The last time Chairman bough shares was in Sept 2015 when he bought over Tat Hong's stake.
The loss of the dorm business will have a material impact as it contributes approx 20% of its net profits.
Moving forward, it is really dependent on TTJ's ability to get new orderbooks, imo, the mgmt will have to decide between reducing the profits from their bidding or stick to their current policy of high margins/low orderbook. Either way, earnings wise growth isnt much; hence one should project TTJ to be a slow grower at 3 EPS cents with about 36 cents book value.
(25-07-2016, 10:55 AM)weijian Wrote: [ -> ] (24-07-2016, 09:48 PM)TUBInvesting Wrote: [ -> ]Wrote a piece on TTJ Holdings Ltd announcement.
http://tubinvesting.blogspot.sg/2016/07/...nancy.html
If you are able to pick out the right information, you will realise that:
1. The lease will only expire in Jan 2017.
2. For financial year 2016, its financials will not be affected.
3. The new lease for the new dormitory starts in April 2016 - Which meant 3 months of the revenue will be recorded in the revenue for the financials of 2016.
With the information above and the exceptional 3rd Quarter recorded, we can predict the revenue and net profit for Financial Year 2016 will most probably be much higher. Thus, this should be something to celebrate rather than sad.
<Vested>
http://tubinvesting.blogspot.sg/
The market prices things on roughly a 12-18mths forward looking. I didnt know that it is unconventional and profitable to be even shorter term looking than the market!!
In anyways, company has stated that the new dorm (full year) will NOT have material impact for FY17 end. The date of contribution was stated wrongly (as pointed out by Muck), even though if it isn't, hard to imagine 3months of contribution would make a considerable impact.
Hi Weijian,
I agreed with you that market prices are forward looking and investors should have a long term view. My post here is basically telling people to not rush to sell if you are worried about the company losing its dorm business. However, I also never tell people to go in now. I believe the prices should fall next year or so, but we should decide our future action after the company releases its full year report.
Just my view.
<Vested>
Structural steel business still doing well..just wait for the next catalyst eg project win ...good dividend or even management buyout..as of now their order book will keep them busy till 2018..
Many buildings and train stations mrt etc still need the steel structure so new projects could be coming soon..
At 37 cents its already actuallly factor in just the structural steel business..which shld produce earnings of 3 to 4 cents a share.
The dormitory is just temporary or side business..
New 500 domitory is just the starting.. the dormitory can expand..
Just wait for the management buyout..
Its structural steel business still doing well ..
Current price already factored in without the dom biz..
Just wait out and keep our fingers crossed!
Next month (Sep) the company shld announce dividend ..
Since TTJ's biggest shareholder now has 294 million shares - equivalent to ~ 85 per cent.out of total share of 349.5mil.
he can easily buy the remaining 15% or 56 mil shares at just $19 to $21 mil..
The company has cash of $60 mil...and growing with little debt..
So one way is to declared another good dividend. Ie..
If a $20mil dividend declared or 0.057 cents dividend , the boss can received around $17mil..
shld be enough capital to take the company private..or do a buyout..
So just wait and see...
Hi Wind,
I too am hoping for a good dividend and maybe a buy out. But then if TTJ is able to earn 3 cents EPS and then deliver back 2 cents as dividends annually, holding on the share at current price of 0.35 is better; unless Mr Teo offers me 50 cents per share or if the shares are delisted
(03-08-2016, 09:59 PM)Dividend next month...Last year 0.08 dividend...Their balance sheet still very good and healthy..Usually if owner has huge stake...they can give high dividend or explore a mgmt buyout..So just hold.. CY09 Wrote: [ -> ]Hi Wind,
I too am hoping for a good dividend and maybe a buy out. But then if TTJ is able to earn 3 cents EPS and then deliver back 2 cents as dividends annually, holding on the share at current price of 0.35 is better; unless Mr Teo offers me 50 cents per share or if the shares are delisted