ChanKitWhyePrior to his retirement, Chan Kit Whye worked more than 30 years as Regional Finance Director, Financial Controller and Manager in a multinational specialty chemical business. He has played an active role in CPA (Australia) Singapore Branch, taking up positions in its Continuing Professional Development and Social Committees. Kit Whye is a Fellow of CPA Australia, CA of Institute of Singapore Chartered Accountants and CA of the Malaysian Institute of Accountants. He holds a BBus(Transport) Degree from RMIT, MAcc Degree from Charles Sturt University and MBA from Durham Business School.




Asian Pay TV Trust: For gamblers only. This stock offers more than 10% dividend yield, but the payout comes from both operations plus remains from IPO proceeds. 

So, when the result is released on Feb 24, you can gamble that the share will go up 4.1 cents. 

If not, cut loss.  

Be prepare to lose, but how low can this stock goes?

asianpaytt_2.14Asian Pay TV Trust has a market cap of S$1.08 billion. Chart: FT.com 
 





ramba_oil2.14Ramba is engaged in oil and gas exploration and production in Indonesia. It ventured into the energy sector in 2008 with the goal of becoming a significant energy producer in Indonesia. Photo: CompanyRamba Energy: Reported Q4 2013 loss of $4.4 million as compared to prior year Q4 of $1.9 million. 

Its full year 2013 loss stood at $15.7 million, 105% more than its previous year's loss of $7.5 million.

Loss per share was 4.5 cents. Free cash flow was negative at $5.7 million.

Its cash balance increased by $1.2 million despite a rights issue with proceeds of $18.4 million, and $13 million being utilised for the acquisition of intangible assets.

Its NAV per share stood at 17.29 cents.

In 2013, all its three segments - Oil & Gas, Logistics and Rental - reported losses.

Its share price will get hammered down tomorrow but the directors are trying their luck by making an announcement that its Drill Stem Test results at the Akatara-2 appraisal yielded positive results, with initial flow rates of up to 2,300 barrels oil per day.

Given the positive DST results and commercial flow rates from the Selong-1, Akatara-1 and Akatara-2 exploration wells, the Company shall begin to make preparations for commercial production and will submit the plan for development to the relevant authorities in due course.

But its current price-to-book ratio is 3.3 times, and I wonder how far can its share price go with such poor performance in 2013.


Comments  

0 #2 Chan Kit Whye 2014-02-19 08:15
Greenrookie, dividend out of proceeds will be depleted very soon, and APTT must grow its cash flow from new business, especially meeting its target for expansion into Taichung. Its tax dispute issue with the Taiwan government must be settled amicably, and management must focus of managing its business and growth efficiently and effectively rather than taking a risk on foreign exchange swap deals. The dividend yield currently exceeds 10% and yet its share price is not moving. It means that there are associated risks that the market is factoring in its share price.
Quote
0 #1 greenrookie 2014-02-18 21:02
Hi, mr chan,

Can u tell me why u think APTT can only pay out its dividends from both operations and proceeds. My calculation is it is possible to maintain that payout with operation and the loans that has been secured but not drawn down, taking into consideration all telcos are highly geared too, not just APTT.

Perhaps APTT is not a stock u can sleep with, but the next 2 years dividends is rather safe, if u look at the current assets EBITA, and if u calculate a modest 5% growth, ( can come from Taichung basic cable, gain of premium cable subscribers, and broadband) granted competition will increase with rezoning, but the effect will be felt after 2 years only, and the market is generally big enough for 1-2 competitors. No one in the right mind will go in for a 4 or 5 way contest.
Quote

Share Prices

Counter NameLastChange
AEM Holdings1.1300.030
Alliance Mineral0.125-0.003
Anchor Resources0.014-
AusGroup0.027-
Avi-Tech Electronics0.2850.015
Best World Int.1.360-
China Sunsine1.1400.010
CSE Global0.480-0.005
Food Empire0.495-
Geo Energy0.157-
Golden Energy0.2050.005
GSS Energy0.0840.003
HMI0.715-
ISDN Holdings0.235-
KSH Holdings0.420-
Miyoshi0.043-
Moya Asia0.076-
Nordic Group0.2900.005
Oxley Holdings0.330-
REX International0.0680.001
Riverstone0.915-0.005
Roxy-Pacific0.390-0.005
Sing Holdings0.405-
SingMedical0.380-0.005
Sino Grandness0.0500.004
Straco Corp.0.755-0.005
Sunningdale Tech1.4000.010
Sunpower Group0.480-
The Trendlines0.078-0.002
Tiong Seng0.230-
Uni-Asia Group0.7550.010
XMH Holdings0.153-
Yangzijiang Shipbldg1.5200.010

NextInsight RSS

rss_2 NextInsight - Latest News

Online Now

We have 2446 guests and no members online