Sugar subsidy removed at high international price. Now sugar prices drop to near historical lows. But price still not reduce for so long....and milk rakyat money....definately margin for domestic sugar higher than exports.....
OTHERS ARTICLE ENTITLED "MARGIN SQUEEZE FOR MSM" IN FOCUS MALAYSIA (MAINSTREAM SECTION; PAGE 14 & 17), DATED 21-27 NOVEMBER 2015 MSM MALAYSIA HOLDINGS BERHAD
Type Announcement Subject OTHERS Description ARTICLE ENTITLED "MARGIN SQUEEZE FOR MSM" IN FOCUS MALAYSIA (MAINSTREAM SECTION; PAGE 14 & 17), DATED 21-27 NOVEMBER 2015 In relation to the article dated 21-27 November 2015 appearing in Focus Malaysia (page 14 and 17 of Mainstream section) entitled “Margin Squeeze for MSM”, MSM Malaysia Holdings Berhad (“the Company”) wishes to clarify that the Company did not expressly offer any guidance on revenue, profit or margin compression for 2016 to Focus Malaysia. The statement in the abovementioned article was purely from Focus Malaysia’s own analysis and assumptions. Other factors shall affect our financial result (positively and/or negatively) which was not highlighted to Focus Malaysia in the email interview.
those last min preclose pushing up in top gainer group today will be in top losser group next week share price will back to where they are before manipulating too.
If management hedge n fix raw 50% sugar price at 15.xx, msm can expect good profit, don't need cry to government to increase another 29sen sugar price. Crude oil price up n not so favourable weather conditions will raise raw sugar price soon, don't sit there and do nothing.
Rm strengthening, raw sugar price dropped, sugar selling price up 11sen, good profit for MSM for FY2017 n FY2018. I expect MSM's net profit to break 300mil for FY2018 if Johor sugar plant starts operation in May 2018.
Jan-Mar raw sugar price was 21.5, now raw sugar price is 15.03, down 43%. Sugar selling price up 11sen to rm2. 95 from rm2. 84 since 1st March and rm strengthening from 4 45 to 4.28 now, up 4%. That's why minister said MSM can make beratus juta profit even sugar price maintaining at rm 2.95. I EXPECT MSM'S next QR profit to break 70mil and profit for FY2018 to break rm300mil if raw sugar price maintains below 16.00
If buy now and keep for 18mths then you can enjoy 3 time dividends about 14sens each time and capital gains ( 6-4.28)/4.28x100%=40%. Total gains = 0.14x3+6-4.28=rm2. 14
MSM is a cyclical stock, it's profit down when raw sugar price up. Now raw sugar price down 43% so it can make huge profits from April until next year.
Padan muka lah mau sangat force take over business but dunno how to managed. Stupid sial goblok cronies. Monopoly business and its subsidized by gov also can lose money. Makes you wonder where the money goes to. Thank You Robert Kuok u made billions more elsewhere triple the laughter. lol
Now raw sugar price at 14.25, MSM can make profit b4 tax over rm100 million per quarter. Next year can break mngmt profit target over rm500mil for FY2018 if Johor sugar plant starts operation in May. Buy low sell high eat shark fin. Buy high sell low become roasted rat.
Raw sugar down from 21.5 to14.02, rm strengthening from 4.47 to 4.2640, sugar price up to 2.95 from 2.84, MSM is expected to earn more than 100mil before tax. Today top up some more at 4.15.
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....
kongim61
38 posts
Posted by kongim61 > 2014-10-16 17:48 | Report Abuse
More duty free permits for sugar imports is good for the rakyat and bad for cronies.
Let us hope the trends continues