Posted by CFTrader > 2016-07-04 19:17 | Report Abuse

The Construction Division’s outstanding order book value stands at RM889.48 million and Property
Division’s unbilled sales is RM243.49 million.

Any further update on the profit guidance by the management ?

Posted by CFTrader > 2016-07-04 19:21 | Report Abuse

I saw Franklin Resources, Inc. emerged as substantial shareholder.

the company is spearheaded by Mark Mobius, no ?

Posted by pisanggoreng > 2016-07-04 22:20 | Report Abuse

CFTrader,

simple company, simple business activities, less unforeseen or unexpected circumstances , then simple valuation won't be far from truth , isn't it wonderful to buy good stock cheap

Posted by Ricky Kiat > 2016-07-04 23:24 | Report Abuse

lets us ask the management in incoming nov AGM. (^o^)

Posted by Ricky Kiat > 2016-07-05 08:53 | Report Abuse

i guess capital city profit bill in by 30%/30%/30%/10%. First 30% profit maybe start contribute in Q1 FY2017 (OCT 2016 report) . Any sifu got idea ?

Posted by yeekarwai88 > 2016-07-05 09:28 | Report Abuse

http://www.klsescreener.com/v2/news/view/92155

omg!all the remaining 6viaduct will be award in first quarter of 2017.

Posted by yeekarwai88 > 2016-07-05 09:29 | Report Abuse

http://www.klsescreener.com/v2/news/view/92155

Posted by Ricky Kiat > 2016-07-05 11:35 | Report Abuse

mrt2 delay , but still many project to be award ... dumb dumb hold....
cheers...

Posted by SJSOON > 2016-07-05 14:08 | Report Abuse

November AGM...Let's dig out more information from Kok Onn.

Posted by clarencebak > 2016-07-05 14:19 | Report Abuse

ColdEye a.k.a. Fong Siling is a major shareholder here. If u read his books then don't worry. Just hold. If a house needs 3 yrs to complete, why can't u wait 3 yrs at least

Posted by CFTrader > 2016-07-05 14:19 | Report Abuse

Please do update me after you gentlemen/ladies attend the AGM...

I notice that GADANG might hit dry spell @ their orderbook during next year ....


Quote from my fb group,
Hmmm.. with the current burn rate of 123m construction revenue per quarter, and 47m properties billing per quarter....

Construction orderbook only can sustain 7 quarters (1.75y) , and property can sustain 5 quarters (1.25y) ...

Please note that my quarter mentioned above will start with 1st quarter from this month QR release....

Posted by CFTrader > 2016-07-05 14:22 | Report Abuse

pisanggoreng, if base on my ciplak valuation, the burn rate only can sustain GADANG construction business for another 1.5 years , after declaring this QR @ this month....

To me, they deserve such valuation ... until they grab further contract.

Any track record that proves GADANG will take a piece of action of MRT jobs ?

Posted by pisanggoreng > 2016-07-05 15:20 | Report Abuse

so what are you waiting for?

GADANG has GROWTH and GADANG has improving DIVIDEND
and the PRICE IS CHEAP

are you not want

BUY GOOD STOCK CHEAP ?

Posted by GaRRYtan > 2016-07-05 15:22 | Report Abuse

Gadang is the first company completed the MRT project V2

Posted by Hunter2016 > 2016-07-05 15:26 | Report Abuse

Did gadang tendering any pan borneo highway job? if no, the share price may sideway until end of the year.

Posted by CFTrader > 2016-07-05 15:31 | Report Abuse

pisanggoreng, it's not about Growth and Dividend that matters in construction company. Yes, of course that growth and dividend is important, but it's the orderbook that gives us hindsight about their potential sustainability for Growth and Dividend payout.

It's the construction orderbook, the profit margin, the cost control that values a construction company.

A company with annual revenue 400m but with 200m orderbook will hit dry spell in 1/2 years, if they are unable to secure new contract, ceteris paribus.

Posted by pisanggoreng > 2016-07-05 15:32 | Report Abuse

warren buffet:
A simple rule dictates my buying: Be fearful when others are greedy, and be greedy when others are fearful . . . Let me be clear on one point: I can’t predict the short-term movements of the stock market. I haven’t the faintest idea as to whether stocks will be higher or lower a month — or a year — from now. What is likely, however, is that the market will move higher, perhaps substantially so, well before either sentiment or the economy turns up. So, if you wait for the robins, spring will be over

Posted by pisanggoreng > 2016-07-05 15:36 | Report Abuse

CFtrader,

how do you know within 1 and a half year GADANG can not get more contract .

So, if you wait for the robins, spring will be over

but the choice is yours as most of the forumers like to quote it here including you

Posted by pisanggoreng > 2016-07-05 16:18 | Report Abuse

you said it is important but you said it doesn't matter
how can it doesn't matter be important?
how can it be important but doesn't matter
?????????????????????????????????????????????????

