Good morning Calvin and ALL PMC Investors(Short, Medium and Long Term included)

I have done the due diligence work prior to Investing in PMC and I am convinced that PMC business model will enable PMC to gain market share against established players in targeted countries as long as it continues to be professionally managed which is also in MUIIND long term business interest.

It is also in MUIIND interest to drive up performance in Top and Bottom line of PMC business of making and selling chocolates...Between TUDOR and TANGO, I prefer TUDOR mainly based on its taste..

I have been thinking on the tax implication of Capital pay-out pertaining to whether the capital pay-out is subjected to tax or otherwise. If the capital pay-out is subjected to tax then I am more in favour of a special dividend payment from PMC to all shareholders instead of Capital pay-out for the following reasons

-If PMC issues out Capital Payment to MUIIND and the minority shareholders,will this will be treated as INCOME and is subjected to Tax

-If PMC pays a special dividend then this is not taxable anymore as dividend is AFTER tax.. all shareholders do not have to pay tax on dividend payments if this is effected in 2014 or beginning 2015 right??

What was Mr Ho Chun Fatt advise on the tax implication on capital pay-out versus Special dividend payment??

I understand the rationale of capital reduction, capital pay-out, share consolidation resulting in higher EPS and higher share price but this is just merely an accounting treatment to reduce number of shares of PMC and create higher share price with reduced liquidity. What value does this brings to the real business of making and selling chocolates, investment in production capacity, investment in new products, growing market share, driving up top and bottom line. I do not see any material influence whatsoever of this capital reduction cum share consolidation exercise on growing the chocolate business.

Would appreciate your input on the above particularly on the Tax implications of Capital Pay-out versus Special Dividend Payment.

Dear All Fellow Investors of PMC,
In life ..always remember don't complicate an understanding of a situation which you have no idea or knowledge whatsoever or read too much into a situation when there is nothing more to read into. Do you know why? The answer is very simple...situation that occurs without your own control had occurred and you have no info on what actually happened...if you read too much into it, you may come to an erroneous interpretation that results in an erroneous decision which you may regret much later but not now.

As an investor in PMC... please ask yourself what do you really know about PMC business? As far as I am concerned I want to focus my attention on whether PMC makes operational profits for its chocolate manufacturing and sales of chocolates to the global consumer. That is my primary focus in the upcoming Q4 2013 results and the AR 2013 which will be released in Feb/March 2014

In my personal opinion PMC is not quite there as I still see gaps in the Malaysian market that means there are also gaps in the other marketplace as well and its overall marketing mix need to be fine tuned and managed ore efficiently.....it is a very simple business model ..PMC is in the business of making and selling chocolates. Have any one of you tried its chocolates, look at its packaging design, open up the chocolate, smell it first before tasting it...and after tasting it.. please ask yourself honestly whether you want to buy PMC chocolates again...I did ask myself this question and my response was an emphatic "YES I WANT TO BUY TUDOR GOLD AGAIN"...and I had bought it several times after finishing it...what does that mean...it means that TUDOR GOLD has REPEAT BUSINESS POTENTIAL... I did not see any TUDOR GOLD advertisement prior to purchase but after eating it, I would like to buy TUDOR GOLD again.....So TUDOR GOLD has REPEAT BUSINESS POTENTIAL..TUDOR GOLD is a POTENTIAL FUTURE CHAMPION.

Why are you fussing over whether the price will drop further, how much it will drop, what is TP, why CFO resigned...please understand that one swallow does not make a summer...so don't waste precious time on these irrelevant questions anymore...you are unnecessarily wasting much energy over much ado about nothing really..and even if you do know you cant do anything about it. Just focus on WHAT YOU CAN DO, WHAT IS CONTROLLABLE BY YOU..

