@calvan in every business there are trade receivables. Tell me which annual report you see zero trade receivables. Remember the Yinson case? There is no indication that all trade receivables will turn into bad debts as imagined by you. If the business is without receivables, it can be classified as a dead or dormant company already. I look at the Balance Sheet, Profit & Loss and the Cash Flow Statement only. All look healthy with positive cash flow. Can prove me wrong in the following next 4 quarters too..
Just ignore that mad dog Calvin. He doesnt understand accounting at all. Just use his own interpretation to his own liking. Experienced stock traders can tell you that why some stocks are selling cheap. THPlant is selling cheap for a reason. Unlike KGB, THPlant has no room for growth; Looking back at the previous 5 to 10 years, THplant had actually gone backwards. Analyse it youself. Whereas KGB is going from strength to strength, be it B/S, P&L or cash flow..
Calvin has fallen in love with his plantation stocks, although I do hold some oil palm counters for dividend but I don't see much growth in the near future, unless people start drinking palm oil like water
Warren buffett was going no where using his guru Graham's value investing untill Munger introduced him to growth investing...and he bought coca cola.Let this be known to those sifu wannabes.
@calvintaneng See the data for Not Due, Past Due < 3 months, 3-6months Due, > 6 monts, > 1 years for the last few quaters. Not Due Past Due < 3 months 3 - 6 months 6 month to 1 year > 1 year Imparied Total Q1 2022 $128,586,000 $24,820,000 $163,000 $1,010,000 $5,020,000 $9,564,000 $169,163,000 Q2 2022 $283,487,000 $42,935,000 $1,225,000 $83,000 $2,114,000 $9,690,000 $339,534,000 Q3 2022 $289,354,000 $55,560,000 $1,127,000 $1,137,000 $1,355,000 $9,608,000 $358,141,000 Q4 2022 $323,139,000 $61,066,000 $3,139,000 $2,497,000 $9,564,000 $399,405,000 Q1 2023 $294,701,000 $37,154,000 $4,119,000 $1,771,000 $9,564,000 $347,309,000 Q2 2023 $303,981,000 $14,220,000 $1,704,000 $4,210,000 $11,115,000 $335,230,000 Q3 2023 $354,835,000 $18,962,000 $6,530,000 $2,794,000 $12,156,000 $395,277,000
The worse impairment will be the 12millions due > 1 year. When business grow bigger, revenue higher, of course there will be more receivable. As long as you can collect it without affecting cash flow, you are ok. At one point they will need to impair the 12millions.
Section B. 12 has been reporting since June 2022 till now with every single qtr after qtr for 6 consecutive qtrs of high Receivables (Ioi) over Rm400 millions
This kind of Receivables is suspect
Plus all these are Iou papers in hand
Cash can barely cover borrowings
The red flags are these
1. Rm255.8 millions contract liabilities
2. Trade payables Rm188.9 millions
3. Other payables Rm62 millions
All these add up to over half billion time debt bomb 💣
@calvintaneng with yearly revenue of nearly going to be RM1.5 Billions and with TOTAL overdue payment of RM28Millions. Impairment of RM12Milions. NOT OVER DUE amount of RM354,835,000. I think the collection is not an issues here. When Revenue growth, receivable will growth, it will take time normalize the amount to a stable value. I don't see significance increase for the last 4 quarter on the receivable side. KGB is growing at ROE of 27% now. With latest cash balances of 188,178,000, compare to 1 year ago cash balances of RM82,451,000.
As for "profit" from Singapore also highly suspect as Wks Gas Singapore has a strong monopoly in Singapore market. I think they are 3 to 5 times more efficient than any competition from outside Singapore context. And China Jin-Hong Gas suffered losses in the current downturn in China
The Rm420 millions job supposed to finished by End 2022 also unaccounted for. Plus we also got no idea what Company Kgb is dealing with as it is shrouded in secrecy
I would never invest in such opaque non transparent Co
there are non current plus current loans amounting to Rm216 millions (cash on hand insufficient to cover debt ) and then there are liabilities/payables Rm506 millions (also not enough coverage by Receivables) a cash call can come soon
@calvintaneng When you have contracting UHP facilities value of several hundred million per quarter, expected to have high current liabilities, if you look at overall picture, gearing(times) actually reduced from 1.01 to current level of 0.73. Long term is increase due to the construction of 2 LCO2 plants, which will be the next cash cow.
