Crude Oil Price Affection

Benefits to GDP
1) Philippines
2) Slovakia
3) South Africa
4) Thailand
5) Hong Kong

Disadvantage to GDP
1) Saudi Arabia
2) Russia
3) United Arab Emirates
4) Norway
5) Malaysia

Portfolio of Billionaire

Robert Kuok
1) PPB
2) SHANG
3) MAYBULK
4) Wilmar International
5) Kerry Properties

Sector: Properties, hotel, plantation, trading, marine services & media.


Tan Sri Lim Kok Thay
1) GENM
2) GENP
3) LANDMRK

Sector: Game, hotel, plantation & cruises.


Teh Hong Piow
1) PBB
2) LPI

Sector: Bank, Insurance


Quek Leng Chan
1) HLFG
2) HLBANK
3) MPI
4) HLIND
5) HUMEIND
6) GUOCO
7) SSTEEL
8) HLCAP

Sector: Finance, industrial, distribution, properties & semiconductor.


Ananda Krishnan
1) ARMADA
2) ASTRO
3) MAXIS

Sector: Oil & gas, telecommunication, media & tourism.



Lee Shin Cheng
1) IOICORP
2) IOIPG

Sector: Properties, plantation, resources & industrial.


Syed Mokhtar Al-Bukhary
1) UTUSAN
2) MMCCORP
3) GASMSIA
4) DRBHCOM
5) ZELAN
6) NCB
7) POS

Sector: Media, oil & gas, construction, car manufacturing, hub, electric power & plantation.


Tiong Hiew King
1) RSAWIT
2) JTIASA
3) SUBUR
4) MEDIAC

Sector: Plantation, logging, media, oil & gas, telecommunication, hotel, properties & biotec.

Yeoh Tiong Lay
1) YTL
2) YTLE
3) YTLLAND
4) YTLPWR
5) YTLREIT

Sector: Electric power, water, construction, telecommunication, hotel, cement and properties.


Vincent Tan
1) BJCORP
2) BJASSET
3) BJAUTO
4) BJFOOD
5) BJLAND
6) BJMEDIA
7) BJRTAIL
8) BJTOTO
9) SEM

Sector: Game, trading, foods, car, properties, hotel, media & telecommunication.


They posses some very important segment like foods, properties, hotel, plantation and etc. Of course, they hold it for very long term.

Review:
Properties - L&G, GOB, GADANG, IBRACO, OSKPROP, HOHUP, TAMBUN
Plantation - JTIASA, SWKPLNT, KMLOONG
Oil & gas - SCOMI, SCOMIES, TAS
Power & construction - MUDAJAYA, MITRA, YTLPWR
Diversify - HAPSENG
Finance - INSAS, MBSB
Foods - QL, HOVID
Industrial - FLBHD

How long can I hold them without selling and how much they can grow? That's a very tough task.

FLBHD

FLBHD

Controlled by typical Taiwanese, which payout high dividend. Manufacturing of plywood, veneers and other related products.

NOSH: 103,200,000 shares.

Exporting products (US 67%, Taiwan 12%, South Korea 9.5%, Malaysia 7.4%, others 4.8%)


Net assets per share of RM1.37, low gearing low liabilities.






Cash & securities in increasing to a very safe position. Start giving 6 sen as dividend from year of 2011, that time the price was 0.60 (10% dividend yield)

Beginning Nov 2013, the company's share price spiked from 70 sen to reach all time high of RM1.50 in July 2014.

Risk: Is lumber was a sunset type of business? FLBHD doesn't own timber concession, supplied mainly from Sabah. Labour cost or labour shortage.

Chance: Since it's product was exporting, it's sensitive to currency exchange. Weak RM will boast it's profit margin up to 15 to 20%.

Price: RM1.28.

SCOMI & SCOMIES

SCOMI

24-Feb 2015 announced the quarterly result for quarter of financial year of 31/12/2014. 57.59% improved compare to same quarter last year.

Scomi's profit mainly generated from oilfield services. 

SCOMIES

Compare the same quarter, the latest quarterly report degrades 9.23%

Crude Oil price dropped more than 50% from the peak (July '14). Financial year for SCOMIES was October to December.

Average Price

Dec 2013: $100

Dec 2014: $60~70

11 Feb 2015: To bid for RM15bn worth of deals. Scomi Engineering will bid for new monorail jobs in Asia and South America where tenders for projects around RM15bn are expected to be called over the next 18 months. It is already bidding for monorail projects in Thailand, Turkey, India and Indonesia with a tender book worth RM2bn. (Business Times)

Chances: The worrying cash position was much more improving at the coming quarter compare the annual report.

GADANG

PAT grows to RM43.22mil at the year of 2014, contributing PE value goes as low as 6.37.

Having cash of RM80.24mil, it could give GADANG the ability to repay 33% of the total net current liabilities RM241mil. 

Recognition of construction billings in first half of financial year 2015 was normally lower and work-in-progress shall start to pick up strongly in 2HFY15. Furthermore, the group has yet to book in its net gain of JV development in Capital City property project in Johor. 12 acres, one office suite tower and one hotel suites tower carried GDV of RM1.8bil, estimate to complete in 66 months. Office suites tower has approx 261,239sqm & SOHO has 18,140sqm. Capital City property sdn bhd responsible to develop the project and all cost will borne by CCPSB. Estimate this project could contribute RM43.94mil annually and last for 5 years. 

