KLSE (MYR): QL (7084)
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Last Price
4.80
Today's Change
-0.05 (1.03%)
Day's Change
4.78 - 4.88
Trading Volume
14,438,600
Posted by Philip ( 2.3% fatality rate, 80% recovery rate age 10-40) > 2020-03-15 07:27 | Report Abuse
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calvintaneng
56,632 posts
Posted by calvintaneng > 2020-02-28 00:36 | Report Abuse
QL BUSINESS LOOKS ON SURFACE GROWING
A DEEPER LOOK INTO ITS BALANCE SHEET & BUSINESS QUITE GRUESOME
1) REVENUE INCREASED BY 13% BUT OPERATING PROFIT DECRESED BY 2%
LIKE DLADY QL HAS TO WORKER HARDER DUE TO COMPETITION BUT PROFIT EVEN DOWN FURTHER DUE TO NO PRICING POWER
MYNEWS & 7 ELEVEN SELLING FOOD AT CHEAPER PRICES CAPPED QL FROM INCREASING ITS PRICES
2) ALREADY SO STRESSED BY HIGH TURNOVER WITH LESSER PROFIT NOW CORONAVIRUS IS IMPACTING ITS BUSINESS
SEE
B3 Prospects for the year ending 31st March 2020
Covid-19 is likely to impact Q4 performance, however the management will still strive to achieve double digit growth for FY2020 against FY2019.
3) THIS CORONAVIRUS ALREADY IMPACTED CASH FLOW OF NEW FAMILY MART FRANCHISE BUSINESS AS ITS RECEIVABLES INCREASED
Other receivables, assets and prepayment FROM RM106.493, MILLIONS TO RM180.968 MILLIONS (IOU UP BY RM74 MILLIONS)
AND THIS IS FOR QUARTER REPORT OF OCT TO DECEMBER 2019 (JAN TO MARCH 2020 WILL BE VERY BAD AS CORONAVIRUS WILL FURTHER IMPACT SALES OF FAMILY MART BUSINESS ESP IN SHOPPING MALLS)
IF THIS CONTINUES FRANCHISEES WILL DEFAULT ON RECEIVABLES
4) SO IF YOU TAKE OUT RM74 MILLIONS FROM RM76 MILLIONS REPORTED PROFIT THIS QUARTER QL ACTUALLY MADE IN TOTAL CASH IS ONLY A MERE RM2 MILLIONS
REALLY GRUESOME THAT QL HAS RM1 BILLIONS DEBT BUT A REAL NET CASH PROFIT OF ONLY RM2 MILLIONS
5) CALVIN ALREADY WARNED BEFORE AND NOW I WARN AGAIN
QL IS NOW TOTALLY BLOATED IN ITS SHARE PRICE
WITH HIGH DEBT COMES HIGH INTEREST COST JUST ONE QUARTER ALONE IS RM13 MILLIONS!!
WITH CORONAVIRUS IMPACTING FOOTFALL IN SHOPPING COMPLEXES QL INVENTORIES OF UNSOLD FISH, CHICKEN & OTHERS WILL CONTINUE TO PILE UP
ITS SAVING GRACE FROM HIGH CPO & FERLITIZER IS ALSO A ONE OFF AS CRUDE OIL FALLING WILL DRAG DOWN CPO. VIRUS IN CHINA WILL SLOW DOWN FERTIZER USE IN DURAIN AND OIL PALM PLANTATION
WHILE ITS BUSINESS MIGHT COME TO A STAND STILL ITS DEBT LOAD OF RM1 BILLIONS WILL PILE UP
SO QL IS FIGHTING A VERY GRUESOME UPHILL BATTLE
WHERE IS BLIND 3iii? NEVER WARN SORCHAI HERE?