Jaks is in a difficult situation. It has a lot on its plate. Its core businesses and finances are weak today. Its saviour will be successful project of the IPP in Vietnam.
As an investor, you will wish to choose to jump over a 1 foot hurdle than a 7 feet hurdle.
In a way conman 3iii is talking sense with integrity here loh...!!
Posted by 3iii > Dec 20, 2018 11:16 AM | Report Abuse
Jaks is in a difficult situation. It has a lot on its plate. Its core businesses and finances are weak today. Its saviour will be successful project of the IPP in Vietnam.
As an investor, you will wish to choose to jump over a 1 foot hurdle than a 7 feet hurdle.
Will continue to lose money until 2020 before completion of Vietnam Power plant. No cash flow for next 2 years.
Can Vietnam Power Plant complete in time ? Do you think it is better to wait until Vietnam Power Plant is completed before you invest ? Invest in stock market, there is no if but must be sure.
Please note that all old projects in Malaysia secured by Jaks, if I am not mistaken all lost money.
It was the surprise Q3 loss results that caused the selling and the severe under subscription of warrants. The bright side is less dilution from (33% to 15%) for both mother and warrants.
The losses was due to unusually slow progress billing of the vietnam EPC contract.
Jaks' CFO stated that the power plant was 41% completed as at October but Jaks only recognised about 31% completion until Sept. Assuming no progress in Nov and Dec, Jaks may recognise 10% work done which means potential of RM45m profit from vietnam EPC in Q4 2018.
Public investment has indicated that profit recognition of vietnam EPC contract will follow "S" curve. Hence, there will be faster profit recognition hereon as the construction of power plant enters into equipment installation phases. The power plant will be substantially completed by end 2019 as it advances into synchronization and performance testing before it starts to generate electricity by mid 2020.
Q4 2018 will mark the turnaround in results. The results will be announced before end feb 2019, and it will mark the end of winter for Jaks.
New IPO: The onshore and offshore support services provider for the O&G industry, Steel Hawk Bhd aims to list on the Ace Market!
MQ Trader 3154 views | 3 d ago
0:17
New IPO: The largest mini-market player and a leading groceries retailer in Malaysia, 99 Speed Mart Retail Holdings Bhd aims to list on the Main Market!
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
apolloang
18,163 posts
Posted by apolloang > 2018-12-19 12:22 | Report Abuse
najib time can lah 1.00,now LGE stingy type.....no lah