What you need to focus on is whether PMC business model can really give PMC the competitive edge in winning market share against established players.. That should be your primary question BEFORE becoming an investor. If you had not done that due diligence then you are just a speculator...you might as well focus your energy and time to speculate in the MOST SPECULATIVE STOCKS in Bursa...why come to PMC..PMC will not give you the stupendous amount of adrenalin that you desire, the pangs of exhilarations and delights of being a speculator...it can also give you immense bouts of mental stress in the process and your health may nose dive as a result of this..
Oh yes some may know how to read TA but a little knowledge is a very dangerous thing as you may get swollen headed and one success may lead you to supreme over confidence and that may inadvertently lead to a big DISASTER in the future and when you regret about it..it maybe a wee bit too late.

The PROFESSIONAL TRADERS work with ONLINE complex TA algorithm programmes...you guys will never have a chance against these professional traders although some of you may think that you are indeed at professional trader class. If you are indeed a professional trader, why are you in PMC forum??? The fact that you are in PMC forum means you have not reached professional trader class competency yet...yes a professional trader class wannabe but not there as yet..
So we are all investors of PMC, We are not professional traders using complex algorithms TA software programmes to trade professionally. Its business model is very simple in the sense that PMC makes and sells chocolates. PMC must make chocolates competitively and earn reasonable profits by selling to the global consumers as this is their corporate mission. If PMC makes operational profits and increases sales revenue and EBIT growth consistently then by all means hold onto the shares. If not sell the shares. It is just that simple.

One last thing I would like to share with you...I do indeed see gaps in PMC marketing mix and that is already in the price. Conversely if these marketing gaps are plugged in Malaysia and in the other countries which it exports to, what will that mean to the sales and bottom line growth of PMC... Well your guess is as good as anybody...including mine. My take is if these gaps are plugged in the targeted countries it exports to , the sales revenue and Profit will be very much higher than what it is right now. Now do you understand what I am driving at?? Higher sales with higher profits will lead to
HIGHER SHARE PRICE.

Good Night

Berhati hati dan mepunyai sikap yg objektif ada lah mustahak para pelabur pelabur saham...

Tak biarkan emosi emosi dan khabar khabar angin negative mempengaruhi keputusan anda ada lah mustahak juga

Bila nak beli, Bila nak jual , ini lah kemahiran yang penting juga

Jangan beli PMC bila harga PMC dah melangit

Beli bila harga PMC rendah, takda volume , sikit orang mahu beli macam setakat ni

Ada kah ini masa keemasan nak beli saham PMC, Ini terpulang kepada anda

Tetapi jangan lah sia siakan masa keemasan ini, membiarkan masa keemasan ini terbang

Jangan lah ikut orang orang lain beli bila volume dah tinggi...

Masa keemamasan beli ia lah bila harga masih rendah, volume masih rendah, ramai orang takut, ramai orang tak mahu beli

..............Macam masa ini ......

Kalau tunggu PMC Annual Report tiba, buka and baca kandungan kandungan AR...harga PMC dah MELANGIT..!!!

sifu sifu saham masa ni berkata...
"Sekarang ia lah OPPORTUNITY BUYING TIME...Kenapa? Sebab Takda Volume, harga masih RENDAH...Bila Volume datang..Tak boleh kutip saham PMC dengan harga yang rendah setakat ni"

Sila lihat dan ikut sifu sifu saham berpengalaman yang sedang megutipkan saham saham PMC setakat ini dan beberapa hari yang lalu tanpa di-ketahui olen pelabur pelabur saham ...

Ini kali lah PELUANG KEEMASAN membeli saham PMC !!

Both PUNCAK and PUNCAK-WA Gapped Down today and entered into Ichimoku Kinko Hyo clouds... signalling hazy cloudy days ahead...looks like downtrend had started today and may continue for a while...Force index indicate more selling pressure ahead as it turned negative....Price went below 50 days MA but is above 200 days MA... MFI , MACD is trending down...hazy days are ahead...

