Thursday, August 24, 2017

August 2017 Transaction Update


The reporting season for Q2 has just been over, and i am quite satisfied with all my holding companies, except Innotek.


(1) Sunningdale has been performing very well and giving an Inaugural Interim Dividend of 2.5cts per share for HY2017. This is above my expectation.

(2) Best World has been performing well too and giving Dividend of 1.5cts per share for HY2017. The shares price has been tumbling from about $1.62 to as low as $0.89 and as per today it is closed at $1.18/share. All this happened mostly by the news of a Chinese government regulator said it is cracking down on pyramid schemes.

Am i affected by the fluctuation of Best World shares price?
Share price is only matter to me when i want to make my purchase for a business or when i am considering to sell my holding.

Based of HY2017 result, i am quite satisfied with Best World performance, with both top & bottom lines have been increasing QoQ and YoY, dividend payout is also increasing, management is confident with their business prospect for few years down the road. I think the current valuation is still not high comparing to its growing rate. So far i am not affected much by the volatility of Best World shares price.

(3) 800 Super's FY2017 result is inline with my expectation. It should be performing well for next and following financial years. I might want to accumulate more if the shares price drops.

(4) Avi-Tech's FY2017 result is also inline with my expectation with total dividend of 2.8cts for FY2017 (paid 1ct in HY2017 & 1.8cts have been proposed for FY2017). 

(5) Frencken's HY2017 result is impressive and i am looking forward their next reporting results.

(6) Innotek's Q2 result is quite a disappointment. I would expect the Q2 result to be at least same as Q1 result. Nevertheless, it is not easy for a company to make a turnaround given there are still much efforts and works the management have to put in. I like the honesty of the management to share with the shareholders the current situation of the company and the few steps they are currently taking to embark new challenging ahead. I do hope they can perform better for the next few quarters and given their strong cash holding position, i will consider to reinvest back again when things are showing consistent improvement. Currently i have divested all my shares as it meets my Selling Criteria (to have Significant Lower Profits for 2 Consecutive Quarters). 

(7) I made my 2nd time purchase of Cogent at the price of 81.5cts/share. It is quite high price comparing to today's closing price at 80cts/share. However, looking at this company's business vision and mission, business operation, the intangibles assets they have currently, i am quite confident their business worth much more than current valuation and it is still room to grow their business.


Above are just my thoughts.