earnings are forecast to grow more than 10% but need to be hati hati as highly volatile share price over 3 months

You nailed it Getonwithit. Well well kisah benar sudah unfold. It is to do with the redeemable preference shares which were issued during IPO and due for redemption soon. In order for it to be redeemable all Directors must sign a SOLVENCY STATEMENT for it to be redeemed and this is quite tough especially looking at the KTC Balance Sheet. Furthermore, no money, impairment of trade receivables and probably coming stocks also not welcomed and cash crunch. So what to do sell shares at the most desperate time and also bad timing especially masa virus covid mengganas. If you take a look at the group structure memang tak cukup duit:
SHARE CAPITAL STRUCTURE

• POPULAR TRADING (BORNEO) CORPORATION SDN. BHD. RM 4 million – dormant as no agency tied to it as mentioned in SSM audited report. Variation of usage of IPO Funds to purchase a company no benefit to shareholders. See: https://www.bursamalaysia.com/market_information/announcements/company_announcement/announcement_details?ann_id=2905996

• KIM TECK CHEONG SDN. BHD. RM 600 K – anchor subsidiary as mentioned in BURSA


• KIM TECK CHEONG DISTRIBUTION SDN. BHD. RM 1 million – loss making subsidiary high gearing

• KIM TECK CHEONG BRANDS SDN. BHD. RM 2 (Dua ringgit sahaja!) – dunno what it is for


• KIM TECK CHEONG (SARAWAK) SDN. BHD. RM 1 million – lost Power Root agency due to inefficient management

• KIM TECK CHEONG (BORNEO) SDN. BHD. RM 1 million – P&G only. Possible risk of losing agency as 100% sole concentration


• GARDENIA BAKERIES (EAST MALAYSIA) SDN. BHD. RM 500K – said want to conquer the world! Used to be Kim Teck Cheong Tawau

• CREAMOS (MALAYSIA) SDN. BHD. RM 500k – loss making for so many years. Revenue peanuts

However, maybe some own kaki will buy the share kaw….see who is the kaki loh yang willing to take up KTC debt and gearing position loh. tengok nanti auditor berani to not impair or not loh. lot lot of interesting adjustment

Earnings are forecasted high and growing although dividend not well covered by earnings

Stocks trading below fair value. Steady

ELKDESA has a current ratio of 2.449 times in 2019 indicating that the company does not face any liquidity issue as it BOLEH paying back its liabilities (RM71.9 million) if sesuatu berlaku. ELKDESA is able to do so by using current assets such as inventories, other assets, trade receivables, hire purchase receivables, other receivables, deposits, prepayments, current tax assets, short term funds, cash and bank balances amounting to RM176.1 million. Kemungkinan juga also indicate that the company is not efficiently using its current assets or its short-term financing facilities.

From BURSA, the net cash from financing activities in FY2019 (-RM103.9 million) was mainly due to the dividend paid (RM32.8 million), repayment of short term borrowings (RM22.3 million), repayment of term loans (RM22.1 million), interest paid (RM19.708 million), purchase of treasury shares (RM7.710 million) and repayment of finance lease payables (RM0.23 million). SUPERMAX has a current ratio of 1.06 times in 2019 indicating that the company does not face any liquidity issue as it is capable of paying back its liabilities (RM601.9 million) if any issues occur. The company has achieved a strong performance in 2019 with the highest revenue, gross profit and profit after tax over the past 3 years. Prospect remains bright as the company continues to expand

Bila company grows, the first visible thing that happens is cash gets tight more inventory is purchased, money can very quickly fly out the door. As anda gear up your debt for growth or are in the early stages of growth, some of the issues that may grow into problems as the company grows. Any issues that impact the cash flow of the company. Then address other issues including stok barang, management, collection, product development, supply, logistics and labour. From Bursa and last quarter results memang jelas semua masalah ini dihadapi dan tidak ditangani. Power Root termination di Sarawak juga because of masalah tak ditangani

Ada three ways to get capital.
1. Debt
2. Equity
3. Or a mixture/combination of debt or equity, or debt that can convert to equity

Cara yang paling mudah ialah debt. Tapi akan menjadi lemah bila Cash Conversion Cycle semakin teruk.

