balance sheet, P and L, Cash flow are all inter linked...if analysts just extrapolate one off items as recurring items, all forecasts are wrong.

RHB research , 25 Jewels dated 5 May 2017

Dnex
recurring net profits
2016 $ 139 million
2017 F $ 188 million
2018 F $ 199 million

well....if the 2016 profits are mainly one off accounting stuffs and not operating profits, can RHB be correct?

The truth will be known when the company releases its Q1 2017 results.


In the meantime, any thing can happen.

Normally when you see high deferred tax reversal, you think not a bad company to have this. The company must must made a lot of money to have this huge deferred tax account. Right?

Wrong!

This huge deferred tax account is born out of the valuations of the oil fields and nothing to do with profits having ever been made.

what is that negative good will?

Let say you pay $ 100 for the oil field. Experts say the field is worth $ 150. Well....you have $ 50 worth of negative good will.

experts again......hahaha

the whole industry is a joke.

Profits used to be what you get for selling stuffs

Nowadays, profits is what you get for hiring experts.

1818

The market will take its own sweet time.
cannot be rushed.

actually the way round. They seemed unable to make money from their logistics and warehousing division., if you look at the assets employed.



Gabriel Khoo > May 5, 2017 04:09 PM | Report Abuse

dragged by property division, otherwise logistic and warehouse division should deserve higher PE (after factor in their newly last mile biz)

many years ago, there used to be an item known as Extraordinary Items where people can throw all their rubbish that passes through the P & L.

Some bright sparks in Wall Street convinced everybody to change international accounting standards to do away with this.

Wall Street rules.

from sadness to heart attack and death

WinWinAirAsia > May 5, 2017 12:04 PM | Report Abuse

what will happened if i have the iwcity share?

I think factor X is very important to a share price.

I know traditional value investors don't agree with me

day to day fluctuations more random...can we revisit the price in 3 months?

I think factor X is very important to a share price.

I know traditional value investors don't agree with me

day to day fluctuations more random...can we revisit the price in 3 months?

Deferred tax reversal as the main source of profits, negative goodwill as the main source of profits both coming from the merger accounting in oil and gas industry...I think the accounting profession needs a big revamp and I know all these creative accounting came from and are started by Americans.
I hate all these creative accounting stuffs.

HHnW >
You caught the interesting point on their Profit.....good observation.

all these border permit stuffs............dream project of these UMNO Putras...monopoly money misusing government powers...

all these years, no such tax, then all of a sudden, somebody dreams it up.

what the goose can do, the gender can also do....there will be more and more nonsense in future.

does every UMNO putra just want to dream up more and more monopoly profits?

why can't these UMNO putras compete in the free market and make their living like the rest of us?

ok..that wold have been better.

now that you mentioned it, I remember noticing it a couple of weeks back when I bought at 50 sen...but forgot about it this morning.
lets just say both Azman and Zainal would know every thing there is to know....one is the seller, the other is the buyer. The buyer thinks he can do a lot of stuffs with it and the seller thinks there is nothing more he can do.


===============================

MD Zainal Abidin acquired on:
17th Aug 2016 - 123.78mio shares at 0.25 from Censof
19th Sep 2016 - 35mio shares at 0.265 from Censof
10th Apr 2017 - 130mio shares at 0.43 from Azman Karim (who owns since 193.5mio shares before this disposal to Zainal Abidin.....)

how much is a share worth if without X factor?


especially if the share rise is on the X factor as much as on fundamentals.

Hot, very hot...seems to attract same kind of crowd as Hibiscus earlier this year and Vivocom last year.

That is the main reason I wrote this.

You don't see me writing on other companies I just sold.

Sarawak-based marine engineering and infrastructure specialist Hock Seng Lee Berhad (HSL) has achieved sound progress across its sizeable project order book for the nine months up to 30 September 2016.



the words marine engineering already enough to frighten people off........lol

I have substantial sums in EPF account that remains untouched. Been thinking about it. I am also very comfortable in current arrangement because not touching it is very comforting and reassuring.

so, we will see. If I am making 40% a year...I don't need anymore injections. But making 40% a year also makes me greedy to inject more. Tough decision.

But 2016 operating after tax profit is $ 10 million


Tai KT my 2cents,
people buy base on the future prospects, this is way the price move up sharply.
if you incur the net current asset and around 50m of profit last year

limited money. Some times very difficult to decide where to put long term funds.

For really long term funds, I have decided on WCE and Aeon Cr at the moment.

very good work, Icon.....

But not sure it will reach KYY because he says he doesn't want to open i3 anymore.

end of 3 months, we will re visit.


y orangbaru77 > May 4, 2017 08:43 PM | Report Abuse

folks..for ur perusal

https://klse.i3investor.com/blogs/thegoldeneyes007/121746.jsp

America is the country that invents and promotes all kinds of crazy creative accounting...and they refuse to adopt international standards.


