Erartat result is out:
Cash/share increase to 25Cents(S$)
EPS for 3Q is 1.64(S$)cents not bad
Gross profit dip 10% Q-t-Q (due to foot-ware)
NAV increase to 43.5(S$) cents
15 New distributor each will open 2 store average
Eraratat will open 2-3 its own store all by 1Q 2014 before Chinese new year.
Receivable 445m (RMB) 80+% is below 90 days.
Looks healthy.
So long as there is no irregularity issue it is worth a bet at current depress price.
elbert wrote: Erartat result is out:
Cash/share increase to 25Cents(S$)
EPS for 3Q is 1.64(S$)cents not bad
Gross profit dip 10% Q-t-Q (due to foot-ware)
NAV increase to 43.5(S$) cents
15 New distributor each will open 2 store average
Eraratat will open 2-3 its own store all by 1Q 2014 before Chinese new year.
Receivable 445m (RMB) 80+% is below 90 days.
Looks healthy.
So long as there is no irregularity issue it is worth a bet at current depress price.
Hmm... Healthy?
See it in another way
The net profit is 38.82mil RMB (EPS 1.64 cents)
But the net increase in trade receivables is 34.29mil RMB (1.45 cents per share)
Hmmm....
Free cash flow is at 565k RMB
It is also obvious the majority of the increase in cash this time comes from the issue of the bond (99.3% of net increase in cash and cash equivalent) as calculated from the cash flow statement.
I'm not sure about you guys, but to me, listing the fact that cash per share rose to $0.25 at the headlines but not together with the phrase of cash flow remaining strong, looks a little misleading.
- Men don't buy footwear as often as ladies so it is understandable why they are decreasing the footwear sales order while trying hard to expand the apparel sales.
- unfortuately, the expansion of apparel unable to offset the footwear, tat's why see flattish growth in 2011-2013. Rising ASP is a good sign but also rising apparel costs.
- The new distributors coming on board is not a surprise as it is expected. so, with 15 new distributors opening 1-2 shops each + 10 retail flagship stores, we shld expect them to open 25 to 40 new shops in 2014. The relationship sales model shld be yielding results in 2014 as well.
- The Q3 result is more or less in line with expectations. What fundamentalist said is true but is also expected. Cash increase comes from bonds etc. Don't forget they pay dividends in Q3 too. They need to utilise the bond proceeds and put the cash to work. There will be some time lead unfortunately, from the time they receive the money to the time the money is put to work. Will hv to observe the next few quarter results and see. When it comes to expansion, they always undertake a slow, gradual, careful approach. But with the bond interests, I do think they need to a more aggressive approach in expansion. I will raise this in the briefing.
- The major growth expansion will come in 2014, as said be4 many times. so it is nt a stock for short term trading. if u want to maximise your capital gains, u should hold for a couple of months n wait for the expansion to keep effect to maximise your capital gains.
- mkt gapped up today, so i guess they like the distributor announcement. Let's see this yr if it can break the 30 cents EPS barrier.
- i will hv lots of tough questions in my mind right now to raise to the CFO during the briefing. so, those who can attend the briefing, just come lol.
Thank you for your info, can I know where you get such info, I was trying to get Yangzijiang tax numbers, are you able to help me with that?? Thanks a lot! I can only find the ranking and 2008 numbers, but not recent years tax paid for YZJ, which operate in Jiangsu.
btw... There are still unanswered questions from your link
1) From your list, 鳄莱特（福建）轻工发展有限公司 paid 5 million of taxes, but such subsidary did not pay any income tax according to their 2012 AR, so it could be VAT or other types of taxes, so where the hell are 福建海明威鞋业有限公司 and 泉州市泉港宏力鞋业有限公司which paid plenty of incom taxes in the list???
The following user(s) said Thank You: Fundamentalist
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