The Company has announced, on 30 May 2016, that during FY2016, the Group incurred a net loss of S$9.6 million (2015: S$0.7 million net profit after tax) and reported net cash outflows from operating activities of S$4.2 million (2015: S$0.8 million). As at that date, the Group&rsquo s liabilities exceeded its assets by S$2.9 million (2015: net equity position of S$6.6 million).
is company in negative equity position? dying?
Expect report loss by late may2016 for full year end march2016
1) Expect revenue only $15 million
2) Expect loss of $1 million, due to
3) Expected 5% higher admin cost (mainly stuff cost)
4) Recommendation: SELL, target $0.17
*Previous CFO gone 30apr2016, deduce nov2016 disappointment*
Jul2015 annual report page46 said Sandra Yow Geok Kein awarded 4,000,000 options exercisable 1,000,000 options per year from 06aug2015 at exercise price of $0.0176.
23feb2016 announced 10 to 1 consolidation for MTP.
30mar2016 announced loss warning for results to be announced in may2016 for year end mar2016.
29apr2016 announced appointed new CFO Koh Poh Beng, who had lasted as Mary Chia Hldgs Ltd CFO about only 1 year from aug2011 to sep2012, and had not hold any other CFO or equal or higher appointment otherwise.
30apr2016 announced previous CFO Sandra Yow Geok Kein " cessation" .
*
Conclusion
*
1) Sandra Yow Geok Kein will have at least 300,000 consolidated options forfeited, at apr2016 market price of about $0.28, was a $30,000 loss.
2) Sandra Yow Geok Kein took this loss at $0.28 market price and left 30apr2016.
3) So it was deduced that this insider of insiders would not expect market price to go up in near term next 1 to 3 year.
4) Hence, result for next half year to be announced in nov2016 is also deduced to be DISAPPOINTING.
price seemed to rebound strongly today....Anyone still shorting this counter?
Where is this info found? " Their top executives CAN exercise their options at 17c to profit big big by selling above 20c" . tks.
Drop 20%++ till no eye see after MTP 10 to 1 consolidation. Even their deadliest hardest die-hard cheerleader also run away already ... what you as shareholders should do???
A) If you continue to hold
#1 Their top executives CAN exercise their options at 17c to profit big big by selling above 20c, and continue to reward you shareholders results as in nov2015 loss and coming may2016 expected loss.
#2 Their poor employees cannot exercise options at 23c to profit much.
#3 At current 20c above, shareholders you lost money.
RESULT: their top executives enjoy cash, you lost money.
B) If you sell until price drop to 17c below
#1 Their top executives CANNOT exercise their options at 17c to profit. This is what you shareholders reward them.
#2 Their poor employees still cannot exercise options at 23c to profit much.
#3 Once price drop to below 17c, say after announcement of the expected loss in may2016, you can buy back lower say at 10c.
RESULT: their top executives get useless options, you enjoy cash.
Shareholders your choice is obvious ....
In " Ezra" thread " Proposes 8-to-1 share consolidation"
littleones ( Date: 02-Mar-2016 16:15) Posted:
Share consolidation is bad for the investors. I have sold off all counters that need to consolidate their shares. Many at a lost but that is the nature of playing with shares
usually share price will drop at lot after share consolidation. just probbably can buy around 15 cents (post consolidation)...
anyone has any views when is a good price to enter?
No hurry to scope but I think can short big time... Based on their recent profit guidance announcement, I think FY15 and the next 2 to 3 qtrs in FY16 will be in red. Even if the qtrs in FY 16 are in black, price movement will be limited unless it drops back to these prices.
Anyway, Monday price will determine the consolidation price and Tuesday thereafter will drop below the this price or MTP requirement.... More consolidation ahead... Might be good to explore other penny counters in the meantime...
My personal views
I think it will go down further after consolidation too. maybe got chance to buy lower in the future.
Stratech has indicates that it will be a lost making year in FY15. Coupled with the ongoing consolidation exercise and recent market direction, it will move south and further south especially when the FY15 result is out in Apr/May....Likely to go below $0.20 again after consolidation and to recover from its IPO days will be hard... Mission Impossible...... Maybe good to short big time and buy back at low value...
