Finally the acquisition of 101 failed. I think is good to IOI Prop because the acquisition price is too high.

He just resign from the position does not mean he is going to sell his share. If i'm not wrong, the company is mainly run by Shamsuddin Bro, Mortzhani probably just want to avoid conflict of interest because he also a major shareholder of Yinson. Of course, i also worry abt the 4th quarter result.I'm just wonder how SKP going to make money when SKp acquire those assets at high price. Haiz....

1) Syariah compliance- will it benefit to the Company? Answer is no, it only will support the share price and extra cost will be incurred to maintain the syariah status.

2) Impairment- is a clear signal of those assets' ability of cash generating. Those assets can't generating cash as per expected in the future. That is why a impairment will be recognised.

3)4th Quarter result even though is a historical data but it will show us what is the impact to the company when the oil price stand at low price.

SKP acquire Seadrill, Newfields and few oil block last year when the oil price stand at high level. Now an impairment loss will be recognised in account. The market showing supply more than demand, will lead to further drop in oil price.

400523, u r right. Some fund have to dispose all their shares within 30 days but I dun think current share price is above their cost price, so most of them are still can hold the shares. Please don't follow EPF movement because they will make u more confuse. They have different fund managers, every managers have their own judgement, that is why, you can see a acquire and disposal of same shares in same day.

Do you know SKP's long term borrowing is more than 15billion in USD. How much extra have to pay? Don't forget the Q3 result is from Aug to Oct 2014, did it reflect the effect of crude oil price? Definitely not, we need to focus on next 12 months result instead of past result. I can't understand why SKP still declare dividend, just to support their share price? Better pay off their debt first rather than dividend.

lets guess what target price will be given by CIMB? LOL

Jonatlau, if u set up a business with cost of $100 and will get profit $10 per year. Are you willing to sell your business to me at $100? Purchase consideration has to include cost, value appreciation, future cash inflow and other opportunity cost.

CIMB latest report don't even mentioned any risk in crude oil price dropping, just keep focused on new Vietnam assets and Sabah block.

What we need to concern is future result, even the quarter result is good but just to remind that the result is past result from Aug to Oct 2014.

Mr Bear coming to town. hohoho

glukolin, it is unlikely can go back to historical high at RM4 plus in near term. This is my 2 cents opinion la.

I'm making 30% paper loss on this stock but i'm still sleep well. Haha. Please don't blame other to take you to Holland, take your own risk for your decision.

USD is better, will increase further next year once the interest hike is announced by FED.

Shidayea, are you a translator? haha, good job.

http://biz.sinchew.com.my/node/106579?tid=7

If PETRONAS no project at all, Malaysia Gov can't survive ald. Haha. But not likely will happen.

Breadman, I have to agree that profit margin for SKP's existing contract is unchanged. But what we need to concern is how many contract still can awarded from PETRONAS and Petrobras and what is the profit margin of those future contract. I know SKP's order book is 2xbillion but 50% of order book is to built and run a vessel for Petrobras but contract is 5 years and 8 years mean SKP still need new contract to maintain their growth and repay their debt as well. As PETRONAS chairman mentioned, they hope those downstream supply can stand with them in this crisis and hope that those service provider can reduce their fee. SKP is one of the big service provider of PETRONAS.

Two factor will affect the oil price- shale oil supply and economy recovery (US, Europe, Japan and China) in 2015. If both also negative, then oil price will drop again. What we see now, Europe and Japan are struggling, China GDP growth is slowing down. US is still under observed.

China buying for strategic oil reserve, not for usual use. If China store at other country, is it still called strategic oil reserve? Yes, they can do so but high risk lo. Where can China store? Korea, Japan, Vietnam, Taiwan or India? Please think about it.

Committed? Any contract signed? Everyday the excess 1 million barrel of crude oil in 2015 mean one month is 30m barrel in excess. What I know is China is still building their crude oil storage facility, even though China has enough money to absorb but they don't have enough space to store extra crude oil.

Agree with Shareholderz, crude oil price just temporarily rebound. Will drop further because the supply will more than demand will incurred in 2015 1st half.

cheeseburger, if you only talking abt cashflow, i'm agree that there is not immediate impact to long term borrowing. But in accounting view, there is huge impact to profit and loss of SKP because at the end of the financial year, SKP have to revalued the all the monetary items (bank, trade receivables, trade payables and borrowing) at closing currency rate. Any loss arising will hit to Profit and loss of SKP for that financial year.

Not likely will currency control again because this will create bad reputation to our country and 1997 crisis was someone attack our currency purposely but this time definitely not attack to our currency. Even there is, nowadays, our reserves is better than 1997, can support the currency without any help from third party.

If want to invest in this stock, better focus on any news relating to crude oil price fluctuation, PETRONAS and Petrobras.

