Timber division bad quarters was due to Govt tax and restriction.
That was then.
Now these are the positive factors:
1. ALL ILLEGAL LOGERS WILL GO OUT OF BUSINESS. LAST TIME GOVT ALSO DID THE SAME TO ILLEGAL STEEL IMPORTS. AND STEEL COMPANIES WERE SOLD DOWN DUE TO UNFAVOURABLE NEWS. BUT BY ROOTING OUT ILLEGAL STEEL DUMPING STOCKS LIKE MASTEEL, ANJOO AND SSTEEL LATER PERFORM SPECTACULARLY TO THE SURPRISE OF ALL.
THIS SAME SCENARIO WILL REPEAT FOR LUMBER AND PLYWOOD STOCKS AS ILLEGAL COMPETITION WILL BE WIPED OFF.
2. THE RECENT FLOOD IN HOUSTON AND THE DROUGHT IN CANADA HAVE PUSHED UP THE PRICES OF LUMBER AND PLYWOOD IN WORLD MARKETS DUE TO SHORTAGE.
3. TOKYO BUILDING STADIUM FOR OLYMPIC 2020 WILL NEED LOTS OF PLYWOOD FROM MALAYSIA
4. RIGHT NOW EVEN RECYCLE OLD NEWSPAPERS AND CARDBOARDS ARE WORTH 80 SEN A KG! SO PLYWOOD WILL EARN LOTS MONIES FOR JTIASA, WTK AND TAANN. SEE HOW TAANN INSIDERS ARE BUYING THEIR OWN SHARES?
5. SO BETTER DON'T MISS THE COMING BULL RUN IN JTIASA, WTK, CBIP, DUTALAND AND OTHER PLANTATION SHARES!!
Jtiasa timber divisions still profitable for past two q results:the results show in its financial statements under notes. The recent impairment due to write off of goodwill. I think is one time write off only bcoz its goodwill figure shows little value after the write off. Its strong ffb,Cpo n pk output I like it.....
The sarawak government has imposed very high tax on extracted log and imposed quota on extraction of timber log have certainly impact on all timber companies.
Jtiasa will become a plantation stock with turnover of palm oil will exceed 60% of the revenue in 2018. A set back in timber industry at Sarawak is expected and last 2 quarters were still shown profitable. If not because of timber industry at Sarawak, the share price of Jtiasa will not go down to Rm 1.00
simple calculation, 200k acres++, market cap 1133m. average below rm5k/ acre, planted 7-8years. fat fat tree, free you oil factory, free your plywood business. give u big forest to cut. u sendiri plant and see. rm5k/acre. 5k/acre plan cow grass also cannot la. 7-8years ask u pay for NPK and workmanship also need 10k/acres la. sell underwear all in.
One thing I would like to point out is that out of the 66m impairment, 62m is the impairment of goodwill, which is a full impairment. There is no more goodwill after this impairment. So, I think it is unlikely to have such a high impairment in near future.
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calvintaneng
56,155 posts
Posted by calvintaneng > 2017-10-30 05:39 | Report Abuse
Timber division bad quarters was due to Govt tax and restriction.
That was then.
Now these are the positive factors:
1. ALL ILLEGAL LOGERS WILL GO OUT OF BUSINESS. LAST TIME GOVT ALSO DID THE SAME TO ILLEGAL STEEL IMPORTS. AND STEEL COMPANIES WERE SOLD DOWN DUE TO UNFAVOURABLE NEWS. BUT BY ROOTING OUT ILLEGAL STEEL DUMPING STOCKS LIKE MASTEEL, ANJOO AND SSTEEL LATER PERFORM SPECTACULARLY TO THE SURPRISE OF ALL.
THIS SAME SCENARIO WILL REPEAT FOR LUMBER AND PLYWOOD STOCKS AS ILLEGAL COMPETITION WILL BE WIPED OFF.
2. THE RECENT FLOOD IN HOUSTON AND THE DROUGHT IN CANADA HAVE PUSHED UP THE PRICES OF LUMBER AND PLYWOOD IN WORLD MARKETS DUE TO SHORTAGE.
3. TOKYO BUILDING STADIUM FOR OLYMPIC 2020 WILL NEED LOTS OF PLYWOOD FROM MALAYSIA
4. RIGHT NOW EVEN RECYCLE OLD NEWSPAPERS AND CARDBOARDS ARE WORTH 80 SEN A KG! SO PLYWOOD WILL EARN LOTS MONIES FOR JTIASA, WTK AND TAANN. SEE HOW TAANN INSIDERS ARE BUYING THEIR OWN SHARES?
5. SO BETTER DON'T MISS THE COMING BULL RUN IN JTIASA, WTK, CBIP, DUTALAND AND OTHER PLANTATION SHARES!!