Posted by CFTrader > Jul 5, 2016 03:31 PM | Report Abuse

pisanggoreng, it's not about Growth and Dividend that matters in construction company. Yes, of course that growth and dividend is important,

do not take it seriously, I just play play with you

i know very well you actually tak pang_sim the order book which can only last for 1 and a half year.

1 and a half year is long enough for me and an efficient company,

it is enough time to bring about many changes.

of course , we can wait until it has secure more contracts then to go in , by the time, as WB said, the spring is over

warren Buffet :"if you wait for the robins, spring will be over"

Posted by yeekarwai88 > 2016-07-05 18:01 | Report Abuse

hunter2016,gadang without tender any pan borneo.project.
but gadang tendering RAPID,SUKE,DASH projects other than MRT2.

Posted by bluefun > 2016-07-05 21:13 | Report Abuse

stock market is very easy, u want to buy just place "buy" order, u want to sell just place "sell" oder

buy undervalued stock when share price cheap, keep and wait for its growth

You see M***** get so much contract but the price always at range 1.25 - 1.33, company no money still tender so many "low profit margin" contract~

In construction company, cash is king, profit margin is queen, Gadang profit margin is > 20%, please check any construction company in bursa continues in profit margin like Gadang?

I can say NO, and Gadang is the only one. Such a good company, order book still manageable and let them busy for next 1-2 years , what are you worry for?

Don't forget Gadang still got tender RAPID contract wor~

I just can tell you, those Gadang long term supporter such as icon888, SJSOON, apini, ricky kiat, yee karwai, pisanggoreng, tksw and bluefun(sorry if i missed out someone) definitely will top up when the share price is attractive and we are willing to wait with passion with patience because we know the Gadang business very will.

Johor "Capital city:, Cyberjaya "The Vyne", RAPID, Semenyih "Selangorku"

Cun cun sui sui tuju langit, kikiki :D

Posted by AmberChia > 2016-07-05 21:16 | Report Abuse

u guys think gadang can sustain the profit margin?

Posted by maomaochong > 2016-07-05 21:40 | Report Abuse

建築公司的profit margin，有>20%，不會吧，還有這個行情嗎，嘻嘻？醬高？可以拿到contract？而且建築合約，如果沒有準時交貨，會被罰款吧，variation order很多時候很難收款，final account也會拖很久吧。

Posted by CFTrader > 2016-07-05 21:43 | Report Abuse

I can tell you that I have no position in GADANG and I'm attracted to it by it's low valuation by watching at PE ratio and so on.

Don't get me wrong. I'm not trying to shoot GADANG down for me to collect or some other bad intention.

My intention is to ask the forum participant for more information so that I can understand the current condition of GADANG.

Posted by maomaochong > 2016-07-05 21:44 | Report Abuse

in house 的可能會有，自己買地，自己建。

Posted by paperplane2016 > 2016-07-05 21:46 | Report Abuse

The problem of this comp is no contract yet, not enough. Be cautious not to fall into cases like mudajaya. Good thing is they got own mall now collecting rental.

Posted by CFTrader > 2016-07-05 21:46 | Report Abuse

bluefun, you are the only people whom can provide a better information than other people.

Do you have any information about their sales , timeframe and guidance of the project that you mentioned before ? [ the one that you mentioned : Johor "Capital city:, Cyberjaya "The Vyne", RAPID, Semenyih "Selangorku" )

Posted by maomaochong > 2016-07-05 21:54 | Report Abuse

我個人覺得tender一場工的profit margin不會>20%，有些甚至為了拿工，profit margin拉到很低，建築公司都是fight volume吧，帳目好看，而且要養員工。通常tender會有四五個tenderer吧，競爭強烈。除非有特別原因可以拿到工。

Posted by maomaochong > 2016-07-05 21:55 | Report Abuse

自己的商場？占營業額多少%？

Posted by bluefun > 2016-07-05 21:55 | Report Abuse

Hi CFTrader, you are too look me up up and up hahaha

I didnt meant you to shoot down Gadang, I just told you the story i knew about Gadang, you can read icon888 and other sifu article in Gadang's headline, they are well and better than me, and they already hold Gadang at least 2 years

I also hope someone can enlighten me the question you raise, but I hope that ppl is you :D

Maaf zahir dan batin, Selamat Hari Raya

:)

Posted by AmberChia > 2016-07-05 22:02 | Report Abuse

clearly, gafang profit margin is not sustainable. it may be a one off event due to billing cycle. serious investors pls go calculate gadang expected profit using normalized margin and see what pe u get

Posted by maomaochong > 2016-07-05 22:02 | Report Abuse

如果拿到合約，contract amount不一定會是final amount，會有omission或addition vo。收錢很多時候也很難。他們買入的價格很低吧，所以有很大的安全邊際，所以可以持有兩年。

Posted by yeekarwai88 > 2016-07-05 22:10 | Report Abuse

你们说的话都好深。

Posted by CFTrader > 2016-07-05 22:13 | Report Abuse

bluefun, at least what you talk is backed up by facts and figures.

and of course, I had read what Icon Sifu's blog. I'm just demand for more info to process what's the value of GADANG. If someone can give me additional info, I can process it and share to all GADANG fellow investor here.

