Posted by husky88 > 2018-02-27 19:09 | Report Abuse

I also think bad q

Posted by clown > 2018-02-27 19:20 | Report Abuse

eps 0.44...

Posted by desmondcsh > 2018-02-27 19:21 | Report Abuse

Result is out. have a look

Posted by AliCafe > 2018-02-27 19:23 | Report Abuse

bloodbath tomorrow...sad

Posted by Kalaihselvan Krishnan > 2018-02-27 20:02 | Report Abuse

What a lousy result. The management must take responsibility, fire the non performing leaders.

Posted by wakarimas > 2018-02-27 20:14 | Report Abuse

why so lpusy

Posted by jibbie > 2018-02-27 21:50 | Report Abuse

horrible lousy result

Posted by husky88 > 2018-02-27 22:11 | Report Abuse

Fxuckingbstock

Posted by Lew Chin Hoong > 2018-02-27 22:36 | Report Abuse

Profit before Tax should be 3,921M + 3,01M (Reverse machinary disposal from Q1) = 6,931M this quarter. it look bad because of back charge.

Margin down due to higher material cost (same fate DLady this quarter).

look bad but not that bad. Foundamentally still strong.

Posted by sapurakencana > 2018-02-27 23:25 | Report Abuse

it quite confuse to conclude margin down due to higher material cost. according to world milk powder price for Oct -DEC 2017 is reletively low compare to previous quarter & Strong ringgit wil reduce the purchase value.it should be benefit johotin,am i right.

Posted by trulyinvest > 2018-02-27 23:26 | Report Abuse

Gap down... brlow,rm1 soon

Posted by Lew Chin Hoong > 2018-02-27 23:46 | Report Abuse

"For the F&B segment, revenue increased by RM30.09 million from RM343 million to RM373.09 million mainly due to higher sales from dairy products. The profit before tax decreased by RM8.2 million from RM30.92 million to RM22.72 million mainly due to higher raw material cost and allowance for doubtful debts in the current year under review."

"Higher Raw Material Cost" quoted from their financial report, "Doubtful debt" is a problem too, they have to be more careful with retailer credibility.

that milk powder price news is true, but result turn out like that, i am speechless.

Posted by Kareemabduljabbar > 2018-02-28 08:02 | Report Abuse

Play backside

Posted by LuckyG > 2018-02-28 08:57 | Report Abuse

need to be audited by 3rd party .

Posted by Money168 > 2018-02-28 09:12 | Report Abuse

"Higher Raw Material Cost" maybe due to additional cost of new factory

Posted by Coolbird > 2018-02-28 09:12 | Report Abuse

Good time to Sapu?

Posted by desmondcsh > 2018-02-28 09:34 | Report Abuse

wth man open at rm1. zzzz. is this stock really that bad that people want to throw?

Posted by Kalaihselvan Krishnan > 2018-02-28 09:48 | Report Abuse

Very unpredictable counter, their result

Posted by WaAdaLui > 2018-02-28 10:13 | Report Abuse

Disappointing results and full of unknown. Let go all my tickets 含泪暂别...
Will only decide after GE, whether to buy back or not.

Posted by AliCafe > 2018-02-28 12:54 | Report Abuse

sold all at 1.1 ...

Posted by Wee Winy > 2018-02-28 13:45 | Report Abuse

When the QR 2017-03-31 profit start go down, My friend take profit at 1.60+ but I still believe on this company until today , drop 0.5+ finally lost of hope already. Give up for better counter. Wasted 1 more year tim
e it's enough..

Posted by Sunwong > 2018-02-28 16:29 | Report Abuse

Bought somemore at 1.11

Posted by ltg100y > 2018-02-28 17:38 | Report Abuse

@sapurakencana, may be company used Q3 or Q2 high price raw materials to make their end products, so the margin drop. Q4 low raw materials price may be reflected in Q1/Q2 2018. So, let's see the May result.

Posted by moven00 > 2018-02-28 18:40 | Report Abuse

Blood everywhere, poor Quarterly result again.

Posted by Kalaihselvan Krishnan > 2018-02-28 19:53 | Report Abuse

Where is all the analyst who recommended the stock?earn gaji buta.

Posted by sapurakencana > 2018-02-28 20:41 | Report Abuse

Another main reason is the reversal of RM3.01 million that was
recognised in the first quarter of the current year as gain on disposal of machinery. The equipment supplier
decided that they do not need the equipment and instead of a trade-in, they gave us a discount of RM3.01
million.
This also another un acceptable reason-did company engage unqualify engineer to make the wrong dicision to purchase the wrong machinery,until the company need to back charge under this quarter.
Doubtful debt appear 2 time in current financial year.
If this 2 issue continue happen,is unfair to the long term investor.
Management ,pls do the necessary step (SOP) to protect the shareholder interest.
Pls dont be silent,pls show the result to convience us.