However, the group's net earnings were partly affected by lower PBT, like property due to higher marketing costs despite higher revenue achieved. Utility profit distorted because of disposal of an Indonesian subsidiary and the weakening of the rupiah. 

GADANG's current outstanding order book for its construction division stands at RM1.3 billion, which could provide the Groups segment earnings visibility for the next two to three years. GADANG has bagged a RM350 million Refinery And Petrochemicals Integrated Development or Rapid 2 project for this financial year. 

There are a lot infrastructure works for GADANG to bid: West Coast Expressway, the Sungai Besi-Hulu Kelang Elevated Expressway and the Damansara-Shah Alam Elevated Expressway as well as mass rapid transit or MRT 2 and light rail transit or LRT 3. 

Addition, the on-going projects will start contributing profits to GADANG. For a RM300mil company like GADANG, this accumulate profit his extremely considerable. 

INSAS

We buy shares because we want to become a partner of a listing business. So we must ensure one thing, that's profitable! INSAS profit grows almost 10 times compared the year of 2008 where market crashed. We knew many other finance corp lose money at that time.

INSAS is definitely a worthy good company. It's cash holding has RM649 million! This amount strengthen INSAS position as he could almost return all his borrowing at one time. Furthermore, INSAS still holding 36.44% of INARI and 6.18% of HOHUP, huge cash if INSAS sell some of the stake to others. Perfect position.

Subsequently, reasonable price and then timing of the market. Timing of the market I'm not quite sure yet, but the price is super-undervalued as it's PE remained at 4.47 only! However dividend for the year 2014 only 1 sen which quite disappointing.

Special highlight on July 14': Redeemable preference shares (“RPS”) with free detacable warrants on the basis  of 1 RPS & 2 warrants for every 5 existing ordinary shares RM1.00 PER RPS. INSAS will obtain RM138.7 million

RM117 million for working capital and another RM20 million repayment of borrowing; RM1.4 million proposal expenses.

The only thing I'm wondering was why the hell INSAS need more money where he already full of cash..??

Floating shares has 52.67%. With this right issue, is that possible BOD want to reduce the floatings?

MUDAJAYA - 2

From 2004 to 2014, a huge climatic change was the investment. So what kind of invest did Mudajaya involved?

About June 2009, a big boost Mudajaya investment, and let's check back the historical price of that time Mudajaya. It was around RM4.50!!

On the passed few years, Mudajaya was involving in power business aggressively. One of the largest power plant was going to start operate this year, which was India IPP 26% holded by Mudajaya. First plant was predicted to operate by Aug or Sep 2014.

Details:
The size: 4 units of 360 mw, totaling 1440 mw.
Cost: The total construction cost is about 1440 mw X US $ 1.5 million X 3.20 = RM 6,912 million.
Coal consumption: 1440 mw X 4,500 ton = 6,480,000 ton per year
Coal consumption cost at US $ 30 per ton = 6,480,000 X 30 X Rm 3.20 = Rm 622 million per year.
Power line construction cost: Rm 2 million per kilometer

The estimated profit Mudajaya could make is RM70mil p.a for 25 years.

Mudajaya was just acquired 70% of PT Harmoni Energy Indonesia. Future power projects are also involved Myanmar and Philippine. 5MW solar energy already generating energy at Gebeng, Pahang.

As we know, KLSE was high and we need to choose stock carefully. International power based, recurring profit, I believe Mudajaya will soon be re-rated.

update (20th Aug '14): CEO has mentioned that there were less property development in 2014 while JV with Mulpha will still go on. Mulpha has bought land but development plan and launching scheduled after GST. Construction job has zero book order for this period because of the profit margin is extremely low according CEO, around 1%. CEO emphasized that they are not doing nothing. They has been aggressively venturing into Power/Renewable Energy in countries like Indonesia and Philippines.

update (1st Dec '14): Bags RM55.5m in job from Siemens Malaysia. Mudajaya Group's unit, Mudajaya Corp (MCB) has signed a contract with Siemens Malaysia for a project worth RM55.5m. Mudajaya Group said the project was related to the construction and completion of the main civil works for Pengerang Cogen Power Plant, Johor. The project, which is 'without optional works', is expected to complete by Feb 5, 2016. In the event that Siemens Malaysia orders the optional works, MCB should be entitled to an equitable adjustment to reflect the increase or decrease in time required to perform the optional works or any part thererof, it said. Mudajaya Group said the optional works were valued at RM157.9m. While at the same time, price fall to 50% RM1.78 compared to peak when 2013. Quarterly results shows very bad, EPS 0.20sen, contributed PE to become 18.5.

Update on 27th Feb 15:
 overall performance was affected by the additional costs, and  increase in construction related costs. VO claims were recognized pending the finalization of the overall claims with the clients. Power segment recorded  RM1.3 million PBT merely derived from 10MW solar energy, Gebeng, Pahang.

The Group has completed the 40% acquisition of Amihan Energy Corporation, a company involved in a wind energy project in the Philippines and is currently in the process of acquiring a 2 x 7MW coalfired power project in Indonesia.

Lost 18.48 sen per share. When will deficit be stopped?

Borrows RM390 mil non-current liabilities.