AmberChia, maomaochong, please enlighten me with more information.
什么是 omission 或 addition vo。 请多多指教。

Posted by yeekarwai88 > 2016-07-05 22:13 | Report Abuse

yes,some of the projects profit margin is low such as RAPID projects took from last year, margin is around 10%,but it covered from other projects.

capital city profit margin is quite high,around 25% which i saw from the Internet. but i dont know how much profit is come from capital city,because the management never disclose in QR.

Posted by CFTrader > 2016-07-05 22:20 | Report Abuse

yeekarwai88 bro, you have a good taste in choosing investment material =D

Posted by maomaochong > 2016-07-05 22:24 | Report Abuse

拿政府的合約，不是醬簡單。公司背景，關系，投標價格很重要。公司的現金流要很強，政府的工好像是三四個月付一次款。tender過程很吃時間，有時又KIV。tender is jz a tender unless the company secure the job, then can called it contract. complete and deliver product on time, if not LAD charges will be imposed.

Posted by maomaochong > 2016-07-05 22:36 | Report Abuse

same as receiveable, unless u can collect back ,if not,就是所謂的呆帳。建築公司的turn over 很高，現金不多，周轉不來，就不好。還有它的負責。政府工的profit margin會比較高。

Posted by younginvestor92 > 2016-07-05 22:38 | Report Abuse

大哥。。。。。现金流很强？！去看一下free cash flow.... 公司已经几年花很多钱在capital expen 上面了。。

Posted by yeekarwai88 > 2016-07-05 22:39 | Report Abuse

政府合约不会出现NPL(Non performing loan)瓜。

Posted by maomaochong > 2016-07-05 22:41 | Report Abuse

omission is mean item omit from ur contact because it is not done at site, which will cause the decrease of contract amount. addion vo is mean item that done on site, which is not included in contract, which will increase the contract amount. but claim of vo is mostly difficult, and sometime caused the final account cannot close. and cannot release the retention sum because of this unclose final account.

Posted by Ricky Kiat > 2016-07-05 22:55 | Report Abuse

gadang property margin is around 20% , construction margin is 10%-13% because of rapid project(many addition claim)(last year AGM kok onn mention he will claim as much as he can).

Capital city profit margin is super high , because land cost only 60 Million, but return is 320 Million(pay by developer). as sifu icon888 mention before, capital city profit still not yet start contribute in past quarterly report.

if start , capital city alone will contribute around 50 million profit per year (3 year)(conservative estimate) .

my calculation,

if other property & construction project can contribute another 50 million profit, totally gadang yearly profit is around 100 million ,pe 8 , market cap should 800 million . 800/258 =Rm 3.10

if compare with mitra, market cap is 854 million , R4Q net profit is 92 million.

Posted by maomaochong > 2016-07-05 22:57 | Report Abuse

嘻嘻，慚愧，我沒看它的年報，只是分享建築公司的現金流要強，很多現金，當沒有工程時，還可以支撐，同時間再拿新的工程。

Posted by maomaochong > 2016-07-05 23:03 | Report Abuse

有很多時候，我們不能只是看年報，我們更需要知道公司怎樣賺錢。例如，一年投標多少場工，中標率多高。工程是不是都是定時完工。我們身為小股東，有很多資訊是看不到的。嘻嘻，年報的前提，資料是要對的。

Posted by maomaochong > 2016-07-05 23:12 | Report Abuse

冷眼先生也是有持有，是嗎？

Posted by Ricky Kiat > 2016-07-05 23:19 | Report Abuse

gadang is very likely can secure 2 -2.5 Billion project from mrt2 (1B), Rapid (1B), 0.5 B from LRT3/SUKE/DASH/other minor project.

so i believe with current property project & incoming constrution jobs ,gadang can earn another 50 million is achievable.

further more ,capital city is like a cash cow project , gadang should be cash rich after being fully pay (320 million).

last year gadang start rally from 1.60 -2.54 after secure new jobs from rapid. if incoming few month gadang can secure the following project, second wave rally may coming.

Posted by Ricky Kiat > 2016-07-05 23:23 | Report Abuse

above is my prediction & imagination, if do not happen, don't blame me . (^o^)

Posted by bluefun > 2016-07-05 23:26 | Report Abuse

thanks for your info bro ricky, good analysis, i believe 2nd wave rally will be coming soon, lets buy popcorn and watch the show with patience and passion

Kikiki :D

Posted by CFTrader > 2016-07-05 23:45 | Report Abuse

Thank you for all the information. =D

Posted by maomaochong > 2016-07-05 23:46 | Report Abuse

謝謝樓上的大大，嘻嘻