Multi-Chem

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#51
(04-07-2022, 10:42 AM)brattzz Wrote: A point to note that company has changed to it's 3rd CFO now, previous 2x CFOs say resign to spend more time with family...

:O

I took a closer look at the dates of the past FC/CFO for Multichem for the last 20years. It seemed like at certain times, they only had a FC (but not a CFO).

So far, ex CFO Zhao Yu looks like the anomaly.

Current FC, Amanda Zhang (9 years at company and still going)
Start of work: 1st July 2013
Date of appointment as FC: 30th June 2022

Ex CFO, Zhao Yu (13 years at company, with ~10months as deputy CFO/CFO)
Start of work: 2009
Date of appointment as deputy CFO: 13th Aug 2021
Date of appointment as CFO: 1st March 2022
Date of cessation as CFO: 30th June 2022

Ex-ex CFO, Rayson Lim (19 years at company, with 5 years as FC and 5 years as CFO)
Start of work: 2002
Date of appointment as FC: 24th May 2011
Date of appointment as CFO: 9th May 2016
Date of cessation as CFO: 13th Aug 2021

Ex-ex-ex FC, Lim San San (11 years at company, with 4 years as FC)
Start of work: 2000
Date of appointment as FC: 9th March 2007
Date of cessation: 18th April 2011

Ex-ex ex CFO, Wilson Ho (10 years as CFO)
Start of work: ??
Date of appointment as FC: 13th March 2000
Date of cessation: 3rd June 2011
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#52
usually if CFO is coming from same company and company doing well its nothing to be alarmed.

Would be exciting if suddenly CFO came from outside the company or from parent company, would mean takeover likely to happen.

Now global recession coming cant do much just sit and wait
Virtual currencies are worth virtually nothing.
http://thebluefund.blogspot.com
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#53
FY21 seems like the revenue/earnings peak? Nonetheless, the Boss has signaled his "OPMI-friendliness" by continuing to declare higher dividends YoY despite the low revenue/earnings. Its dividend payout ratio has been conservative below 50% for past few years and so it is well able to do so.

Unaudited Condensed Interim Financial Statements and Dividend Announcement
For the financial period from 1 January 2022 to 30 June 2022

The interim tax exempt 1-Tier dividend of 6.60 cents per ordinary share will be paid on 9 September 2022

1H22 results: https://links.sgx.com/FileOpen/Multi-Che...eID=726308
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#54
(09-08-2022, 10:39 AM)weijian Wrote: FY21 seems like the revenue/earnings peak? Nonetheless, the Boss has signaled his "OPMI-friendliness" by continuing to declare higher dividends YoY despite the low revenue/earnings. Its dividend payout ratio has been conservative below 50% for past few years and so it is well able to do so.

Unaudited Condensed Interim Financial Statements and Dividend Announcement
For the financial period from 1 January 2022 to 30 June 2022

The interim tax exempt 1-Tier dividend of 6.60 cents per ordinary share will be paid on 9 September 2022

1H22 results: https://links.sgx.com/FileOpen/Multi-Che...eID=726308

I believe like many "tech" type companies the past year is probably earnings peak as we are now going into a global recession. Probably the last sector to benefit is property/banking which is peaking now as excess capital runs from HK/China down to SG but even that will run out soon as the coming global recession hits hard.
 
Multichem business will be affected as company spending will be cut for sure. 

But longer term i think their business model is still sustainable and should be cash flow positive for a long while yet. 

The PE ratio and yield still show that this stock is slightly undervalued.
Virtual currencies are worth virtually nothing.
http://thebluefund.blogspot.com
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#55
Actually I am surprised to see the revenue is holding up very well even they closed significant big deals last year, the profit was affected by some of non controllable factors such Jobs Support Scheme and foreign exchange loss etc, but the co has been reminding investor on the potential key risks. I am happy with the co's performance and management so far, this is cash cow and good dividend play for long term. I just hope this one wont be bought out cheaply by the owner soon.

<Vested>
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#56
(14-08-2022, 09:24 AM)xierwang Wrote: Actually I am surprised to see the revenue is holding up very well even they closed significant big deals last year, the profit was affected by some of non controllable factors such Jobs Support Scheme and foreign exchange loss etc, but the co has been reminding investor on the potential key risks. I am happy with the co's performance and management so far, this is cash cow and good dividend play for long term. I just hope this one wont be bought out cheaply by the owner soon.

<Vested>

Boss has done some buybacks before but i dont think he has  enough to GO yet. 

It will probably not get bought out cheaply as this boss is OPMI friendly and stock price whilst a bit illiquid is tracking up steadily. PE and div yield wise its also only slightly undervalued now. 

