Pang72 is so lonely...hehe, to me the QR is ok, you have to deduce ~RM90mil from net profit and its EPS is then around 27-28cent which is not too bad vs previous quarter considering current challenging environment doing business. Prospect looks good moving forward in case contribution from Thai can be further improved, looking forward to see if there is more contribution from Cocoaland (full quarter vs current 2/3 months) and "Milk" line (probably will not see anything significant for the next few quarters). The price is not cheap at current PE >20 vs the other smaller food producing companies...

Anyone realise there was no monthly production figure for Aug'22? Oh no...not a good sign (although the share prices already drop like no business :-)).

When I look at the news shared by RHB Tradesmart on the appointment new CEO, the 1st thing canes to my mind “time so sell”, damn… look at the history of the new CEO, katak leh…can do work one or not?

Thanks Bilis and Jojobaa for trying to explain the deferred tax liabilities.
I tried to understand the term from investopedia, below is the explanation:

What is a deferred tax liability?
Deferred tax liability represents taxes that must be paid at a future date. For instance, if a company realized a taxable expense within a current period but hasn’t paid taxes on them, they are obligated to pay this tax expense at a later period. Deferred tax liabilities are often the result of companies operating two different sets of books, one for financial purposes and the other for tax purposes. Typically, rules that dictate the depreciation of assets, valuing inventories, or recognizing revenues often differ between these two books.

What is an example of a deferred tax liability?
The depreciation of fixed assets is a common example that leads to a deferred tax liability. Usually, a company will report depreciation in their financial statements with a straight-line depreciation method. Essentially, this evenly depreciates the asset over time. By contrast, for tax purposes, the company will use an accelerated depreciation approach. Using this method, the asset depreciates at a greater rate in its early years. A company may record a straight-line depreciation of $100 in its financial statements versus an accelerated depreciation of $200 in its tax books. In turn, the deferred tax liability would equal $100 multiplied by the tax rate of the company.

How is deferred tax liability calculated?
One other example of deferred tax liability is in how revenue is recognized. Consider a company that sold a $1,000 piece of furniture with a 20% tax rate, which is paid for in monthly installments by the customer. The customer will pay this over two years ($500 + $500). For financial purposes, the company will record a sale of $1,000. Meanwhile, for tax purposes, they will record it as $500. As a result, the deferred tax liability would be $500 x 20% = $100.

Looking at above explanation, I think Hibiscus will still need to pay the "underpaid tax" in the near future, this would be the item which I need to monitor closely moving forward. Perhaps I will also ask CY during the next AGM :-) cheers and happy investing~

No one concern on the “Deferred tax liabilities and Provision for decommissioning costs” which cost about 488mil and 303mil? I seriously don’t understand why many are saying this is net cash company…anyone mind to explain? Thanks

Good thing to see lower debt and of course interest payment --> RM4mil less vs last year Q1. Labour shortage is really an issue, let's see what management say and how they are going to address this part lah, overall --> QR report Oklah.

@DLLKT - an interesting number for item no. 8, mind to share how/where you got this number? By taking the actual production ffb volume for Q1'21, I calculated the revenue should be around 190-200mil, which is still 15% lower vs previous Q4'20 @227mil. Q2-Q3'21 (months with high ffb production) would be interesting for Bplant if the CPO prices is sustainable, shortage of labour as mentioned in its latest QR is something that worth to find out. Any idea, anyone?

写的真好，佩服佩服。

Revenue for Q1'21 is estimated ~RM185-190mil (derived from Q1'21 FFB volume drop ~27%, CPO prices increase ~17%, both are estimate numbers), Net profit Q1'21 ~RM22mil (profit margin conservatively keep at 12% due to high CPO prices) --> EPS: RM0.01

Pro: Long history company and rich land bank as highlighted by someone although I'm not sure if the valuation method is correct, continuously high CPO prices >RM4000 (many suspect it might not sustainable though)

Con: High past prime >20 years planted area ~40%/total (from AR2019) --> low efficiency planter, high total borrowing ~RM1.25bil (debt repayment ~RM60mil for 2020), complicated organization structures link to many unprofitable companies such as BHIC (some please give me your input) --> mother will sell you cheaply in case she need money :-)

