Given the timing of the FY2018 AGM, we can expect that BW will pay an interim dividend (FY2019) in Sept 2019 first, ahead of the FY2018 final dividend.
Super 2Q results, with profit up 193% to $26.8 million .
Interim Dividend of 1.2 cents to be paid on 28 Aug 2019.
(bad news for shortists:
You have to cough up 1.2 cents a share for the scrip you borrowed to short-sell. On top of that, you have to continue paying borrowing fees (6% p. a., CDP rate) until trading resumes and you have covered your short position. Trading resumption is expected to take place in Oct 2019.
The Board engaged the Company’s auditors, Ernst & Young LLP (“EY”), to conduct certain agreed upon procedures (“AUP”) in respect of a list of significant cash receipts from the People’s Republic of China (“PRC”) during the period from 1 January 2019 to 30 June 2019 as identified by management and agreed by the Audit Committee (“AC”). The AUP conducted by EY were to agree key details of the significant cash receipts identified by management and agreed by the AC to the Company’s monthly bank statements and remittance advices.
No adverse findings were reported by EY in relation to the AUP performed.
Simple layman interpretation:
EY checked, double-checked that cash inflows from China subsidiaries Jan-June 2019 matched BW's Singapore bank account receipts. Cashflow from China confirmed, lah
Best World bought back 600,000 shares yesterday at 1.63 and 1.64.
Cheap Cheap. Trailing PE is only 5-6 X.
BW has a large cash hoard of S$360 million, even after doing S$140 m of share buy back earlier this year.
EV/EBITDA is only 2x.
4Q2022 performance was pretty good. Masked by "Net other losses" of $22.9 million mainly attributable to
---> impairment of the Group’s investment in a joint venture in UK, and
---> net foreign exchange losses from settlement of trade receivables denominated in Chinese Yuan, and
---> revaluation of cash and cash equivalents denominated in United States Dollars.
Note: Yuan and United States Dollars were significantly weaker against Singapore Dollars in 4Q2022.
If not for the "net other losses" , the profit for FY2022 would have been similar to the record high of S$154 m in FY2021.
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