REGIONAL PERFORMANCE For the cumulative 3QFYE2017, the Group’s regional segment recorded significant financial improvement with its revenue at RM124.0 million, PBT at RM19.5 million and PAT of RM15.7 million. This translates to an outstanding revenue growth rate of 128.3%. Correspondingly, PBT and PAT also grew by 517.0% and 746.9% respectively.
For the Myanmar operations, the Group has completed and owns more than 640 telecommunication towers. During the quarter under review, OCK had secured an additional 300 telecommunication tower orders from the new telecommunication operator named Telecom International Myanmar Company Limited (“Mytel”) on a build and lease model, similar to the Telenor Myanmar’s agreement, and the roll-out is currently in progress.
In addition, the Group managed to secure co-location agreements with other operators in Myanmar including Mytel and Myanma Posts and Telecommunications (“MPT”), which will further enhance its tenancy ratio in the coming months.
After OCK invest heavily in TNS finally bear fruit. Not only each region can self sustain (Net profit > depreciaiton + finance cost) but able to reduce company net gearing With the support of healthy tenancy ratio, BTS, i am expecting overall margin is able to turn around this financial year.
ock result is profitable but no surprises. unless q4 can achieve 16.9mils, if not, most likely gonna fall short of Kenanga full year expected NP of 34.5mils. i guess the target price should be somewhere around 96sen.
you can not expect big margin from this kind of business and can not evaluate using PE methodology. You have to present to your customer on your formula of base rental. example
rental = (construction cost) x (1+impairment rate)+ maintain expense) x (1 + cost markup rate) useful life of depreciation
A good management like OCK will well focus to reduce construction cost and reduce maintain expense( which is their expect) to increase life of usage and hence your profit margin will increase.
i calculate OCK like shark loan business model Loan to people 120k, monthly take back 10k for 2 years let say but even the 120k is already pay out, monthly still add on 5k as expenses, which mean, after 2 years, i still got 120k on hand to continue do shark loan , and recieve 240k for profit
actually this counter is suitable for those people who wanna have peace of mind investment yearly 10-20% return no problem, not for those who wanna become rich in few days or few month ~ i believe OCK and will keep for few years, unless it broke my cut loss point
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....
ahizra2
119 posts
Posted by ahizra2 > 2017-11-20 09:14 | Report Abuse
best time to buy from mid December to end of year