₦airaland Forum

onegentleguy:
Yes I must admit u were right about the talk on sustainability Sir.
...looking thru their YE 2017 result again, I now understand why.

However, I'll urge u to pls go thru the entirety of this Q1 2018 result, particularly the statement of Cash Flow and the Notes.
...on their CF, take a good look at the proceeds from investing & that from financing activities. ...as well as the cash position for the period under review.
On the Note to shareholders, refer to note 4 on cost of sales, note 6 distribution & admin expense, note 11 property and plant equipment, note 13 investment in subsidiaries. ...Infact everything in the NOTE.

This result is still all-touching and by far, an above average performance from DF.
...and quite frankly, even if I have to discount what I know, DF is still currently trading at a juicy discount from Fair Price.
My Verdict: based on this Q1 result, DF still screams a BUY from my end.

...and given the few privileged info we know (the REVELATION), I still maintain my initial stand that the future is here.
For with DF and DS, we are still very much with Mr TIME.

Disclosure: both DF and DS constitute a part of my investment portfolio.
Note however that this should not be seen as an investment advise. ...DD still advised as always pls.

Regards.

Thanks.

If you remember, the discussion was not about whether DF is a good investment BUT that whether 2017 performance in terms of profit and revenue growth can be sustained. And I explained that because of the competition in that sector it will be IMPOSSIBLE for DF to sustain that double digit growth year on year.

When analysing a stock, you need to also consider the sector in which it operates. The competition in that sector (including no name brands) is huge.

GANDALF1:
Did you bother to read the result completely or you just jumped into conclusion based on revenue and profit?

Nobody assured you anything. Just go and read the result slowly and comprehensively.

Ok sir. Hopefully that will make the revenue and profit figures to increase year on year.

shigidi:
And there is the growth answer

You are a wicked somebody

We were assured that DF will continue to grow revenue and profit at the rate it did in 2017.

Based on Q1, revenue dropped. Profit dropped.

Let's keep watching.

investman:
Pls wait oh, is it this oando q1 2018 of 18kEPS u ppl r jubilating about or is it just monkeyhunting

The 'jubilation' is about the FY2017 result. Of course many did not read the auditors opinion about the going concern of OandO. They also did not bother about the negative retain earnings.

OandO will likely have to raise funds. I expect the price to be pumped up for that.

It will be good to see progress on this project to appreciate what the completed project look like. Update seems scanty.

Kudos so far.

How long does a project like this take in Nigeria

valacious:
Worth N8 in my own opinion...

Well, price is likely based on future growth

Teeonly:
http://www.nse.com.ng/Financial_NewsDocs/21930_FBN_HOLDINGS_PLC_FINANCIAL_STATEMENTS_APRIL_2018.pdf

EPS of N1.21.

Teeonly:
http://www.nse.com.ng/Financial_NewsDocs/21930_FBN_HOLDINGS_PLC_FINANCIAL_STATEMENTS_APRIL_2018.pdf

25kobo dividend

phemmie06:
My oga Has NEM issue dividend information, because I am yet to see any information regarding qualification date and AGM date for the dividend declared. If not why the first quarter result?

I think they declared 10kobo dividend. No info on closure of register and qualification date. No AGM notification yet.

Release of Q1 result is because of the NSE listing requirement.

Teeonly:
http://www.nse.com.ng/Financial_NewsDocs/21911_NEM_INSURANCE_PLC._FINANCIAL_STATEMENTS_APRIL_2018.pdf

Hmmm. NEM may cross N3.00 oooo

lancee:
https://abokifx.com/news/nigeria-to-return-jp-morgan-s-index-soon-financial-watch

We don't need them.

Teeonly:
http://www.nse.com.ng/Financial_NewsDocs/21874_ECOBANK_TRANSNATIONAL_INCORPORATED_FINANCIAL_STATEMENTS_APRIL_2018.pdf

Solid result. I think it is already priced into the current price.

Coolcash1:
My stock pick for next week

Seplat- based on oil price rally, expansion of gas plant capacity, return to profitability, higher ROE and operating efficiency
Oando- based on oil price rally and market sentiment...
HF- strong fundamentals, trading below its intrinsic value, profitability recovery and gradual growth in earnings
Transcorp- government favourable policy on power, increase in earnings generation driven by its power business line, low PE ratio and PEG
Diamond- possibility of div payment based on sale of subsidiary, low NPLs among tier 2 banks, market repositioning, etc

DD strongly advised....

Which PE ratio is considered low PE of 20?

currentprice:
hope you are not thinking transcorp declared N5.55

it 5.55 kobo which is less than 6k they declare

I think he is comparing Full year EPS with Q1 EPS

I hope he has not placed a BUY order yet

Jejebaba:
Sir, kindly rep NSEMPA well there oo by asking important questions.

Nobody will give him the floor to ask questions oo

yom2:
bros if u have a better and smarter option u should have come up with that before the advent of milost rather than watch ur investment die permanently. milost gives u prospects. now if u are to choose between those 2 evils which one will u choose? milost is still considered a fair player because they have not usurped any contract through political favouritism. or run any company aground yet

Let MILOST follow due process

phemmie06:
Pls kindly help me with the PE of zenith and Gt

Q1 EPS of Zenith is 150kobo
Q1 EPS of GTB is 158kobo

You can calculate the PE

rebekah2011:
http://www.nse.com.ng/Financial_NewsDocs/21873_TRANSNATIONAL_CORPORATION_OF_NIGERIA_PLC_FINANCIAL_STATEMENTS_APRIL_2018.pdf
http://www.nse.com.ng/Financial_NewsDocs/21872_LAFARGE_WAPCO_PLC._FINANCIAL_STATEMENTS_APRIL_2018.pdf

Lafarge with a loss for Q1? is ok ooo

PharmAlfred:
Shareholders are just going off tangent. It is all commendation for the chairman of UBA. Shareholders cannot even ask important questions.
I see why companies in Nigeria misbehave.

