Type Announcement Subject OTHERS Description Profit Guidance The Company wishes to inform its shareholders and potential investors that the Company expects to record a substantial loss for the fourth quarter of 2015 (4Q2015) and the financial year ended 31 December 2015 (FY2015) mainly attributable to the following:-
(i) Provision for onerous contracts
The dry bulk market continues to be weak and it is uncertain when the market will recover. The Group has reviewed its non-cancellable operating lease contracts for the chartered-in vessels and based on a preliminary assessment, the charter-in costs are higher than the current and likely market rates. Hence a provision for onerous contracts has to be made.
(ii) Provision for impairment of investment in associate, PACC Offshore Services Holdings Ltd (POSH)
The current depressed state of crude oil prices has had an adverse impact on the global offshore marine industry in which POSH operates in. The Group carried out a preliminary assessment of its investment in POSH and is of the view that the fair value of the investment in POSH is likely to be lower than the carrying value and an impairment loss provision has to be made. While the amount of the impairment is yet to be determined, it is expected that this will have a significant adverse impact on the financial results of the Group for 4Q2015 and FY2015.
This announcement is based on the preliminary assessments carried out by the Group due to the development of the market situations in which the Group and its associate operate. These assessments have not been reviewed or audited by the external auditors.
Details of the Group’s financial performance for 4Q2015 and FY2015 will be disclosed when the Company announces its unaudited consolidated financial results for the relevant periods.
Shareholders and investors are advised to exercise caution when dealing in the shares of the Company.
Regret , miss to follow it, the bus gone, bus-stop 1 ,bus-stop 2 also gone .what about the 3rd.stp still can go up?May be it is the last chance .If you miss it no more!.However it is a bit late to enter.guys good luck!!
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....
Wei Jie Yau
5,418 posts
Posted by Wei Jie Yau > 2016-03-29 08:39 | Report Abuse
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