hah.. when the time below 0.30 i didn't saw you comment at here @Armageddon. I had been collect since 0.25 until now. currently won't drop back to that price
Ohhh Armageddon...you see..I promised you ...blow Gadang to below RM0.30... now, Dow Jones has dropped steeply today...Gadang is next to drop.... Thank me ohhh
kancs3118 I very pissed now! When the bloody Gadang stock gonna drop to below 0.30 niamah! DJ drop more than 500 points,still can't sink this baby how kanasai!!!
Have you seen last min 4.50pm......"Big Players" one short jumped up from 0.390 & taken 0.400 for closing ??????...........some more not small portion, quiet substantial volume.......kekeke...kekeke...
@ Armageddon....kanasai....I guarantee you , tonite DJ will drop like a rock...below by 1000 points...guarantee you tomorrow, Gadang sure Lou sai.....until RM0.20 and below...
Gadang 3Q net profit dragged down by construction division
theedgemarkets.com / May 14, 2020 19:56 pm +08
KUALA LUMPUR (May 14): Gadang Holdings Bhd’s net profit fell 24.6% to RM10.03 million in the third quarter ended Feb 29, 2020 (3QFY20), from RM13.3 million in the same period last year, mainly due to lower earnings from the construction division.
Quarterly revenue, however, was up 3.32% to RM212.14 million, from RM205.33 million, according to a filing with Bursa Malaysia today.
For the cumulative nine months ended Feb 29, 2020, its net profit slipped 23.79% to RM35.72 million, from RM46.87 million last year, while revenue grew 10.83% to RM557.46 million, from RM502.99 million.
Gadang attributed the lower earnings for the period to lower profit margin reported for ongoing construction projects, fair value loss on quoted investment of RM6.80 million and an expense of borrowing cost on investment properties of RM1.65 million.
The movement control order (MCO) since March 18, 2020 has impacted the group’s construction and property development projects, with the sudden suspension of its ongoing activities.
While the operations have since recommenced, strict standard operating procedures disrupted operational efficiency, resulting in sub-optimal utilisation of assets and the dislocation of resources.
As a result of the MCO and conditional MCO (CMCO), the construction and property divisions have experienced delays in completing its projects on schedule.
On prospects, as the construction division’s existing outstanding order book stands at RM887 million, this would sustain its operations for the next two years, Gadang said. However, it cautioned that the award of new large infrastructure contracts has been slow, saying this will be “a major challenge for the division”.
For the property division, it has total unbilled sales of RM107.8 million.
While the sales of its townhouse project in Putra Perdana was encouraging prior to the implementation of the MCO, Gadang said the freeze on selling activities during the MCO and CMCO, as well as the lower economic activity in the foreseeable future, will have a significant impact on property sales.
“Management will continuously evaluate its current ongoing projects and new launch initiatives, in order to sustain its operations,” the company added.
Gadang noted that its utility division’s concession water treatment assets have not been significantly impacted by the Covid-19 pandemic in Indonesia and will continue to contribute a sustainable income stream to the group.
“The construction of the 9MW mini-hydro power plant in Lintau, Sumatera, is progressing well and is scheduled for completion by the end of 2020,” Gadang said.
Shares of Gadang closed half a sen or 1.23% lower at 40 sen today, valuing the company at RM291.22 million.
Bro....Q3FY20 has not factor in the MCO. MCO commences in Mar2020 whilst the QTR ended on Feb2020....
The real litmus test will be for Q4FY20 (from Mar20 to May20) whereby the MCO would run its course. I suspect Gadang will report less than RM10M profit.
Profit will be higher if the group has not invested in DWL. Now that the chairman of DWL has bugger off, Gadang maybe better off to write off the entire investment in DWL. Until today, I cannot figure out why they invested in DWL.
Next qr everyone already knew it will be the worst qr ever. MCO start on March until now think about that. But for the current stock price is it the lowest? In my opinion yes it is.
Actually, next quarter may report a loss because they have cumulative one month of work...(first 2 weeks of Mar and last 3 to 4 weeks of May). Then, the Fair Value loss arising from write down of investments in DwL. Hopefully, their Singapore venture will bear fruits.
Very curious...how you guys know someone is pressing the price at RM0.385? Or it could be that the counter sucks ...so, people is selling at the last minute before market closed .?
Haih yah...actually, the future looks quite bleak and gloomy across all sectors...possibly to the exception of Technology like GPacket or Rubber Gloves like TopGloves...durex also doing quite well because MCO...couples need to do things
Important to look for companies with net cash position...so far, for 9 months ending...cash flow statement shows Gadang generates about RM100M cash ....pays down its loan to be in a better position...
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kancs3118
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Posted by kancs3118 > 2020-05-12 17:18 | Report Abuse
What makes you say that ? Don't simply blow water ohh