What cash cow? Even now also cannot collect present cash as it is sitting on high Receivables (IOU papers; no cash)
And it will need to either borrow or give out Rights issues to ask for more monies for building. No guarantee as Malaysia now signed special trading agreement with Asean and China
They can dump cheaper UHP Gas to compete. Even Opcom homegrown fiber optics got hammered by Huawei optic fibers dumping at cutthroat prices and Opcom has to divert its business model
Calvin said that receivables are not cash. True. That's why it had been taken out from the cash flow statement. It had been minus out. Go ask your accountant friend to teach you how to read a cash flow statement. Inside a cash flow statement, whatever is not cash, will be adjusted accordingly. We will add back depreciation (which is an expense that is not cash), stock purchases which will be using cash, hence it will be minus out, receivables which are not collected as yet - will be minus out too. The whole cash flow statement is there for you to read. The thing here is whether you know how to read it or not, or simply plucking a certain segment and then interpreting it in your own way..
If you look at Eversendai AR, its cash flow statement was actually negative. That's what killed the company.
KGB is a healthy with company with a positive cash flow, and increasing revenue and earnings. So go buy this counter as it might be the counter for the year 2024 (assuming there are no changes to its outlook).
Well, whatever the performance of company. Keep promoting every now and then with all the attractive points , while no negative comments form this fella. Dont u know that this is typical obvious act that they try release their tickets to ikan bilis?
Let's make this forum a healthy & positive forum. We can have diff views & respect viewpoints of others.
As an investor I believe we all made mistake before/now. WB made mistake, locally Mr Foong, Mr Koon & Mr Tan Teng Boo also made some mistake. That's fine.
It's ok to have arguments, but be constructive & no personal attack. That's bad for body & bad for soul
No point to continue argue here. I just hope that all people here must be professional, no personal attack. In actual fact, it is so difficult to read all the information here. I just piece off, I sold all the stocks today in this forum to take my big profit here. Please continue to argue and fight so that the share price can drop further, the best is limit down. Please be professional, overall you must make a lot of money. Argue without facts and figures will not make you super rich. Ask yourself honestly, do you make million even you win the argument or fight ? Will your bank account showed million profit so far ? Please stop all the arguments, post your articles with facts and figures, I like to read all facts and figures to justify your selection. Thank you.
When Calvin first came to i3 forum in year 2023 he only invested in Value stock like Pm Corp
Then Calvin noticed Theme play
It was the Furniture Theme play due to ringgit collapse against USD that caused price spike And Calvin must thank Sifu like KcChongNz and OTB
From then on investing concentrated on theme growth
Best years were 2017 after reading Budget speech we picked Drbhicom at 92 sen It went up over 200% to Rm2.70 plus Then in 2018 was Fiberisation theme play Redtone, Opcom and Netx were picked Out of 3 Netx did poorly but others ok
In year 2019 it was Ogse That year saw spectacular rise of Dayang, Penergy, Carimin(currymee) and others. We made 7 figures
Then come Glove theme Bought Supermax in April 2020 at Rm1.73 and sold from Rm20.00 Up by more than 100%
By end 2020 sold off all gloves and then into 🌴🌴🌴
Palm oil went up and now down
But Palm oil unlike gloves got no danger from China
T S H WILL ROCKET TO CLOSE RM 3.00 TO RM 4.00 FOR 30 DECEMBER 2022 ___ WHAT A GREAT LIAR __ THIS LAPSAP FELLA WHO IS BASED IN AND HIDE IN THE LAPSAP LONGKANG OF SINGAPORE
The closing of the year __30 DECEMBER 2022 ___is RM 1.70 ? But very disappointing to be RM 1.07 AND THIS CLOSING DATA IS EXTRACTED THRU KLSE OFFICIAL DATA. ========================================================================================
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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....
gohkimhock
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Posted by gohkimhock > 2023-11-30 12:10 | Report Abuse
@calvan in every business there are trade receivables. Tell me which annual report you see zero trade receivables. Remember the Yinson case? There is no indication that all trade receivables will turn into bad debts as imagined by you. If the business is without receivables, it can be classified as a dead or dormant company already. I look at the Balance Sheet, Profit & Loss and the Cash Flow Statement only. All look healthy with positive cash flow. Can prove me wrong in the following next 4 quarters too..