Quite fascinating and amusing at the same time looking at Hibiscus share price. It is as if oil drop to $90. Even at $90, it still makes tonnes of money. Unless there is other problem like accounting matters. Anyway, let's see how it end.
My 2c. OnG was deem a sunset industry because of electric vehicle and also ESG. With inflation n everything increasing such as food, I wonder how affordable can electric vehicle gets. Tesla too announce increase in pricing. Even Europe now keeping quiet on ESG and Germany reviving their coal power plant for electricity.
Come to think of it between semicon that has also drop much recently and revenue, I think semicon is more attractive. Some have lower PE than revenue. At least their clientele are global. Good luck all. I give revenue a skip.
Suddenly everyone so pessimistic on Revenue? Come to think of it, what else do they HV in the pipeline apart from rolling out more ETC machine? I think the growth will not be that significant anymore. If their plan is on banking on more ETC Machine in Malaysia, to me current price is expensive
So now the question is what is at what price it become undervalue. Without oversea expansion (yet. We have not heard any updates), no digital banking (confirm), China hunting down Mr. Ma (which i heard from the news) which eventually affecting the entire chain and thus affect revenue......so what price is consider good price? is RM 1 cheap? if it drop to 80c, is it cheaper? This 1 i really dunno how to value. Anyone can help??
When revenue hits 2.42, they have grand plan to expand to oversea like Cambodia or Vietnam but if not mistaken, the money raise for that plan was use to buy more ETC machine. So i wonder the plan to expand oversea has been shelf? If it still in the pipeline, do they need to raise new cash? I believed the expansion is not merely plugging in the ETC machine. There must be alot of backbone insfrastructure needed. Also, they failed in getting the digital banking license, it seems like the growth is capped. No longer explosive. Not to mentioned now Alibaba having some regulatory issues which effect Alipay and therefore affect revenue? Sorry if the info above is incorrect. In the mist of gathering info.
You see it as the glass is half empty while i see it as half full. With the lockdown for the past 2 weeks, oil still above 100/barrel. Will the lockdown be forever? Once reopen, there will be mad rush to replenish almost everything and oil is not an exemption.
Hibiscus buy over Sapura asset??? Oh Dear......Hibiscus has said many times that they will not buy over anything when oil price is sky high. There is no discount and bargain to it. I just hope Hibiscus arm does not get twisted and force to do CSR to the gomen.......bailout.
"Toyoplas has three manufacturing plants located in China; Shanghai, Dongguan, and Nanning"
Found the above info in AR. Shanghai is already in the lockdown for the past 17 days and no sight of light at the end of the tunnel. Dongguan also facing the same and many factories were asked to shut down. Not sure about Nanning but I think it will be the same fate even if the open, raw material will be a challenge as logistic has shut down as well. China plant contribute 160M out of 420M of yearly revenue. It is about 40% and is a significant contribution. Prolong shutdown will definitely affect the revenue as manufacturing is top KPS's revenue contributors
Not sure if they can fully pass on the cost. The client will also want to manage their cost. Hence, they will nd to absorb some of it and lead to margin compression. Now the most worrying is the labor. There is shortage of labor in all industries cum with increase of min wages. Finally us the manufacturing plant in china. Can't remember where it is located but Shanghai is having a full lock down. Many semicon factory shutdown. Now heard Beijing is also facing the same.
Sprint only contributes 12mil to the profit and if the payment received it fully use to pay debt, it will reduce the interest cost. So divesting Sprint does not affect KPS much. Initially I thought it will be the similar case like Puncak those day which it slaughter the the only goose that laid the golden egg but KPS is kinda different case. Furthermore, if interest rate were to rise, then pare down the debt will be ideal. What I most concerned is cost of material, the cost of shipping and cost of labor. All of this has risen a lot and how much can it be pass onto the consumers.
If oil continue to stay above $100 till end of the year, repsol acquisition is fully paid off. It is as if you bought a hse and 2 yrs rental, it fully paid off. By then if oil drop to $80 also doesn't matter la.....coz it is consider free a'dy. Mana mau cari ohh...
Fake offer? Lol .., U know how many ppl eyeing that big juicy meat ah? Non profit org? Really? The edge says this deal is win win. How does extending toll will be win win leh for the rakyat? I better dun say too much later kena invite drink kopi?
Also, all toll got expiry date 1 ma being litrak in 2030. If gomen allowed Gamuda to extend, ppl will go crazy loh. After reap profit so many yrs still want to extend ah? but now selling to another non-profit, itu macam can legally extend loh. Smart & sprint, I think merely breakeven. Furthermore if gomen implement into the city tax, it will drive down toll collection further. Blessing in disguise or was it intentionally?
Deja Vu?? Masteel in the making. Bitten once twice shy. But I can guarantee you this will not be the last. There is always new sheep to be slaughter. But the sifu and his elite group will always be the winner and the sorry about the rest herd follower.
Wrote a length msg but see the quack here, sudah lah. Day in day out shout oil price drop but then if really drop, did you gain from it?. No nd answer me Le. Answer truthfully to urself is good enough. I do wish oil price drop to between $80 to $90 and stay there st for few yrs. Too high invite too many investor to drill new well which will eventually lead to oversupply
To king kong, this is blessing in disguise. Like I said, not good for brent oil above $100 for few short months. I rather have it at $80-$90 all year long. Why? Because this is where hibiscus can make a comfortable profit but yet it deter others O&G player from investing more for expansion. Just like gloves, when the margin is si beh good, everyone jump into the bandwagon and true enough, it collapse.
90c coming? I will still sit here and wait for this flower to bloom. Like I say, as long crude it above $80-$85, it is very good for hibiscus a'dy. Anything higher is considered a bonus. In fact, If I can choose, I rather have 12 months the crude oil between $80-$85 compared to 3 months of $130. Ada logic o not?