Do it at your own risk...Not for the faint hearted...
I think it will go down further after consolidation too. maybe got chance to buy lower in the future.
Stratech has indicates that it will be a lost making year in FY15. Coupled with the ongoing consolidation exercise and recent market direction, it will move south and further south especially when the FY15 result is out in Apr/May....Likely to go below $0.20 again after consolidation and to recover from its IPO days will be hard... Mission Impossible...... Maybe good to short big time and buy back at low value...
Do it at your own risk...Not for the faint hearted...
Stratech has indicates that it will be a lost making year in FY15. Coupled with the ongoing consolidation exercise and recent market direction, it will move south and further south especially when the FY15 result is out in Apr/May....
Likely to go below $0.20 again after consolidation and to recover from its IPO days will be hard... Mission Impossible...... Maybe good to short big time and buy back at low value...
Do it at your own risk...Not for the faint hearted...
Thanks for the sharing but may I know where you see the profit warning? I cannot find at SGX
Profit warning for FY3/16 due to lower revenue resulting to the late award of several projects and increase in staff and rental costs.
Nov2015 announced DISAPPOINTING half year end 30sep2015 revenue drop 77% to only $2.1 million and lost $3.7 million, due to high manpower cost.
They announced on 28mar2016 EGM " expects current contracts to contribute substantially to earnings in FY17 and FY18" and " will stay focused on growing iFerret TM orderbook to achieve a steady earnings stream" .
Reading between the lines:
1) Current contracts have nothing much for FY16 results to be out in may2016. So expect DISAPPOINTMENT in may2016, again because high manpower cost always there.
2) FY17 and FY18 manpower cost likely will still eat away most earnings since again because high manpower cost will still always be there.
3) Even if they announce new overseas airport project this year 2016, it will not contribute much to FY16, FY17, FY18 since we know now such projects will not contribute much in near-term.
4) There is no steady earning stream yet, but high manpower cost still always there.
** Conclusion **
Expect DISAPPOINTMENT for may2016 FY16 result.
FY17 at most expect break-even.
FY18 at most expect small small profit.
Recommend to SELL, if you are in love with this stock, you may buy back from 2018.
SGX MTP rule was known since august 2014.
In 1Q2015 they did a " don' t know for what" exercise of every 20 old shares at about 1.7c " restructured" into 20 shares of the current " Group" also at about 1.7c.
Why in 1Q2015 they did not consolidate every 20 old shares at about 1.7c " restructured" into 1 shares of the current " Group" then at about 34c to also meet the SGX MTP rule???
Now then happy happy consolidate 10 into 1 and spend shareholders money $0.?? million again to call EGM!!!
Is it they really think they can meet the MTP 20c without share consolidation in 1Q2015? HA HA HA ... no wonder SGX number 1 laughing stock .. HA HA HA
** More on Terminator 2 **
Oct2014 announced previous COO Leo Siang Kwong " terminated" , replaced by " director of operations (aerospace)" Koh Tiong Chie Eric, at estimated about $15,000 per month pay.
Jul2015 annual report said total 1,567,183,371 shares.
Jul2015 annual report page46 said Eric Koh Tiong Chie awarded 4,000,000 options exercisable from 03oct2015 at exercise price of $0.017.
Nov2015 announced DISAPPOINTING half year end 30sep2015 revenue drop 77% to only $2.1 million and lost $3.7 million.
02Jan2016 Terminator 2 confirmed !!! Not easy giving direction to operate at Dubai aerospace.
12feb2016 announced appointed new COO Gary Robert Abraham.
23feb2016 announced total 1,567,183,371 shares NO CHANGE for MTP share consolution, *no options had been exercised*
*Conclusion *
1) Koh Tiong Chie Eric had not exercised any option.
2) 4,000,011 options when forfeited, at oct2015 market price of about $0.050, was a substantial personal lost of $132,000, so obviously there was no willing " resignation" likely.
3) It was obvious who the company considered was responsible for the Nov2015 $3.7 million lost.
4) It followed that something must have been done WAY BELOW EXPECTATION by this person deemed responsible.
5) Results to be announced in may2016 for year end mar2016 was thus expected to be negatively and seriously affected.
