALIMANTAN, INDONESIA ("SALE LAND") FOR A TOTAL DISPOSAL CONSIDERATION OF RP2,428.86 BILLION (EQUIVALENT TO APPROXIMATELY RM731.09 MILLION) TO BE SATISFIED ENTIRELY BY CASH ("PROPOSED DISPOSAL")

TSH RESOURCES BERHAD ("TSH" OR THE "COMPANY")
PROPOSED DISPOSAL BY PT BULUNGAN CITRA AGRO PERSADA ("BCAP"), A 90%-OWNED SUBSIDIARY OF TSH, OF BCAPS OIL PALM PLANTATION, TOGETHER WITH THE UNCERTIFIED LAND ADJOINING THE PLANTATION, ALL SITUATED AT NORTH KALIMANTAN, INDONESIA ("SALE LAND") FOR A TOTAL DISPOSAL CONSIDERATION OF RP2,428.86 BILLION (EQUIVALENT TO APPROXIMATELY RM731.09 MILLION) TO BE SATISFIED ENTIRELY BY CASH ("PROPOSED DISPOSAL")

Read again

In addition, we wish to announce that the disposal for the 574.56 hectares of the Uncertified Land has also been completed on even date following the receipt of the total compensation in respect of the 574.56 hectares of the Uncertified Land from the Buyers.

The announcement is dated 18 January 2023.

Read one more time

on even date following the receipt of the total compensation in respect of the 574.56 hectares of the Uncertified Land from the Buyers.

In other words the balance sum of Rm302 Milions Cash has come in by Jan 18 2023

Now Cash Rm302 million less residual debt left over of year 2022 Rm183 million

= RM119 MILLIONS (NET CASH)

No wonder TSH is sanguine and lately started to pay out better dividends

See

DIVIDEND HAS RISEN TO 8 SEN CASH PER SHARE

Now look at Dlady (Refer Bursa Website)

At Rm27.10 with NAV only Rm6.20 Dlady is selling far above its Book Value

And this qtr made a loss of 31.60 sen

Now go see its balance sheet

Cash and cash equivalents Cash and cash equivalents Rm104,941,000

Cash about Rm104.9 Milions

Trade and other payables Trade and other payables Rm413,688,000 (Was Rm 282,795,000)

de and other receivables Trade and other receivables Rm97,708,000

Trade debt to pay 

Rm413,688,000 less trade cash to be received  Rm97,708,000

= Rm315.9 Millions to Pay

Now after less cash of Rm104.9 Millions

There is a Shortfall of Rm211 Milions

Dlady is now facing Cash Crunch

No wonder it has been cutting and cutting its dividends

See

In Good Years of 2014 & 2015 Dlady gave out Rm2.20 dividend

After that it was downhill all the way to 

Rm1.00 in 2019

Then dropped to only 80 sen in year 2020

Latest its dividend again cut to only 50 sen (year 2021 & 2022)

Year 2023???

No more money left

A possible scenario

Either give PP or Rights Issue to ask for Help

Will Its Lofty Share Price be Justified?

Please do your own due Investigation And Shut your ears to all the noise

Look at the facts soberly

Warm regards

Calvin Tan

Please buy/sell after doing your own due diligence or in doubt consult your Remisier/Fund Manager

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I STUDY THE NUMBERS

-----John Neff

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