Dear All Investors of PMC,

All of you have invested in PMC at varying entry prices best known to yourself and based on your comfort level. Some of you maybe genuine long term investors ,some maybe hoping for a quick punt but unfortunately timing was against you , some of you had professed to be brave hearted long term investors outwardly but really chicken hearted inwardly as price drops and some of you had already cashed out and waiting for good entry price....well that is a marvellous mix of investors!! and the beauty of all these is all of us are together in i3 forum actively talking, debating, discussing, hotly debating, throwing accusations, attacking each other furiously, venting lots of energy ...all together in i3 PMC forum...Isn't that a beautiful experience??? What is the gluing factor for all these happenings?? The answer is PMC PMC PMC PMC PMC PMC PMC PMC PMC PMC PMC PMC.........PMC

Please ask yourself honestly..."Why do I want invest in PMC? What is the basis of my decision making? Of course you want capital gain in due course or capital gain yesterday...the next question is can you realize capital gain now? most would shake their heads and say nothing... feeling down and very exhausted by the downward price movement... nevertheless all is not doom and gloom...you are still alive and can afford PMC chocolate right ?...I am eating one right now...the TUDOR GOLD Butterscotch.....the packaging is appealing ...the butterscotch aroma hits me when the packaging was open...and the taste was creamy smooth and exquisite....this set me thinking a lot...PMC has a winner here in TUDOR GOLD chocolates but this is the FUTURE CHAMPION...TUDOR is made in Malaysia with Malaysian made raw materials, Malaysia labour and is exported worldwide...

Before I became an investor of PMC, I had done a bit of homework. I went to quite a number of HTOs to find out actual state of affairs of PMC chocolates on shelf display and its retail selling price versus the established players...I did see gaps in merchandising display in most HTOs...Next I look through the quarterly reports and the 2012 annual reports to try to understand the financial status....although PMC had basically broke even operationally I did however noticed that PMC is cash rich and has lost of quoted and unquoted investments. The graham net net intrinsic valuation according to kcchongnz is at least 30 cents. PMC also sold a building in Singapore and that will reduce overheads a fair bit. Moreover the factory now in Shah alam is running on 3 shifts just to keep up with current festive sales orders...

Just sit back, relax yourself, open a TUDOR GOLD and savour its aroma, creamy smooth texture and its exquisite taste...having tasted it...would you buy this again... the answer is an emphatic yes...what is the future implication for PMC.. The real implication is once a consumer has tasted TUDOR GOLD, the chance of repeat purchase is very high...so what does PMC need to do...I see opportunities to review current mix, rejig or retool it and I wont be surprised that PMC can easily increase its revenue by + 30% to +50% in 2014. What is the future impact on its Earnings, EPS and future share price?? Just think over this...Imagine multinational brands spend millions to create brand awareness, top of mind recall just to induce consumer to try and hopefully create repeat purchase of its consumer products. Here PMC has a product in TUDOR GOLD that can create REAPEAT PURCHASE once they had tasted it...The price is affordable to every consumer in the world as it is priced reasonably. Its packaging is appealing, aroma, texture is smooth creamy and taste good.

Today most of you are feeling down as PMC is undergoing price pressure due to sudden CFO resignation or "forced resignation" as some may put it and swirling rumour on uncertainty of cash payout or no cash payout...frankly the swirling rumour of the uncertainty of cash payout is the main contributory factor in the price down to 23.5 cents at todays close as there were some emotional selling today. However I also noticed that there is slow but steady accumulation taking place under the radar ...there is steady buying momentum under the radar.
I have studied PMC chocolate business model and I have confidence this business model of producing quality chocolates in Malaysia using Malaysian produced raw materials, Malaysian labour can indeed give PMC the competitive edge in winning market share against established players and generate good profits, revenue growth and good cash flows in the future years as long as PMC is managed professionally. Current gaps in the market place is a weakness now and is already reflected in the share price... however current gaps in the market place is a future revenue and profit opportunity when these gaps are filled up.
I shall be holding to my PMC share come what may as I am waiting for the Q4 2013 results that will be released in Feb/March 2014.

Good Night

Can UMNO BN work with Pakatan controlled Selangor state government? This is what it boils down to...

If your answer is NO-->SELL
If MAYBE YES--> HOLD
How long u want to Hold--> U decide as there is opportunity cost

Kukuman,
I also like the way you had brought investment in a different dimensional view on controlling shareholders as understandably so this view was honed by your years of investment experience more of bad experience rather than good.. and to do due diligence on whether these controlling shareholders does add value to minority shareholders

For PMC..at the moment it seems to be professionally managed and I will be monitoring its Q4 2013 operational performance due to be released in Feb/March 2014..