I be happy if boss makes an offer to buyout or some other foreign tech company buys it at $2.20 or so.
Virtual currencies are worth virtually nothing.
http://thebluefund.blogspot.com
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#57
think boss has 70%, so he can do a VGO (like TTJ) and mop up the rest to hit 90.001% easily... Big Grin
while ACRA is still snoozing over this loophole... Tongue
1) Try NOT to LOSE money!
2) Do NOT SELL in BEAR, BUY-BUY-BUY! invest in managements/companies that does the same!
3) CASH in hand is KING in BEAR! 
4) In BULL, SELL-SELL-SELL! 
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#58
(17-08-2022, 10:56 AM)brattzz Wrote: think boss has 70%, so he can do a VGO (like TTJ) and mop up the rest to hit 90.001% easily... Big Grin
while ACRA is still snoozing over this loophole... Tongue

Well possibly if there is a big correction in share price, but this boss doesnt have the same behaviour as TTJ, the company pays out generous dividend consistently and boss dd some open market buys in the past but they dont use company money to do SBB to increase their holdings. So i think even if going towards privatising, boss will likely do a fair offer unlike other bosses
Virtual currencies are worth virtually nothing.
http://thebluefund.blogspot.com
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#59
Full year result is out, the co declared S$0.177 full year dividend witch is more than 50% improvement from last year, hope we could enjoy many more years of good dividend to come.

The profit was affected by some of non controllable factors such Jobs Support Scheme and foreign exchange loss etc
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#60
3. Risk Factors
The Group’s primary business risk is in its IT business. In the area of IT business, the Group is subject to risk of
reliance on a few key vendors, with respect to their channel strategies, as well as product roadmap. The Group is
also exposed to the risks of product obsolescence with respect to the hardware carried. To mitigate such risk, the
Group has taken steps to align with the leading names in the IT arena. The Group monitors its inventories on a
quarterly basis and will make allowances where necessary.
The Group is also exposed to foreign exchange risks as we transact with our suppliers, vendors and customers in
Singapore dollar, US dollar, Chinese renminbi, Australian dollar, Thailand baht, Malaysian ringgit, Indian rupee,
Indonesian rupiah, Taiwan dollar, Hong Kong dollar, Philippines peso, and to a lesser extent, Euro, Korean won,
Japanese yen, Vietnam dong, New Zealand dollar, British Pound and Sri Lankan rupee. The Group may, from
time to time, enter into borrowing and foreign currency arrangements to reduce its foreign currency exposure. With
any volatility in the US dollar, the Group expects to be exposed to a higher foreign exchange risk against some of
the local currencies we collect from the customers.
The Group is also exposed to the political, legal and economic climates of the country in which the Group is
operating. Economic and political conditions are still key factors in determining the level of IT spending

1.5 CASH FLOW ANALYSIS
Net cash of $12.1m was generated from operating activities in 12M2022, as compared to net cash of $26.9m
generated in 12M2021. This was mainly due to lower profit before income tax and increase in inventories, trade
and other receivables owing to higher business volume, net of increase in trade and other payables, and contract
liabilities.
Net cash of $939,000 was used in investing activities in 12M2022, as compared to $896,000 used in investing
activities in 12M2021. The change was mainly due to purchase of plant and equipment of $856,000 and
purchase of club memberships of $296,000, net of proceeds from disposal of plant and equipment of $213,000 in
12M2022, as compared to purchase of plant and equipment of $737,000 and additions to right-of-use assets of
$428,000, net of proceeds from disposal of plant and equipment of $269,000 in 12M2021.
Net cash of $14.5m was used in financing activities in 12M2022, as compared to net cash of $20.1m used in
financing activities in 12M2021. This was mainly due to repayment of bank borrowings of $5.5m, payment of
dividend of $12.2m and repayment of lease liabilities of $1.3m, net of proceeds from bank borrowings of $4.9m in
12M2022, as compared to net cash outflow from acquisition of interest in a subsidiary of $15.9m, repayment of
bank borrowings of $10.5m, payment of dividend of $9.7m and repayment of lease liabilities of $1.3m, net of lift in
fixed deposits pledged of $9.9m and proceeds from bank borrowings of $7.7m in 12M2021.
Cash and cash equivalents stood at $69.5m as at end of 31 December 2022, down from $74.4m as at end of 31
December 2021

Big Grin Big Grin Big Grin
1) Try NOT to LOSE money!
2) Do NOT SELL in BEAR, BUY-BUY-BUY! invest in managements/companies that does the same!
3) CASH in hand is KING in BEAR! 
4) In BULL, SELL-SELL-SELL! 
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