Net margin less than 2% with interest of overdraft yang meningkat dah berapa percent, belum kira interest on other borrowings dan juga hutang piutang impairment masa covid and mco tak dapat dikutip errr boleh cuba nasi blah tapi yang nyata memang jelas dipaparkan di bursa. Media is noise and kena difahami. Yang patut investors focus sekarang counter yang balance sheet kuat.
Btw orang kata gardenia West Malaysia lebih sedap dari East Malaysia entah benar atau tidak. Tapi yang pasti memang buat roti is not the kekuatan sebab kalau kuat memang nyata dah lama dulu. BURSA pun dah juga suruh investor focus on counters kuat balance sheet masa ini. Memang banyak pilihan seperti roti brand juga di pasaran

Kuat balance sheetnya! Low gearing and growth in earnings. Worth buy and hold

Short term assets do not cover its short term liabilities. Quite weak the balance sheet....Bahaya...even drop fundamental tiada to sustain. Better counter anyone?

Current net profit margins 5.4% are higher than last year 5%. Earnings growth over the past year exceeds its 5-year average. Debt is well covered by operating cash flow 26% although debt to equity is quite high. Cash crunch

The Company’s earnings growth over the past year 67% exceeds its 5 year average of 11% per year. And this earnings growth over the past year 67% exceeded the Construction industry 5% %. Quite similar to construction players, the debt to equity ratio has increased from 64% to 191% over the past 5 years. MCO will definitely impact its earnings and cashflow

It is trading below fair value with its earnings 22% per year is forecast to grow faster than the market 10% per year. Has high-quality earnings. The current net profit margins are lower than last year with a debt to equity ratio 17% is considered satisfactory. Notable dividend 5.68% is considered high

Earnings are expected to grow significantly over the next 3 years. Its revenue i.e. 22% per year is forecast to grow faster than the market i.e. 5%% per year. For now, its debt is well covered by operating cash flow although debt to equity is on high side.

Sellernya and its staff di Sarawak kata Power Root terminated KTC to carry their products and KTC seems to decide kelam kabut get BRAND'S Suntory. Bhd. CEO mereka macam go circulate this news he got new agensi sebelum bursa announcement to menarik orang beli sharesnya konon. As kena face BOD so kena tutup bad news with good news. Power Root terminate because management tak manage stok bagus di Sarawak. Byk written off. Apa BRAND’s Suntory jual sudah? Pati Ayam? Maybe boleh jual kat kedai mesra kot….Kelmarin gaji banyak sellers tak dapat commission and staff gaji sebab kena hold. Rasanya cash flow dah mula bergegar. Naik kemudian junam balik. Biasa lah tu

Forecast earnings growth is above the savings rate. Has become profitable over the past 5 years, growing earnings by 72% per year. debt to equity ratio has reduced from 69% to 29 % over the past 5 years. Debt is well covered by operating cash flow

Has had negative earnings growth over the past year, so it cannot be compared to its 5-year average. Short term assets do not cover its short-term liabilities although not applicable for its long term situation. Debt to equity ratio has increased from 80% to 91% over the past 5 years.

Has become profitable over the past 5 years, growing earnings per year. debt to equity ratio has reduced from 71% to 46% over the past 5 years but still continue on the high side. Trading under fair value

Earnings growth over the past year exceeds its 5-year average with debt to equity ratio has reduced from 51% to 23% over the past 5 years. Debt is well covered by operating cash flow meaning its working capital is very well managed by management. Dividend payments have increased over the past 10 years tentu disukai investor.

High quality earnings and its debt to equity ratio 8% is considered satisfactory. Debt to equity ratio has reduced from 68% to 7% over the past 5 years. Dividend payments have increased over the past 10 years. Memang worth to buy and keep especially now trading below fair value.