Ha ha ha ha

The shareholders are there for the freebies. Make sure you collect for all of us ooo

yom2:
then that's the more reason u should have given a neutral foreign investor a chance because that will act as a small check and balance, but many of u here are kicking against it

And MILOST is the neutral foreign investor

Manonamission:
A good one from Transcorp

EPS of 5.55 kobo is a good one Ok oooo.

With a PE of 20 price will be 1.11

Mpeace:
That is how it should be, but unfortunately, its not so. the BOD members, including CEOs and chairmen will always rig the process to ensure that they have their way.

Then 'shareholders' should stay away from such companies. Not by force to invest in their company!

phemmie06:
Honestly speaking I believe SEC can do something more meaningful than punishing the shareholders through fines levied on erring companies.
Can't there be a bill to sack the board of the erring companies since the quoted companies belong to the public. The wicked board will prefer to fine since they know it does not affect their personal financial status negatively.

BUT shareholders appoint the board Why can't shareholders SACK the board?

Mpeace:
You and I know how difficult it is for shareholders to ensure good corporate governance and that in most, if not all cases if infractions, CEOs are often involved and benefit in chief.
See fbnh and diamond bank for instance, Oti used our money to run for Abia governorship. Onasanya former CEO of fbn gave out the huge npls for which the bank is suffering today, yet he lives large and free.
Oando shareholders will tell you that the only powers they have is power of protest.
The CEO remains more powerful than shareholders

The CEO is answerable to the Board of directors. The directors are answerable to the shareholders. Shareholders should do their job and stop going to AGM to collect freebies! Shareholders have reps in the audit committee. They should make their presence felt!

Mpeace:
So Oando will not be delisted.
On a more serious note, I think SEC should consider the option of sanctioning CEOs whose companies are found wanting. For instance, Daar coms and japaul CEOs and chairmen should have been stripped of ownership of their respective firms which have over the years been run like private businesses rather than public quoted companies. This would serve more to encourage accountability and good corporate governance.

You harsh oo. CEO is an employee so why should his crime affects his ownership?

I think the shareholders should take more interest in the affairs of those companies. This is where the pension funds come in.

sellydion:
Fraud? No, No, No.It is just because the industry is structure like that. It is a systemic thing.

Why investing in a business you understand will rise and fall due to IOC contracting environment . You cannot understand the

business cycle all depends on IOC demands and operations effectiveness and otherwise and government contracting process.

It is just not good for investors. JAPAUL came on seen during boom and has not been able to recover after then.

Not sure it is a problem. The IOC contracting environment is stipulated by NNPC (NAPIMS). Hence most contracts are short term (2+1yr). So revenue is only guaranteed for 3years. Companies like Caverton have used their 'connection' with 'government' to get contracts. Risk is what happens if a Pharaoh that does not know Joseph come on the throne. There was a time when a company called ADAMAC was the chosen one. Where is it now? Caverton must demonstrate professionalism and expand to the West African coast to demonstrate that it can actually compete. I don't see what Caverton does that Bristow cannot do much better!

RealityShot:
like I said "tug boat na vessel Naa.."
Out of the 9 "vessels" in those pictures, 6 are tug boats, 1 house boat and 1 deep water work ship.
No oil tanker, no gas tanker, no offshore jack up barge, no offshore drilling equipment..
Lol.. Marine services... Lol

What they do is the least important services rendered offshore.

Talk about offshore food and drinks supplies I might listen better.

Leave Japaul my brother.. Soup wey sour no get mmequata

ALL vessels are important. It is all about utilisation rates and how they are deployed. There are TWO rigs permanently parked at Marina for over 4 years doing NOTHING. That's bad investment. OandO also has rigs that are not doing any work.

You do need tug boats for your offtake operations. If there are of the correct bollard pull then you are in business. I actually think that Japaul Tugs are on spot hire which is why the utilisation rate is poor.

Not many companies worldwide own oil trading tankers. That's the forte of companies like MISC

RabbiDoracle:
This was done then when I had the shares. So nothing has changed.

Now that companies are repricing contracts and cutting cost, they must have reduced the rates they pay these people.

In summary, it is not profitable a business.

Which oil companies are doing business with JaPaul?

I know C&I Leasing is supplying vessels to the IOC's

RabbiDoracle:
Sir, the writebacks are ok na. Gradually, banks are recovering their lost investments.


Even if you take out the writebacks, it will still leave PAT at N18b. This is N2b more than the 2017 Q1.

Yes they are ok BUT you cannot make projections based on that. Will they continue to have write backs? Has GTB done/reflected any writeback?

currentprice:
That stambic result na bomb, N75 stock if they can maintain such tempo till Q4

Hmmmm. Result boosted by recoveries. Check the credit impairment charges before making a decision.

rebekah2011:
http://www.nse.com.ng/Financial_NewsDocs/21860_SEPLAT_PETROLEUM_DEVELOPMENT_COMPANY_PLC_CORPORATE_ACTIONS_APRIL_2018.pdf

Too much ceremony

No wonder it gained today. Speculators in charge

Going All-In: Comparing Investing And Gambling By Stephan Abraham

https://www.investopedia.com/articles/basics/09/compare-investing-gambling.asp

Another view.