The AGM is on next Monday. Go ask the good Dato what foreign listing plans he has to get the share price to trade at its true level. Also anything you are not happy about, go ask him. Once a year opportunity.
1. New Market-Head-start into South American via Mexico back in 2017. 3 years target market share 5% in equivalent to 10,000 unit gaming machine.(Huge Market) 2. Strong cash pile(Net cash position) 3. Dividend payout 0.7c for YA17 increase from 0.6c YA16 and .05 YA15.(dividend increase Y2Y) 4. Chuah expect 15% top-line growth. 5. Chuah up stake recently(April'18). (Off market transaction) 6. RGB boss confident its company valuation worth 60c in 3 years(via Cold Eye speech in late 2016) 7. SSM Division(Substantial order will booked in only Quarter 2) Vietnam-679 gaming machine+25 Card suffer machine had already delivered in mid Apr'18(Total package worth RM92Mil). Cambodia-170 gaming machine ready to install in June'18 8.TSM Division(Concession-Profit Sharing+Preventative maintenance services) Revenue increase approximate 50% compare Qtr4'17(RM32Mil/RM21.5)-It been very consistent within 20Mil-22Mil/quarter for the past 12 quarters.
RISK 1. Change Government in these countries(Cambodia,Philippines, Laos, Vietnam, Timor-Leste and Nepal)
Short sighted policy of too many private placements at low prices has resulted in a bloated number of shares. Also dividend payout is too low given the record EBITDA and cash plie. Management should do more to boost the share price. Grossly undervalued.
I am also not clear why the foreign funds need to worry the dividends in RM. Isn't they can always convert RM to other currencies thru' m'sian banks? unless the exch. rate isn't favourable?
Fund Managers are just not interested in this Co. They will just ask you to put your money in FDs rather than wasting your time and resources in this co. Cold Eye already sold more than half of his holding as of March 2018. what he is holdings are just his profits (free shares) Current share price @0.25 is fair value (may be a little premium too) at its current EPS. Need to hold for 2 to 3 years when their revenue and EPS doubles their current level then only share price will be at RM0.5 unless there is a break through in revenue and EPS for the current year. This co. is for long term investors who think there is potential for business to grow with improve EPS and have trust and faith to the management team.
payout less dividends due to expansion in S.Amercian markets. On Mar. 2017, shipped 10 mach. for trial run. In 2018, will ship 100 slot mach. In 2019???
On Sept. 2017 news, Mexico's market had 200k mach., Peru & Columbia had 80k & 50k mach. each. according to MD, if RGB can get 5% of Mexico's market (=10k mach.), which is huge. what abt other c'tries like Peru, Columbia, etc.
On sales, Chuah said RGB would deliver 679 machines and 25 units of card shuffling and chip sorting machines with a value of RM92mil to an integrated resort in Vietnam.
“The deal was signed in 2017 but is being implemented now because the deposit has just been received.
“These machines will be delivered by mid-April,” he sai
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....
JaBerry
369 posts
Posted by JaBerry > 2018-04-25 18:37 | Report Abuse
Sleeping again ?