(31-05-2011, 10:28 AM)changwk Wrote: [ -> ]it's quite small for a 500mil revenue company. i would imagine that the inventory will be much higher.
anyone has insights as to why the inventory values is so low?
Hi Changwk,
Inventory is kept low because Boustead does not do the fabrication and lower-end construction work; in fact this is outsourced to contractors and sub-contractors. Real-Estate Solutions Division focused on high-end buildings in the aviation, bio-tech and electronics industry and Boustead adds value with regards to the design, layout and "Green" features (see previous projects). Hence, there is no necessity to keep high amounts of inventory on its Balance Sheet.
Hot off the press! Boustead Projects is awarded a $23 Million Design and Build contract for an aviation facility for Bell Helicopter to build an MRO Hangar Facility. See attached press release.
(Vested)
I'm listening through the audiocast right now, and I quite like how he replied to the question from TCK regarding new opportunities. The way he explained about managing risks especially. Am very pleased with the special dividend, which was alot more than I expected to receive. Also, FF Wong mentioned something about new potential projects up and coming, am keen to see what will come of those.
Hi, may I know how you all track the order book of Boustead? Is it through announcement made by the company or by tracking their annual report. ; )
(12-06-2011, 10:57 PM)Pursuitofknowledge Wrote: [ -> ]Hi, may I know how you all track the order book of Boustead? Is it through announcement made by the company or by tracking their annual report. ; )
It's in their quarterly press releases, and it can also be found in their latest FY 2011 presentation slides. See link below:-
http://info.sgx.com/webcoranncatth.nsf/V...C00330A1C/$file/Boustead-FY2011_Financial_Results_Presentation-26.05.2011.pdf?openelement
(Vested)
(12-06-2011, 11:09 PM)Musicwhiz Wrote: [ -> ] (12-06-2011, 10:57 PM)Pursuitofknowledge Wrote: [ -> ]Hi, may I know how you all track the order book of Boustead? Is it through announcement made by the company or by tracking their annual report. ; )
It's in their quarterly press releases, and it can also be found in their latest FY 2011 presentation slides. See link below:-
http://info.sgx.com/webcoranncatth.nsf/V...C00330A1C/$file/Boustead-FY2011_Financial_Results_Presentation-26.05.2011.pdf?openelement
(Vested)
Hi Musicwhiz, Thanks for the effort to find the link and include it here. ; ) Learn something new. Thanks!
Dear all,
Part 1 of my Boustead FY 2011 Analysis is now up on my blog. Please feel free to visit and leave comments, thanks!
A snippet as follows:-
"Boustead was expected to go through a rough patch for 4Q 2011, as it was evident from their announcements and press releases that Libya was going through a civil war and that all foreigners had to be evacuated from the country. While the impairment and provisions took up about $17.6 million in total, note that this was merely an accounting entry and had no impact on cash flows. The cash flow statement analysis section will demonstrate that cash flows continued to be very strong for the Group."
More bad news - the Group is now liable for damages amounting to US$18.8 million arising from corporate guarantees made.
See attachment.
(Vested)
Dear all,
Part 2 of my Boustead FY 2011 Analysis is now up on my blog. Please feel free to visit and leave comments, thanks!
A snippet as follows:-
"One would notice that Real-Estate Solutions Division now takes the lion’s share of revenue, as a proportion of Engineering Services Division. It made up 63.6% of revenues as compared to just 50.9% a year ago, and I am confident that this is the reason Boustead decided to buy out the minority interest in Boustead Projects (of 8.3%) during FY 2011 and make Boustead Projects a wholly-owned subsidiary. As a proportion of total revenues of $560.6 million, Real Estate takes up 52.7% of total Group Revenue, up from just 41.9% a year ago. This attests to Boustead’s strategy of focusing this division on a niche market in which it can compete very effectively and “lock-in†good margins. Boustead Projects is also building up its portfolio of Design, Build and Lease (DBL) projects which provide recurring income and cash flows, apart from just bolstering their Design and Build order book."
Business Times
July 9, 2011
Boustead in deal to sell future strata divided building in Ubi
BOUSTEAD Singapore has entered into an agreement to sell a strata divided building - to be constructed at 61 Ubi Avenue 1 - for $38 million. The sale will be completed during the financial year ending March 31, 2014. Boustead expects the sale, through Boustead Projects, to have a material positive impact on its net tangible asset value and earnings per share for FY2014.
(Vested)