Back in the days US corporates likes to use merger to make their accounts looks good by bringing the PE down and jacking up EPS.

yes, he is talking about 20% growth in operating profits which is about $ 10 million for 2016.






jontfj > May 4, 2017 07:47 PM | Report Abuse

whatever, I trust MD's words, at lease 20% Profit and 30% revenue growth for FY2017.

raid

If things work out well, any thing can happen

your 40 - $ 60 million figure are just being thrown in the air.

Anasuria cluster...

Ping got 50%....they got 30% of Ping, meaning 15% of Anasuria. The way they do merger accounting its tough showing a profit. , even if they get positive cash flows.

Other activities...who knows....?

you want to bet, you bet la. But this kind of company always promise more than they can deliver.....those who want to buy for long term can always buy on consolidation phase.....it will come....

this raid is pure nonsense.

Go and buy la...I don't care



stockraider > May 4, 2017 07:06 PM | Report Abuse

The maintainable profit of Dnex is Rm 40m to Rm 60m Pa....that means at current price....PE about 21x loh....!!

Going fwd they is some growth loh....!!
Dnex raider call is neutral loh...!!

If I disturb the horse before its time, people will kill me.

of course la...what do you expect?
disturb the horse before its time?


Posted by lizi > May 4, 2017 07:10 PM | Report Abuse

wah, stockman very naughty, after sell then warn people. when riding, keep quiet.

I hear that when it rains, it always pours.

can cancel Duke 3 or not?

Duke 3 comes with a huge government subsidy.

can cancel Duke 3 or not?

I never hear of any charge against him......

108) stockmanmy +27.1% 127073.88 http://klse.i3investor.com/servlets/cube/stockmanmy.jsp
14% LEONFB 0.715 0.465 25700|14% AIRASIA 3.360 2.290 5200|12% SAM 6.510 4.900 2400|12% AAX 0.460 0.360 33200|12% SCIENTX 8.200 6.700 1800|10% SCGM 4.250+0.02 3.400 2900|9% MAGNI 4.940+0.06 4.190 2400|9% AEONCR 17.000 14.360 700|7% CSCSTEL 1.960 2.150 4600 (126802.50:271.38|240.12)


for a more or less blue chips portfolio, it is doing very well...and Air Asia, AAX and Aeon Cr still got plenty of legs.

Dr Chan Yan Chong is wrong on every point.

Malaysia no law to charge him?

calvin the estate agent cum value investor...not suited to Malaysia boleh stock market.

Malaysia boleh stock market needs Malaysia boleh skills.

I am not doing a PhD thesis...but the main point is........


in another word....$33.9 million deferred tax write backs and $ 89.6 negative good will on consolidation.
The way they do merger accounting at Hibiscus level, it is very difficult for them to show a profit in future years even if they get positive cashflows.





greatful > May 4, 2017 06:26 PM | Report Abuse

This is bias post.

my intentions are honorable. I rode the tiger from around 50 sens and sold this morning.


jayalbert > May 4, 2017 05:50 PM | Report Abuse

@stockmanmy, i always

in another word....$33.9 million deferred tax write backs and $ 89.6 negative good will on consolidation.
The way they do merger accounting at Hibiscus level, it is very difficult for them to show a profit in future years even if they get positive cashflows.





prudencee if u guys look at the annual report, out of $123.5million in share of results from associates, only 33.9million is the share of profit, the rest ($89.6million) is simply a one-off revaluation gain

Therefore, the PE excluding the revaluation gain is >30

charles, cheoky...all the bad characteristics of poor with you....better watch out.

ak is not a seller at this price

no idea about that
but the market has run up quite a lot.
I have decided to liquidate all high volume over extended shares and only kept low volume not so speculative shares. Any share remaining in my portfolio has a very good reason it is still there.

it is good to sell early, response fast to changes but bad to be nervous, good to be calm....very tricky balancing act.







choop818 > May 4, 2017 03:52 PM | Report Abuse

Stockmanmy, your Dnex research coupled with the Bandar Malaysia setback, may have a domino effect? Sell in May?

one more thing

rich....observe KYY
poor....blame/criticise KYY

$ 1.50 is fair price....but I would not buy at that price because I do not know who forks the bill for the $ 700 million deposit.

$ 1.50 is fair price.

I think the government gets voter support for this cancellation


that is most important.

but author didn't make money...I do.....

hahahahaha

but Dynamic investing, you can use forever because it is very flexible one.
like water...seeps every where.


乘风破浪低买高卖 > May 4, 2017 03:16 PM | Report Abuse

stockmanmy

never mind ...sky...go buy Dnex...nobody stops you.

no refunds....I hope.

The smarter you try to be, the worse you do in investment

only partially true.

to do well, you have to learn from KYY...be steady, not nervous.

know what you are betting, why you are betting.

most the time, the market do go up especially rest of this year. You have to remain steady and know what you are betting.

considering the 1 MDB corruption, I do not know what the writer is trying to say.