Based on the results in Feb/march 2014 I will then decide what to do... my take now is PMC has a very good business model that can generate good profits, good revenue growth and good cash-flows and later on good dividend pay-out...cash pay-out will be a good booster to minority shareholders as PMC does not really need so much cash now i.e RM 100 million. It's quarterly turnover is about RM 18 million...Assuming that revenue increase by +30% in 2014, Revenue for 2014 = RM 93.6 million and it will require at most 33 million for working capital...I personally think +30% revenue growth is LOW BALLING as it has good tasting products with appealing packaging.....PMC has only to REVIEW and RETOOL its MARKETING MIX....I wont be surprised that PMC can indeed generate more than +50% increase in Revenue for 2014...what will be the profits and EPS then???...I don't know what will be the investment amount in new capacity build up be say another 15 million...that means it need cash of say 48 or 50 million and that is rather conservative figure. Cash in bank is now say RM 100 million. So it can give out cash pay-out of RM 50 million to MUIIND and MINORITY SHAREHOLDERS without impairing its business operation at all.

With adequate cash to fund working capital and to invest in new production facilities and rewarding talents for good performance , PMC if professionally managed will be a good long term investment stock...

Kukuman,
Slater Walker was an empire builder...using debts to acquire business...his modus operandi is to jack up high PE ratings for his company before he acquires another company with low PE ratings...Very simple strategy....Use high PE to eat up small PE company using DEBTS....the result is Slater Walker acquired very diverse companies...

Tan Sri Khoo modus operandi was similar to Slater Walker...Tan Sri Khoo built up MUI to be biggest company in KLSE then but over the years his empire had crumbled...whereas Tan Sri Lee of IOI started small but built it up BIG over the years as he was the OWNER OPERATOR...Tan Sri Lee worked very hard in adding value to his company...

If one look at the results over the past 30 to 40 years, Tan Sri Lee , OWNER OPERATOR, had indeed added tremendous value to IOI Corp....whereas Tan Sri Khoo business empire had crumbled...and based on your experience you had distrusted Tan Sri Khoo as he had siphoned off money as was the case you mentioned in PM Cement....

I personally think that MUIIND is in bad financial condition now and Tan Sri Khoo cannot procrastinate anymore as he will lose MUCH MORE if interest rates spiked up suddenly in the future...So I think Tan Sri Khoo also realize that he must degear MUIIND fast to realize future values in MUIIND...For that my view is he must recruit and reward talents and retain talents who had performed...and he has to inculcate personal integrity, corporate integrity and corporate responsibility to minority shareholders and drive UP performance...If he continues with his old mindset of selling off gems then I do not see much improvement for MUIIND. He got to ask himself whether can he really grow the company....if not better sell off to persons in the likes of Tan Sri Lee who can ADD HIGHER VALUE to the MUIIND minority shareholders

Coming back to PMC...I have studied into PMC chocolate business model and I have confidence this business model can generate good profits, revenue growth and good cash flows in the future years as long as PMC is managed professionally

Kukuman,
Yes I do want your take on PMC business model of making chocolates using local materials and selling to the world...just focus on the business model itself...does PMC has a good business model that it can compete and win against established players in targeted world markets?

Assuming a hypothetical case where Tan Sri Lee of IOI is owner of PMC...what would your investment view on PMC be?

Kukuman,
You r a very experienced investor and a long term investor...I am seeking your advise on how you see PMC business of making and selling chocolates to the World....Do u view that PMC business model has unlimited opportunities?

Kukuman,
From what you had espoused so far in such a short time I gathered that u r a long term investor...u want to see the owner adding value to your invested companies as u brought up Tan sri Lee of IOI Corp..I assumed you had bought IOI in early years and is now sitting on good capital gain plus reasonable dividends.

Having said that...as an experienced investor and a long term investor...I am seeking your advise on how you see PMC business of making and selling chocolates to the World....Do u view that PMC business model has unlimited opportunities??

