Extract from 2023 Annual Report

1. Out of the Group’s total planted area of 69,589 hectares, about 3% of the palms are more than 18 years of age. The average age of palms is 14 years, which is within the prime production bracket. Efforts and plans are being made to prepare for replanting to replace the ageing palms

2. According to the Malaysian Palm Oil Council, CPO prices are expected to trade in the range of RM3,700 to RM4,200 per MT during the second half of 2023 and projected to surge above RM4,300 per MT going into 2024 due to the prevailing market uncertainties on the supply of other vegetable oils and our nationwide production remaining below expectations

3. costs including fertilizer and fuel, which had eased from the previous highs to remain elevated due to several economic hurdles caused by ongoing war, political conflicts, sputtering economy in China, tightened fuel supply and the threats of a lingering El-Nino which will continue to have a direct significant impact on the Group’s financial performance. Palm oil in itself is an unrivalled versatile source of essential products in food and biodiesel, and in that sense, the outlook for the Group’s mainstay Oil Palm division remains bright as the CPO prices are expected to be well supported.

Agree and understand these are all projections, no worries.

Talking about turning more CPO into Biofuel.. The Indonesian government has set an ambitious goal to raise the market share of electric vehicles in Indonesia to 25% of total vehicle sales in 2030. That's a lot of effort putting in place to reduce the import of fossil fuels into the country

Hi Calvin,

Thanks so much for your swift response!! Got it. The RM93.75 mil that you posted is essentially the loans less cash and cash equivalent alike. Crystal clear.

Besides, I have a little concern about Jtiasa weighted average palm age (95% of the trees) which is about 14 ~ 15 years+-, I understand that this is the best time for the company to harvest more FFB while the CPO price is so much higher compared to the year of 2013, 2015, 2016, 2019 & 2020. But at the same time, replanting will be something to be considered in the near future (in next 5 - 6 yrs perhaps, when the CPO price is low) IF the company wanna keep the business rolling for the longest time, that's what United Plantation is doing. What would be the costs to gradually replant such a huge piece of land (cost/ acres)?, what would be the damage to the FCF hence the dividend to be paid to us in the future..

Thanks

Good day to you, Calvin,

"JAYA TIASA Used to Have Rm1.4 Billions borrowings Now debt pared down to only Rm93 Millions"

As of my record, Jtiasa highest borrowing in the past 10 years was in the year 2017 (1.07Bil), and in the latest Q4 quarterly report, the borrowing is at RM348 mil (short-term + long-term borrowings).

May I know where the RM93 mil debts are derived from? Or we are not referring to the same thing?

Thanks in advance!

Hi Ali Baba, 1.79 billion within 2qtrs? This may not be what it means I think. 1.79b is the accumulated order book received from the clients as at 30 June 2014, but it doesn't means the 1.79b order can be delivered within the next 2 qrts, in my opinion..

Correct me if I'm wrong.

There must be a big enough problem which involve huge economical losses to bring the whole entire stock market down, right?

Hi Mr. Koon.

1. profit from share investment is tax free in Malaysia.
Absolutely love it!

2. You do not have to deal with people which is the most difficult from my
experience, as you can never satisfy everybody. Another advantage is that there is no bad debt, all cash deal.
This is why you'll prefer investment rather than running another business. I slowly see where you are coming from.

Thanksss!!

hi bsngpg, I kinda agreed with you on this statement "We as a small investor ..Bursa is certainly not a place to turn us the mass ordinary players into millionaires. It will only expedite the growth of our wealth at a reasonable pace if we invested carefully."

If I understand it correctly,

1. Stop day dreaming to become a quick millionaire in short term from equity market

2. It is still way to growth our wealth in equity market if we invested carefully, as long it growth steadily in longer term.

Met a friend over a dinner and he keep switching his money from one counter to another hoping that the money double or triple within month... scary!

In my opinion, Jtiasa management has to do what they have to do to turn the business around. May it be spending more in CAPEX or getting more loans. Don't think they are here to plan to fail and business is always about having a little more manageable risk for better earning in long run.

I noticed difference individual has difference definition (in term of duration) of what it means by "long run", personally, I will keep it as long as Jtiasa business still running (making good $$). Read an article from cold eye which sounds pretty similar with a saying by Warren Buffett - If you wanna fish, equip yourself to go for the biggest fish in the ocean [right target] and wait patiently [long term].

Mr. Koon is giving his very valuable comments about JTiasa, so do many others here too (truly respect all this gurus). Which really help to make us a better investors!! So keep it up guys....

Hope to meet more of you this afternoon... it's my lovely hometown "I'm coming home.. I'm coming home...!!!"

Have a great great weekend ahead and for those who're going to Ipoh, drive safe and see you guys there!

Just my little tiny opinion, paisei paisei!

You guys are simply "The Best"!

Mr. Koon, I'll see you tomorrow!

Hi Halopanda, thank you so much for the report.

The 100 acres land is something interest me, it is very much just the beginning for the company and if the company manage it well it's gonna contribute pretty handsome revenue to the company. Venture into O&G industry, I'm 50/50 about it but who knows hahaha.

Thanks again, halopanda.

Hi halopanda, can send me a copy too - kennethwy@gmail.com

Thanks in advance halopanda