Posted by sapurakencana > 2018-02-28 21:02 | Report Abuse

Profit decreased by RM4.14 million from RM3.8 million in the previous quarter as compared to the current
quarter’s loss before tax of RM0.34 million, mainly due to higher material and operating costs in the current quarter under review

-From the above statement, i agree there is a possibility of high material cost for the quarter under review.
But why operating cost also increase when revenue decrease / production decrease . From my understanding " for example if company engage 100 people for production line,monthly cost for manpower should be fixed .Electrical & water incurred in production should be reduce when production decrease.
Anybody who know this issue please highlight.

If no answer given,i wil treat this as a wastage in production.This is bad practice in manufacturing line.

Posted by sapurakencana > 2018-02-28 21:09 | Report Abuse

Itg100y- from my point of view, i dont see Q4 low raw materials price may be reflected in Q1/Q2 2018. if gain on disposal of machinery & doubtful debt appear again in the coming quarter.Think logically before invest.I rather down grade this counter to 90cent before any improvement.

Posted by Lew Chin Hoong > 2018-02-28 22:05 | Report Abuse

@Sapura
1) that is not wrong machine, it just older machine (used for few years) with less effective/productivity/old features.
usually company will trade in and get a new one to improve the efficiency.

Example: Label Printing Machine or Packaging Machine, maybe the speed is slower by 0.5 seconds.

Since they give discount of 0.03 million (3.04m-3.01m), Johotin untung.

2) operation cost = "allowance of doubtful debt" + "material cost" + "utility" + all others cost.

3) the milk power price is lower at Jan & Feb compare to DEC, Q1 should be higher margin as they purchase powder by batch due to it easily spoil - https://www.globaldairytrade.info/en/product-results/anhydrous-milk-fat/

i suggest HOLD and regular check the Material cost for Milk Powder & Tinplate & Sugar + company update.

Posted by sapurakencana > 2018-02-28 22:25 | Report Abuse

Mr Lew :
1.may i know are you the employee of this company,how you know the machine is clasify as old machine & not the new machine that i mention above.

2. i not agree your statement : 2) operation cost = "allowance of doubtful debt" + "material cost" + "utility" + all others cost. , from the accounting principal : operation cost = manpower + utility + other production overhead. material cost & allowance of doubtful debt are difference categories.

3. How you know when the milk power price is lower at Jan & Feb compare to DEC, Q1 should be higher margin as they purchase powder by batch due to it easily spoil .

my intention above is to double confirm the true of the statement.not to hurt somebody.anyway thanks for your reply.

Posted by WaAdaLui > 2018-02-28 22:27 | Report Abuse

Current EPS 8.6sen
PE10 - $0.86
PE12 - $1.03

If next QR PAT $7mil (achievable? God know)
EPS=7.5sen

PE10 - $0.75
PE12 - $0.90

The game how to play. Lu decide.

Posted by Lew Chin Hoong > 2018-02-28 23:19 | Report Abuse

@sapura
1. i not the employee,after i search through the Q12017 & AR2016, not much details. But some how i start agree with you it could be a disposal of the New Machine.

in Annual Report 2016, They have 8 million budget for "Purchase of machineries and equipment", it could be they wanna return 3.01million machine back to supplier. or it is not.

Thank for asking.

2. Operating Cost = Cost of Goods Sold + Operating Expenses - https://www.investopedia.com/terms/o/operating-cost.asp

"Allowance for doubtful debt" is included in Operation Expenses - https://www.accountingcoach.com/blog/provision-for-doubtful-accounts

"Material cost" is included in Cost of Goods Sold - https://www.investopedia.com/terms/c/cogs.asp


3. "milk-based commodity prices are looking favourable which will fare well with the F&B segment earnings." - http://klse.i3investor.com/blogs/taresearch/139683.jsp

cheer, i enjoy the FA discussion, no hard feeling.

Posted by sapurakencana > 2018-02-28 23:32 | Report Abuse

For your info,since i m a long term investor for this company & never sell 1 lot of share until now ,so i really need to get the true info from the company.are you serious on your investment?pls share why u invest in this company?

Posted by mymymybook > 2018-03-01 08:43 | Report Abuse

Kesm is a good buy. Its outlook is very good after the recent AMG. It is likely to surge after the next QR announcement. CIMB's top pick

Posted by CY1214 > 2018-03-01 11:36 | Report Abuse

In the most recent 5 years, Johotin has spent total CAPEX of RM82mil for expansion.

Which is more than sum total of net profit for 2015 + 2016 + 2017 = RM79mil.

The business owner will only spent such a big amount of CAPEX if there is potential to grow and the company has the intention to grow.

As at end of Dec 2017, the new plant still haven't started to contribute to the company revenue and bottom line as per confirmation with the investor relation department.

Refer to Master ColdEyes book in 2018, normally the result from expansion of Johotin could only be shown after 1-2 years from the completion of the expansion. Johotin is one of the 4 companies that ColdEyes identified as growth company that he mentioned in his new book.

The 3rd QR 2017 also mentioned that Able Diaries Marketing started its operation since 3rd quarter 2017 therefore more distribution cost needed for start up.