Kukuman,
Do you perceive that PMC cannot make good operational profits in the future and because of this son needs to preserve its cash in the bank? What is the working capital required from PMC, How much does PMC need to invest in building production assets, invest in current & new markets?

Do u sincerely believe that PMC has a good business model to manufacture & sell chocolates to the World? Chocolates are eaten every day by consumers...it is a money printing business if PMC management really manages it very well...I see unlimited opportunities in PMC business model than MUIIND business model... for starters its chocolate products is comparable in taste with the major players..its packaging design is good....that is a very good start...second PMC has cost competitiveness to win market share against established players..

You r here because u also see opportunities and potential for big profits for PMC in the near future and future years ...is that right kukuman??

but u also distrust uncle khoo's gene of siphoning money off ..right??

kukuman,
Uncle khoo got penchant for cash payout right? So how would uncle khoo used the cash payout to MUIIND? Uncle khoo penchant for PMC cash payout means he wants to sort out the financial debts that MUIIND is paying a heavy burden...it show he cares about putting MUIIND finances in better shape.... he got his legacy to manage while he is still able to do so...

PMC financial manager may want to keep cash...but too much cash is not efficient use of capital...father and son must work together to reduce financial burden of father ..right?

Without father(MUIIND) how can son be acquired(PMC) ???
Now father(MUIIND) needs financial help and son(PMC) does not need all the cash, then better for son to give cash back it does not need to father.. right??

how much cash does son(PMC) requires for its working capital, planned financial investment to boost production assets, invest in markets???

how can PMC make MUIIND balance sheet better if uncle khoo no penchant for cash payout? No penchant for cash payout means no PMC money to MUIIND..

MUIIND is father...PMC is son...both different corporate entities....son must give cash payout money to father before father can reduce financial burden for MUIIND...Right?

Kukuman,
What is your take on PMC business model, its mission statement, its management team??

Do u still perceive that uncle khoo is STILL ACTIVELY running PMCorp or the PREOFESSIONAL CEO of PMC? In the old days uncle khoo was calling all the shots...now is uncle khoo still calling all the shots??

Kukuman,
where r u? R awake? I m still waiting for you...what is your take on PMC business model, its mission statement, its management team??

if you want to buy..buy now...this is a buying opportunity..3 months later PMC will be much hugher...

Downturn for Puncak had already started....will go a long way down...don't expect any deal soon...if u want to hold ..hold...if you want to get out..get out now...

...the fact is there is no signed deal...the contract was not signed by buyer and seller...No SIGNATURES = NO DEAL...back to where its started 5 years ago...Either you HOPE & HOLD or you SELL & get out..

How long r u going to hope???

Kukuman,
I understand that you were very disappointed with uncle khoo's business mindset of selling off his crown jewel for the right price unlike other entrepreneurs like Lim Goh Tong who was very focussed in building up Genting. Every tycoon has different mindset in managing businesses...I think uncle khoo modelled himself after james slater walker who built a business empire by acquiring businesses albeit non-related business.

Now uncle Khoo is about 75 years old and before he meet his maker...I think he will like to leave a legacy behind and to do so he also realized that he must recruit talents and also reward talents to perform. Do u see that as well?

Now that you are in PMC forum, what is your take on PMC business mission statement, PMC business model in manufacturing and selling chocolates to the World?? Do you think that PMC has the competitive edge in selling Malaysian manufactured chocolates using locally sourced materials in winning market shares in targeted markets in the World?

Would appreciate your views on the above..

Thank you, Good night and Have a good sleep..

Uncle khoo once said "nothing is crown jewel to him as long as the price is right!"

Kukuman,
This statement I think personifies Uncle Khoo views on managing his crown jewels...uncle Khoo background was a banker ...he was not a builder of business like for instance the late Lim Goh Tong who really built up Genting from scratch.....

MUIIND had amassed huge debts during the good old days when it was the biggest public listed company in KLSE then and currently its share price is languishing at 20 cents from a super high of RM 32 per share...frankly this is not a right comparison as there were rights issue, bonus share issued, share spits over the years and these had to be factored in for proper comparison..