Forecast earnings growth is way above the savings rate and its earnings are expected to grow significantly over the next 3 years. Need to check on its large one-off gain of MYR26.1M impacting its December 31 2019 financial results. Has become profitable over the past 5 years, growing earnings per year but its debt to equity ratio (309.7%) is considered high may make it unfavorable compared to other counters similar industry.

Cerita dan kisah dari BURSA MALAYSIA: Perkembangan Overdraftnya KTC dari semasa ke semasa
• 2016 RM 11,101 Juta
• 2017 RM 26,661 Juta
• 2018 RM 40,036 Juta
• 2019 RM 34,864 Juta
• Q2 2020 RM 48,446 Juta
Gearing leverage nya
• 2016 - 1.7
• 2017 - 2.1
• 2018 - 2.8
• 2019 - 2.4
• Q2 2020 Sendiri Kira
Investors duit end up working for bank. Still want to invest? No better counter? Yang pelik pinjam banyak tak apa tapi Annual Repotnya kata MD's total compensation RM 1.2 juta dan ED total RM 2.5 juta memang melebihi average for companies of similar size di Malaysia. So tambah hanya interest overdraft, so apa tinggal sama investors?
Stock written off in Q2 2020 BURSA RM 988 million dalam masa 6 bulan sahaja. Impairment loss on receivables dalam masa 6 bulan RM 879 million. So dalam masa 6 bulan SELAIN overdraft interest, RM 1.9 juta dah lesap. Mari kita lihat apa the real value here
Nampak di BURSA announce dapat kedai mesra. Wahai apa yang dijual di Kedai Mesra, keropok? Extract di bawah dari announcement from BURSA (Lihat viii EXCEPT BREAD & PERISHABLE). Tapi CEO kata sama hampir di semua hamper di semua newspapers mereka akan distribute Gardenia kat Mesra, misleading betul. Terus bingung. Item (i), (ii), (iv), (vii), (xi) dan (xii) Dari annual repot dan BURSA analisis, KTC no agensi macam beginimacam begini so patik rasa mereka cakap sebarang cakap yang mereka sapu semua and kemungkinan guna logistic jadi penghantar delivery boy. Masalahnya stok sendiri penghantaran tak bagus (see stockstock written off dari tahun ke tahun dan suku 2) strategi to jadi penghantaran bukan kah itu agak pelik dan tidak mengutungkan.
Cerita dari BURSA:
KTC Consolidated has been appointed to widen the distribution and sale for the following twelve-selected product categories on behalf of
PETRONAS (“Appointment”):
i. Accessories;
ii. Audio Visual;
iii. Biscuits;
iv. Car Products;
v. Confectionery;
vi. Drinks (except chilled drinks);
vii. Gifts/ Souvenir;
viii. Grocery (except bread & perishable);
ix. Health, Beauty and Aids;
x. Snacks;
xi. Stationery; and
xii. Household.
From BURSA, the letter in relation to the Appointment is available for inspection at the Company’s registered office at Level 2, Tower 1, Avenue 5, Bangsar South City, 59200 Kuala Lumpur during normal office hours from Monday to Friday (except on public holidays) for a period of three (3) months from the date of the announcement i.e. 9th March 2020
Cuba kita kira all Mesra and Mini Mesra Stores in Sabah and Sarawak let say we take newspapers stated angka 161 kedai Mesra so let say hasil jualan bulanan optimistik kita bagi dia RM 15,000 sebulan (entah itu kedai mesra dapat muat atau tidak) and satu bulan total 161 kedai mesra ialah RM 2.4 juta so satu tahun jualan ialah RM 28 Juta?? Tanpa jual roti dan jual sahaja barang atas? Mari kita lihat samaada ini direalisasikan. This is like produk atas sahaja? Annual report 2019 manufacturing segment (rotinya) satu tahun RM 5.4 juta dan bulan RM 450K tapi interest expense for the year is 11% i.e. 576K?
Memang sekarang investors bayar for bank interest and no dividend and value in return. Kebisingan in KTC seems like cuba convince investors to buy but seems not working as share volatile tak tahan lama bila naik. Spekulasi to cover the real fundamental and performance of this company which is extremely poor. Memang perlu cut loss especially investor duit dapat beli stok yang lebih berfaedah with higher returns and dividend especially now with so many better choices di BURSA especially sekarang. Amin semuanya di BURSA.
Rasanya investor perlu inspect jua itu Gardenia as per BURSA annoucement License Agreement is available for inspection at the Company’s registered office at Level 2, Tower 1, Avenue 5, Bangsar South City, 59200 Kuala Lumpur during normal office hours from Mondays to Fridays (except on public holidays) for a period of three (3) months from the date of the announcement 22nd January 2020 on what exactly the T&C. Amin.Amin semua maklumat dan kisah dari BURSA MALAYSIA so Amin.

Forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate although currently unprofitable. No dividend sebab masih kena bayar debt as debt equity ratio quite high. Monitor baik baik

Profit margins although lower than last year it has high quality earnings. Earnings have grown by 13.2% per year over the past 5 years and it is a debt free company. Got dividend somemore so memang attractive to investors. Memang kuat its balance sheet. Exciting counter indeed.

It dah jadi profitable over the past 5 years, growing earnings by 15% per year. Earnings growth over the past year exceeds its 5 tahun average and over the past year MELEBIHI Trade Distributor industry. Balance sheet yang AMAT KUAT. Debt is well covered by operating cash flow. Begitu juga interest payments on its debt are well covered by EBIT iaitu 5kali coverage. Memang trading below fair value. Counter yang interesting to study and hold

Trading at below its fair value. Earnings are forecast to grow 4% per year. Earnings grew by 48% over the past year. PULANGANNYA memang exceeded the M’sia Energy Services industry. Net profit margin LEBIH TINGGI from last year. Balance sheet yang KUAT. Steady and ready…..

Definitely is trading at below its fair value. Earnings have grown by 1.7% per year over the past 5 years but forecast earnings growth (8.4% per year) is above the savings rate. KUAT betul balance sheetnya with short term assets SIGNIFICANTLY MELEBIHI its short-term liabilities. Intai betul betul this exciting counter. Looks like going up next week

Earnings are forecasted to grow more than 3 percent per year but have an unstable dividend track record. Its share price has not had significant price volatility in the past 3 months. It underperformed the Malaysia Food industry. Its net profit margin decreased compared to last year but its ROI is MEMANG outstanding.

Hap Seng’s debt is not well covered by operating cash flow. With an unstable dividend track record and highly volatile share price over the past 3 months. The large one-off items impacting financial results leading to the unattractiveness of this counter.

The plus side is that it is trading below its fair value. Earnings are forecast to grow 14% per year. Earnings grew by more than 25% over the past year. The negative side is that its debt is not well covered by operating cash flow and with high level of non-cash earnings

Kelakar to see orang comment that they find value in this KTC and too absorbed in the noises made by the company stating it beli rights to manufacture and sell gardenia. better kasi baik dia punya creamos dulu sebab masa lockdown all bread brands habis di Sabah except creamos and funny want to venture in gardenia and try to compete in Indonesia when no strength. Indonesia byk brand lebih kuat. Lepas tu analisis financial nya dari BURSA pun banyak masalah:
1. KTC debt equity ratio is considered high
2. Increased debt equity ratio past 5 years
3. Debt is not covered well by operating cash flow
4. Interest payments on its debt are not well covered by EBIT
5. Large off one items impacting financial statement
6. High volatile shares past 3 months

Masa lockdown everyone says share price nya goes up but saya rasa orang ini tak tengok bursa report or announcement betul betul. Apa KTC jual? Comestics? Or majority food? Agensi utama is Loreal and P&G bukan makanan. Kalau creamos tak laku and anyone check kah jualan segment ini punya sikit, how it is going to give value to investors like us? Buang masa saja…better you liquidate and cut loss and buy stocks yang kuat management team and if KTC is to perform sudah lama perform. Just tengok masa announcement gardenia stock price went up then terus junam. Patik rasa ini company byk masalah and mana ada value if like that except other explanation sendiri main stock sendiri and byk komen atas pun macam orang sendiri