The full year result of 2017 if add back the provision for doubtful debt of RM8.2mil, the NPAT will be RM34.8mil = EPS 11.22 cents

Looking at the potential revenue growth from the expansion, the projected 2018 EPS would be 15 cents.

If PE 10 = RM1.5
If PE 15 = RM2.25 (For F&B sector and growth company)

Just sharing my point of view.

Posted by ltg100y > 2018-03-01 12:37 | Report Abuse

@sapurakencana, i agree with you, if the doubtful debts come back in next quarter, it will impact the net profit again. I notice that the management always give this kind of unexpected and unacceptable reasons (reverse of disposal gain & doubtful debt & products quality issue) when the result is bad.
I will continue monitor one more quarter, if the management still give unacceptable reasons, i will cut it.

Posted by sapurakencana > 2018-03-01 12:48 | Report Abuse

As at end of Dec 2017, the new plant still haven't started to contribute to the company revenue and bottom line as per confirmation with the investor relation department.

CY1214,if you the boss of this company,do you willing to wait 1 more year to start contribute to company after spend 82mil for the past 5 years.rediculous

Posted by sapurakencana > 2018-03-01 12:55 | Report Abuse

if this issue not solve asap,i'm not afraid to said that this company may be incurred loss for the coming quarter..
Dont forget high material cost & doubtful debt issue still not settle.
I rather down grade this counter to 90cent before any improvement

Posted by onlyinvestment > 2018-03-01 12:56 | Report Abuse

I just sign new contract with 5 star hotel to continue my rental room and up grade to super predident room another 6 month

Posted by sapurakencana > 2018-03-01 13:19 | Report Abuse

only invest:
beside stay in 5 star hotel,you need to monitor the daily transaction whether player take this opportunity to sell off their share before /may2018

Posted by CY1214 > 2018-03-01 13:41 | Report Abuse

Setting up a new plant, installation , commissioning of new plant take times.

I was told there are installing the machine n equipment in the new plant and the doubtful debt have been fully provided.

U may call to the investor relation department or ask them in the AGM to verify.

Posted by sapurakencana > 2018-03-01 14:10 | Report Abuse

never mind.let see what the stock price if new plant (82mil) still not contribute for thecoming quarter.i think coldeye also wil leave this counter soon.

Posted by Matthieu Seven > 2018-03-01 14:18 | Report Abuse

Sapura, seem like no luck for you this year. Your mflour got problem, Johotin also problem. Maybe you shall rebrand your Sapura to Hibiscus

Actually after sold Mflour this morning, I am searching for some new stocks. Coincidentally see you here too. Any lubong counter can recommend??

Posted by ltg100y > 2018-03-01 15:35 | Report Abuse

5 years spend 82 million still can not contribute revenue and profit, it is too long. Normally other company's expansion just need 2~3 years to contribute sales & profit.
Next quarter, lower raw materials price, doubtful deb have been settled, no more reversal of disposal gain, local sales of dairy products start contribute. The revenue & profit should up.

Risks: new plant overheads, new plant & equipment depreciation charges, selling & distribution cost increase, salary increase. (hopefully these factors won't impact much to profit)

IF the profit still not improve, it does not consider growth company anymore. Who know we still need to wait how many years to see the growth.

Posted by pc_FA > 2018-03-04 11:26 | Report Abuse

@CY1214, might to share what is the other 3 company that identified as growth company by cold eye? Thanks for your sharing.

Posted by CY1214 > 2018-03-01 21:56 | Report Abuse

The CAPEX for expansion are as below
2013= RM16.8mil
2014= RM12.6mil
2015= RM25.3mil
2016= RM10.4mil
2017= RM16.9mil

Revenue & Profit as below
2013= RM241.4mil ; RM20.50mil
2014= RM316.8mil ; RM13mil
2015= RM417.4mil ; RM17.3mil
2016= RM441.2mil ; RM35.4mil
2017= RM475.4mil ; RM26.6mil

Revenue growth by about 200% and profit about 30% in 4 years.

I am accumulating for long term. Buy and look at the price again after 3-5 years.

Posted by CY1214 > 2018-03-01 21:57 | Report Abuse

ColdEyes recommended 4 companies in his new book 2018

3A
JHM
Hovid
Johotin

Posted by pc_FA > 2018-03-02 06:50 | Report Abuse

Thanks, CY1214. I will have a further read of other 3 stocks.

Posted by CharlesT > 2018-03-02 07:31 | Report Abuse

CY1214 ColdEyes recommended 4 companies in his new book 2018

3A
JHM
Hovid
Johotin


Notion leh?

Posted by mcheat > 2018-03-02 09:08 | Report Abuse

My 2 cents after reading the Q4 report:
In Q1, Johotin disposed an old machine and recognise the gain of RM3 million based on trade in value.
In Q4, the machine supplier decided that they don't want the machine traded in and give discount of RM3 million instead.
In other words, Q1 results have been overstated. Q1 purchase amount of machine has been overstated by RM3 million. These are reversed in Q4.