MUIIND today has amassed huge debts and must deleverage as currently all the operational profits are been eaten up by the interest on the huge debts. Is there any other option to deleverage besides selling off the crown jewels like the Corus hotel?? or other crown jewels??

I can understand now and I do respect your decision that you would prefer to invest with companies where the controlling shareholders are builders of business and not with uncle Khoo business where "nothing is crown jewel as long as the price is right"

Having said that how can uncle Khoo sell off the crown jewels if he does not create value in these crown jewels before selling it off?? I don't know what happened in the past...did uncle khoo managed to built up value in the businesses before selling it off??

Does that have any relevance on how you had perceived that the huge cash pile was siphoned off?

Kukuman,
No..what happened in 1999?

Kukuman,
I agree with you that healthy discussion is good for everybody lah..

You were a shareholder then of PM cement which had fantastic earnings and queried uncle khoo on why PMCorp kept the huge cash without having any plans for it once the cement business was sold off...Were you expecting that shareholders be rewarded with a big dividend payout then after selling off the cement business?

You had stated that uncle Khoo had taught you something that you did not know then as you were a native...I think u meant it as u were naive then...For a healthy discussion for learning exchanges please be so kind to elaborate on how you had perceived that the huge cash money was siphoned off??

Kukuman,
I do enjoy a healthy discussion and I assume you were a shareholder then of PM cement which had fantastic earnings...What was your expectation of PM Cement(minus the cement business)renamed as PMCorp to do with the huge cash then? How was the money siphoned off??

Kukuman,
I assume you were a shareholder then of PM cement which had fantastic earnings...What was your expectation of PM Cement to do with the huge cash then? How was the money siphoned off??

Yes they sold PM Cement and rename it PM Corp (without cement biz ) and got lots of cash inflow. Now in choco biz..So u queried uncle khoo then...right?

kukuman,
Which AGM you went to? MUI or PMCorp?

Kukuman,
You have convinced me that u knew when u wrote this "do u know why they are so penchant for cash pay out?"

They r so penchant for cash pay out means BIG CASH PAYOUT will happen....This is already a FACT as this was announced during last AGM.

Now I would appreciate if you would enlighten on your take on why they "really desire" BIG CASH PAYOUT...

Is it due to MUIIND cash flow issues, huge need to retire part of the huge 900 million debt or other reasons??

ofcourse he will! he ia a bitter man. after being shown the door! do u know why they are so penchant for cash pay out?

kukuman,
From what you wrote, cash pay-out will materialise. Now please advise if you could the following
- why are they so penchant for cash payout?
- MUIIND has decided for cash payout right?
- Why is MUIIND penchant for cash payout?
- Is it because MUIIND has cash flow issues or other reasons??

ofcourse he will! he ia a bitter man. after being shown the door! do u know why they are so penchant for cash pay out?

kukuman,
OK kukuman I heard you...just curious..please advise
- why are they so penchant for cash payout?
- MUIIND has decided for cash payout right?
- Why is MUIIND penchant for cash payout?
- Is it because MUIIND has cash flow issues or other reasons??

Kelvin Tsai,
The business valuation, business fundamental and most important the PMC business Model is very much intact...Fear not what rumours cometh by...just focus on doing productive research work to determine the answers to the following questions:

"Is the business model and business strategy of PMC impaired by the resignation of the CFO ?"
What is the graham net net intrinsic valuation of PMC...Is current price above or below the Intrinsic valuation??
What is the cash backing per share for PMC?

As Investors, one must try to achieve ALL of the following:
-BE 100% COLD HEARTED
-JUST SIT BACK, RELAX & ANALYSE WHAT IS GOING AROUND YOU NOW
-BE TOTALLY OBJECTIVE IN OBJECTIVE APPRASAL OF RUMOURS/NEW INFO
-DONT SUCCUMB TO EMOTIONS AND LET YOUR EMOTIONS DECIDE
-USE YOUR OBJECTIVE & ANALYTICAL BRAIN POWER TO DECIDE
-UNDERSTAND BASIC FINANCIAL INVESTMENT TOOLS ON VALUATION OF BUSINESS

There will be ups and downs but the Fundamental of PMC business and most important PMC business model itself is very much intact..

