 |
| |
Page:   1 2 |
|
| Author | Post |
|---|
stockraider1
Forum Novice
| Joined: | Tue May 15th, 2007 |
| Location: | |
| Posts: | 525 |
| Status: |
Offline
|
| Mana: |    |
|
Posting #11: Wed Oct 3rd, 2007 13:00 |
|
I notice three points ;
1)Receivable of 46% of sales about 170 days collection is too long in fact this is a deteriorations from 140 days the previous year.In addition the increase turnover this year also partly come from property business.Anyway the benchmark for construction company is 120 days.There is high chance some receivable may be disputed or potential doubtful.
2)Operating cashflow is negative which is a concern.
3)Esos exercise may dilute the shares.
On positive side;
1)The major shareholder of Gadang are related to Green Packet major shareholder and has deep pocket.
2)Gearing appear reasonable
|
Moolah
Forum Whacko
| Joined: | Sun Jul 9th, 2006 |
| Location: | Moo Moo Land |
| Posts: | 12813 |
| Status: |
Offline
|
| Mana: | |
|
Posting #12: Thu Oct 4th, 2007 02:57 |
|
Very strong valid points... I WOULD FULLY AGREE
except... i do believe that you are slightly harsh mentioning the ESOS issue. All companies have an ESOS issue of around 10%. Which is rather a norm. So in this respect, mentioning the ESOS issue is rather pointless unless of course we have an ESOS issues like Uchi in which the dilution of earnings is rather drastic.
So how huge is Gadang ESOS?
If you check the company's latest earnings ( Quarterly rpt on consolidated results for the financial period ended 31/5/2007 ), the following was stated:
- 45,000 ordinary shares of RM1.00 each pursuant to the exercise of the Company's Employee Share Options Scheme (ESOS) at the option price of RM1.00 per share as at 31 May 2007
And these are some of the recent exercise of ESOS done in Aug
And this private placement announcement back in Nov 2006, gave the exact indication of how many ESOS is left in Gadang's current ESOS scheme. ( see GADANG HOLDINGS BERHAD (“GHB” OR “COMPANY”) PROPOSED PRIVATE PLACEMENT OF NEW ORDINARY SHARES OF RM1.00 EACH IN GHB, REPRESENTING NOT MORE THAN 10% OF THE ISSUED AND PAID-UP SHARE CAPITAL OF GHB (“PROPOSED PRIVATE PLACEMENT”) )
Now if u open that pdf file right at the bottom it shows that after the private placement (we use AFTER cause this private placement is a done and dusted deal), Gadang would have 119.886 million shares. Total ESOS mentioned in the table was 2.907 million shares. Percentage of current ESOS? Only 2.4%.
A possible 2.4% dilution in earnings if all ESOS are fully exercised!
And this is why I believe you are simply too harsh on Gadang's ESOS issue.
Which is certainly unlike the case of Uchi where the dilution of earnings was simply massive!
Yes.. do not get me wrong... ESOS is an issue... but this issue is already embedded in the system, which means all stocks do have ESOS issue. What matters most is whether the full exercise of ESOS causes a drastic dilution of shareholders earnings.
____________________
|
Moolah
Forum Whacko
| Joined: | Sun Jul 9th, 2006 |
| Location: | Moo Moo Land |
| Posts: | 12813 |
| Status: |
Offline
|
| Mana: | |
|
Posting #13: Tue Oct 30th, 2007 13:20 |
|
Not so happening as earnings was rather flat! (some might call it poor)
Gadang Holdings Bhd (9261.KU) - Malaysia
1st quarter ended Aug. 31:
Figures are in Ringgit (MYR).
2007 2006
Revenue MYR38,773,000 MYR51,449,000
Pretax Profit 4,751,000 5,561,000
Net Profit 3,320,000 3,953,000
Earnings Per Share 2.83 Sen 3.73 Sen
Dividend Omitted Omitted |
____________________
|
Moolah
Forum Whacko
| Joined: | Sun Jul 9th, 2006 |
| Location: | Moo Moo Land |
| Posts: | 12813 |
| Status: |
Offline
|
| Mana: | |
|
Posting #14: Wed Oct 31st, 2007 11:16 |
|
Regarding the water MOU thingee in China...
I just noted this announcement posted...
Reference is made to the announcement dated 21 May 2007 in relation to the MOU entered into between the Company and Qingxiu District Government, Nanning, China to enable the Company to participate in the investment of a waste water treatment plant in Qingxiu District, Nanning, Guangxi Province, China.
The Company wishes to inform that to date, there has been no further development since the signing of the above MOU on 18 May 2007.
MOUs are MOUs are MOUs eh?
____________________
|
Current time is 19:46 | Page: 1 2 |
|
|
|
|