Interest hike mean US dollar will goes up, ringgit and crude oil will drop further as well as stock market.

http://www.hellenicshippingnews.com/bottom-for-oil-in-2015-is-35-kloza/

Please, dun ask me to quote the reference. Everyday, read so much article, how to find the reference. This is the only time. But I need clarify that I dun think the crude oil price will drop to US35, this is my opinion only.

Some expert said will reach US35 per barrel. But surely will break US60. But I think US40 is too low, Shale oil and even OPEC member can't stand at this price.

For worldwide view, I think is the correct decision for OPEC to give up their control over crude oil price because US1xx is ridiculous price level. Now is fair for market, let demand and supply decide the price. Actually is good for economy recovery because this will lead to cost reduction.

I think the downtrend only will end when the oil price start stabilise and rebound. But for next few month. the oil price will drop further because the Shale oil in US still produce, they will cut production only when they can't suffer but sure not in near term, probably next year.

Muscle, are you going to buy at low price for average down the cost price?

If i'm not wrong, the debt of SKP should be more than 10billion ringgit. But I have to agree that SKP is very profitable 'but' only when the oil price stand at above USD100. LOL

Islamic fund need to forced sell their shares within 1 month 'only when' the share price above their cost price. Since SKP price is dropping like hell, I dun think they still have to forced sell their shares at a loss. Correct me if i'm wrong.

I only concern the oil price fluctuation which has impact to fundamental of SKP. Who care the Syariah list. LOL

Actually I also agree with Breadman, can you imagine brazil and Malaysia stop all their production plan? I think Brazil will collapse if doing so. Shale oil will stop their production first instead of traditional oil producer because their cost definitely higher than traditional oil producer.

I think shale oil can't stand long because losing money for every barrel they have make. When they cut production, the oil price will rebound. But the problem is how long they can stand. More long they can stand mean oil price will drop further. OPEC target is to eliminate all non-traditional oil competitor like shale oil(USA) and oil sand (Canada).

It is difficult decision for OPEC, if no action taken, the oil price will drop further ; if support oil price, will encourage shale oil producer make more oil and OPEC lose their market share. The conclusion is OPEC's influence is reduced because they can't dominate the oil market already.

Hi Joel, that is Gross profit, not net profit. They are different thing. EPS is based on net profit divided no. of shares.

Joel, how you get the figure from? What I know is 2014 Jan net profit is Just 1 billion plus (RM1,000m).Now you said 2015 Jan will be 24 billion (RM2,400 m)???

Well, different experts have their own expectation. Who you can really depend on? This expert said $50 is coming soon but what if the expectation does not come true? Will he going to suicide? LOL. Did any 'expert' expect the oil price will drop from US1xx to US7x this year? All expert only jump up and talk rubbish after the crude oil heavily drop. For me, economy is a cycle, when the oil price drop, it will stimulate the recovery of economic because it can reduce cost, when the economic become better, then the demand of oil will increase, if demand more than supply, oil price will definitely goes up again. I really don't believe the OPEC and US shale oil company can last if the price drop to US50, if so definitely they will bankrupt because it is burning their reserve even though they have a lot reserve(oil money). You think they will still producing the oil to meet your need just for their social obligation even they are loss making? LOL

Kenny, this is called share market. The share market is influenced by company financial result, prospective and also emotional trading. If everyone is fundamental investor and the market is always show rational, how the big fund like CPF take money from US.

one new share for every six shares at RM1.90.

Right issue

If u r fundamental investor, never follow those big fund, just focus on the profitability of company and their growth. SKP is O&G service provider, not selling crude oil. Most of their revenue was secured by huge order book due to long term contract awarded. Unless the crude oil keep dropping for few years, and O&G company like PETRONAS and Petrobras slow down their production, if not, SKP still can get the contract awarded from these two main customers. If I'm not wrong, SKP is the biggest O&G service provider in Asia.

i3i2i1, u get lowest price? Good job.

Activetrader, come on, I also know the received payment is in progress, but also same to expenses. According to Financial reporting standards, they are using the matching concept , the USD expenses also need to recorded based on the progress so USD revenue should be high than USD expenses unless this stock is a loss making company. Another you have to know that nowadays, in accounting concept, their revenue and expenses is accrual basis instead of cash basis. The revenue is still a revenue once the service is rendered even though they don't receive in full. One more thing, I didn't said the price drop is due to USD strengthen, I just reply one of the comment regarding the USD stregthen yesterday. I just clarify what is the impact of USD strengthen.

Activetrader, do u expect their USD expenses more than their USD based customer? Petrobras is their biggest customer.

Ringgit vs USD drop is good for SKP because most of the overseas ccustomer are using USD to settle their bill. When convert to Malaysia ringgit, it will incur currency exchange gain.

They have disclaimer, even though the price can't meet their target price, they just revise down the target price, no big deal. Lol

The OPEC meeting will held at this month end with expecting no reduction of production means oil price will further drop. Although most contracts of the order book are long term but SKP still need some new contracts come in to grow and settle its high debt.