Let's wait for the AR2021 and super slow Q1'21 AR, cheers~

speakup, what was so geng? The recent QR provided too less information with lots of things were not explained, I suspect the part "prospects and business outlook' was even copied and pasted from its annual report :-)

Few things to watch out in coming quarter/s in order to stay on the game:

- Higher Q'4 revenue vs Q3 and 2020 net profit RM100mil, as many who claimed this :-)
- Q3'20: Share capital RM4.32bil vs reserves -RM1.25bil --> there will be no dividend to be declared as long the reserves is negative, it's good to see if there is some improvement on this part moving forward
- Q3'20: Total borrowing RM8.86bil (STB:RM1.66bil) vs Cash RM0.92bil --> it's good to see if cash on hand to be increased in the next few quarters from operation/profit + reduction in trade receivables + monetise selective asset such as selling under utilised OSV vessel

新年快乐and恭喜发财!

CPO prices keep on increasing but its Q3 cumulative 2 months CPO volume for TAAN is dropping ~15% (vs July, Aug'20)...

The MONTHLY PRODUCTION FIGURES for TSH obtained in MalaysiaStock.Biz is only taking for Malaysia operation, anyone have any idea where to get the complete picture? As majority of the revenue/profit of the company are generated from Indonesia operation, it is important also to see this part...

@kokchengkai: Would you mind to share what you understand fr the QR? :-)

Share prices has been climbing steadily from 0.39 to current ~0.60, since the last reported QR in 25.8.2020 --> ~50% up, can the profit catch up in the next quarter? I bet it will and probably the current share price has been reflecting that already. There are few good things I observed from current quarter: 1) Revenue probably exceeded by ~10mil vs street expectation, highest in the last 11Q, 2) Borrowing has been reduced ~70mil however 0.5sen declared as dividend, would be better to keep cash/pay off more debt, some might see this as +ve on the other side :-)

That mean T2@0.48 will probably get through --> existing 1.6bil + ??bil shares moving forward? Hmm, so many coincidences at the same times there are so many uncertainties too....

What does it mean to the existing shareholders of BungaRaya when the management "fixed the conversion price for the second tranche of the Islamic CRPS at RM0.48 per CRPS"?

Anyone know the "MONTHLY PRODUCTION FIGURES (MINING / PLANTATION / TIMBER)" obtained from Malaysiastock.biz for TSH, this number is only for Malaysia operation right?

@Young1: FFB production for BPLANT in Q3'20 is more or less same as Q2'20 at around 270K MT, only the selling prices will be higher but the number differs from one company to another. Net profit is not that simple to obtain because there are too many hidden costs (for example impairment) that will pop up/take away. However, revenue is something that you can learn to calculate but also, this is best guess based on FFB production for the reporting quarter.

Many are predicting/confident that the coming QR for most of the plantation stocks will be good, that's quite true especially those with very less debt, no impairment...

@Invest Icon, I took revenue ~600-700mil/year = engineer salary RM3k*13. Yes, I’m not a businessman nor good in FA but just voiced out my opinion and concern as an investor in BPLANT. Also share what other should watch out and know what they are buy into. It would be great to see the debt of the company can be slowly reduced in the next few quarters, follow by giving out dividend, this would be the sure direction I think everyone want to see.

@Invest Icon, not sure how did you came out that it is not critical, for me 61mil in paying interest/ year is definitely a lot for a company that making RM~600-700mil/year. Imagine this, let’s assume a fresh graduate make RM3000/ month and RM300 goes to interest payment for PTPTN alone, die lah...on the other side, a company director make RM30k/ month paying an interest fee of RM300, that is sap sap water right? My humble opinion based on limited no. of years in the market is that the company asset has nothing to do with you until they sell it and you get part from it. Seriously, I will monitor its debt level closely moving forward in the next few quarters. It should generate enough cash to reduce its debt if CPO price is sustainable...

I agree with what Mike said, a lot of plantation counters with huge debt especially BPLANT high debt + high borrowing cost. This is one of the very critical area to monitor for many counter in the next few quarters, ppl will only come back when the company turn to net cash.

Let's cross our finger and hope that the Vaccine is effective and roll out to the mass ASAP, this is the only way for the counter to come back and pay out the dividend. At this stage, to sustain could be already too much for asking....