People come people go....that happens in every organization especially towards the year end...Is PMC business affected by the latest development...Is one man so critical that the entire PMC business just collapses ?? Who is the CEO of PMC? Who are the management team members in PMC?

As Investors it is important to stay focussed to ask these critical questions..

"Is the business model and business strategy of PMC impaired by the resignation of the CFO ?"
What is the graham net net intrinsic valuation of PMC...Is current price above or below the Intrinsic valuation??
What is the cash backing per share for PMC?

MUIIND the controlling shareholder who owns 70% in PMC will want cash pay-out from PMC and will decide for a cash pay-out

GROUP MISSION STATEMENT OF PMC

* To be a World Class manufacturer of quality chocolate and confectionery products at competitive prices.
* To be the premier regional marketing and distribution company for FMCG products in Asia
* To be a Strong Global owner and manager of unique brands.

Malaysia is a relatively low cost producer for Chocolates. PMC business model of manufacturing and selling to the WORLD MARKET may not be believed by Investors at large now but this business model of using Malaysia as the manufacturing base with locally sourced raw materials to export to the WORLD is a good and viable business model as this business model accords PMC the cost competitiveness to win market share against the major players in FMCG.

The challenge now rests entirely on PMC on how it strategically manages its MARKETING MIX for PMC Chocolates to achieve its Group Mission Statement and on its business attitude towards seizing opportunities in the global chocolate business market.

There will be "Endless Opportunities for PMC" if it adopts a focussed yet flexible strategic mind-set in managing its marketing mix and embrace a positive business attitude that "All Things are Possible for the Global Chocolate business"

Who is responsible for the lost luggage...Is MAS, the passenger or MAHB responsible ??

Good Morning All,
Transacted Volume of 0.62 million shares yesterday was the lowest since the uptrend began sometime in mid September 2013..This shows selling exhaustion by weaker hands and steady accumulation by stronger hands

Share price reflect future performance...if anticipated future performance is good....there will be steady accumulation characterized by thinning volume with steady price and thereafter followed by increasing volume with price increase ...if expected future performance is bad there will be increasing selling pressure with rapid downturn in share price...

With improved fundamentals in cost reduction and ANTICIPATED INCREASE of forthcoming Q4 2013 REVENUE and expectation of POSITIVE OPERATIONAL PROFITS ...downside will be very limited now...moreover graham net net values PMC at minimum value of at least 30 cents...

PMC Latest chart indicators are indicating that there will be MORE UPSIDE than downside now and lest any one doubts...PMC share price despite the recent correction is very much in BULLISH mode...

mktwatch,
Do u mean as follows:

"And your detractors would then have to...........................
......buy back PMC at higher prices !!

That is very good development on cost reduction and the increased sales of PMC chocolate products during the festive season will have a positive impact on the top and bottom line for Q4 2013 and in the future years..

Congrats to you ,all management & staff in PMC for striving towards "Par Excellence" performance..

You Will See POSITIVE RESULTS AS SOON AS FEB/MARCH 2014 QUARTERLY RESULTS

Calvin,
Do you mean Q4 2013 and 2013 Annual Report that will be reported in Feb/March 2014?

Good Evening Calvin,
Thanks for your thoughtful advise and it indeed trigger some questions which I would like your valued input as you have been with PMC for 6 years already ..

You had touched an important question in every investor mind ...I am just wondering about the timelines on when PMC can transform itself from a family "without proper income" to a family "with recurring income" ??

Yes PMC has the whole world to sell to and also PMC cannot be everywhere at the same time as new markets has its "market personality" and it takes time to penetrate, develop and grow the markets... I am very sure you understand the challenges of new markets and its market dynamics...

Please do advise your input on:
- Expected time for PMC to change its financial situation to a family with stable recurring incomes
- how would PMC plan to take over the whole world as the whole World is PMC Oyster now...