Can existing shareholder subscribe for the CRPS?

Cumulative EPS for the last 4 quarters ~0.01 --> PE~30, do you think this is still consider cheap? KLSE Tech stocks are way too hot, look at Inari latest EPS~0.01, PE~50. The market is picking up and recovery (demand) is in the progress for semiconductor companies, but it is still way too soon to tell...perhaps ppl think this is the few sector that is gonna come back sooner compared to other sector such as tourism, gaming, etc...

I think Mikecyc win liao, I'm convince also to get out from here :-)

QR is out, anyone would like to comment especially on the proposed dividend?

28 Aug 2020, 大佬, do you know what are you buying or not?

Hohoho, cost saving on the travelling is gonna reflect in the coming quarter...

However, I see the long term prospect and good support between owner and lessees. It will recover when the situation of the Covid-19 is over, hopefully the company have the right muscle to withstand this situation. This is one of the good business which worth our support....Lol

Victor, don’t over do, it won’t help to push the price higher...I think it sound too scary when ppl read it as revenue is going to cut by half, for 2 years. That’s also mean dividend will be cut >50% and slowly revert after 2 years, if the situation is getting better after that.

Opportunity, did you manage to all in at 0.80? Or reserve a bit waiting to enter at lower price?

Thanks Sslee, it's still not very clear to me but I take it the actual profit for investment of FVTPL for 2019 is 3.89mil. Btw, what is your view on Tunepro?

Also, anyone can explain what is FVTPL? I extracted below value from AR2019, in statement of CF

Purchases of FVTPL financial assets--> 2019: -326mil vs 2018: -372mil
Proceeds from disposal of FVTPL financial assets --> 2019: 249mil vs 2018: 378mil

Does it mean its derivatives was actually making paper loss of >100mil compared to 2018?
Thanks.

Someone please explain why cashflow increased by ~19.4mil from 39.4mil to ~59mil?

I can see that it used additional ~RM1.8 mil (2,094,128 - 289,822 previous Q) for purchase of property, plant and equipment from the statement of cash flow. Liability is actually increased from ~RM2.07mil to ~RM2.83mil mainly due to "Trade and Other Payables" I don't get the whole picture yet, but probably it is a good liability when the supplier charge ESCERAM for their service/good so that it can ramp up its production. We will need to see in the coming QR if it generates more revenue, I have no idea how long it takes for charging, but I'm sure it was not reflected in current quarter with flat revenue vs previous one.

Anyone able to explain why PBT is less compared to previous quarter although the revenue is more or less the same?

Show me the money!!

Any idea why TROP keep doing the share buy back? Plan to give it back to shareholder? :-)

I3lurker, the money will be spent for the drawing FDI which is more job creation in Malaysia and making sure we are able to catch up with the rest of the world. Without 5G, there is just too much we cannot do, for example industry 4.0, autonomous, Smart City are just few of them...of course, how much Redtone can get from there depending on how much value it can create. Betting on it for quick gain....I’m not sure if this is right thing to do, I felt I’m a bit late to catch up with those who bought earlier...still watching.

Talking about Tony, you will see all his companies cannot be invested for long term one.

KYY will follow his golden rule, increase EPS for two consecutive quarters....but hey, you don’t see that coming?

Bond - Sukuk Murabahah --> 537,798,238, without this the cashflow would be negative in Q4'19. Is this also mean the interest for finance would be higher from next quarter onwards? Thanks if someone can help and clarify.

Paperplance, where did you get the news of 10% dividend?

Both the revenue and profit are dropping since 2015, profit drop from 910million in 2015 to current cumulative 3Q'19 251 million (about 36% remain assuming last quarter profit at 80mil). However, the share price drop from ~RM55 to current RM15 (about 27%) seem overdone. The upside is limited though unless the profit & revenue running higher again...

So misleading, why you never mentioned their operating expenses? Net profit?

Is the quarterly report out already? Must be very interesting to see Trop can offload their properties to rich foreigners...

Good sharing Teh, I always you are TA person :-)

I wonder if there is anyone out there will accumulate this stock at current price? Why not?

Thank you KC for the sharing, Merry Christmas and hope to see your next article.