Thanks KC for your valued advice.

kcchongnz,
I agree with you that it is better to be conservatively safe than sorry in investment decision...I would assume that you allocated 20% to 30% of initial investment capital in cash investments (FDs) and the balance portfolio in core investment stocks where the selection criteria are based on graham net net intrinsic valuation , EV or Gordon growth.

The main reason you held on to these Investment stocks besides the capital appreciation is that these stocks provide higher dividend yields relative to fixed deposit rates...You will dispose these stocks once its market price exceeds the intrinsic valuations or you find a new stock with much better intrinsic valuation with better margin of safety..

Graham net net , EV, Gordon will give different values based on assumed mandatory input info for stock valuation....however risk profile varies across industry types, among stock investors...

What is the basis of your decision to select investment stocks and to dispose invested stocks ....which values will you use assuming the stock price appreciates and nears the upper price limit..and which of the three upper limit valuations (graham, EV,Gordon) has the over riding decision on targeted stock disposal and new stock selection?

In essence...Which valuation methodology will be the governing criteria in stock disposal and stock selection....what are the mandatory artful input info to utilize in arriving at valuations..

Thanks for your advise on the above..

kcchongnz,
Based on your investment approach honed through experience, what is your preferred approach towards investing in stocks?
-Graham net net
-Enterprise Value approach
-Gordon Growth

Graham net net will be useful if a company does not have much operational profits to show but is rich in liquid assets(cash, quoted & unquoted investments)

EV is a universal methodology as it applies to all companies

Gordon growth specifically applies to dividend paying stocks only

Besides the above questions, What will be your preferred approach in valuation of "turnaround stocks and growth stocks" apart from DCF to arrive at NPV basis i.e stocks with not so good financials at the moment but could be double or triple baggers in the future. Would appreciate your artful input on the rationale of making assumptions on required rate of returns, assumption of dividend growth rate, minimum hurdle rate required, assumption of EPS growth rate in the above models..

Would appreciate your advise on the above. Appreciate if you could provide attachments of your previous write ups on the above as well.

Have a good day.

Thank you and best regards,
tsurukame

Good Morning Calvin,
Thank you for detailing the path PMC is taking which all PMC shareholders will gladly support.

We are looking forward to increased sales and increasing positive operating profitability of PMC core Chocolate business and an attractive capital payback for 2013...that will undoubtedly win the continued support of Long Term Investors of PMC

Do continue the good work in transforming PMC into blue chip company in the near future and we look forward to future dividend payments in the medium term future.

Have a Good Day!!!

ipomember,
I agree with what you had said...it is important for people in general to live a balanced lifestyle and make friends...share experiences ...value relationships...and the happiest people are the ones who know that they cannot carry away all the money they had made with them when they are gone from this world...but honestly ...I find street food very good and is a joy eating it!!
Good Night

anbz,
Terima kasih atas informasi yang di kemukakan it.
Selamat malam

Calvin,
Thank you for the good info.
Good Night

From Huangbk72 info on price comparison, Tudor chocolate bar is selling at 1,050 kyats ( 180gram). Yesterday cash currency rate is USD1 = 982kyats. In comparison, Van Houten is selling 1,420 kyats.

Calvin,
Tudor is selling at 26.05% discount below Van Houten...No wonder PMC is making operational losses selling chocolates...PMC need to rely on exceptional items to make profit on YTD Q3 2013 performance ...this is not a long term business solution...

PMC must get its basics right and start making operational profits as if it continue on making operational losses in the future quarters on selling chocolates it will have serious strategic marketing mix issues going forward if this is not addressed to in due course...I seem to gain the perception that PMC is relying on low pricing strategy to gain market share although Tudor Gold has indeed a real taste advantage & product formulation advantages over its competitors ...

PMC can continue on LOW PRICE STRATEGY TO GAIN MARKET SHARE IF PMC MAKES OPERATIONAL PROFITS which can sustain the price attacks...If PMC continues with this strategy at the expense of operational profits then there is a serious need to review the overall Marketing Mix of PMC products ranges...

Shareholders want increasing Top line and Bottom Line growth in chocolate manufacturing & selling business...