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shadow Veteran	21-Mar-2017 17:31        shadow About Contact  Quote this Post!
x 0   x 0  Alert Admin	How many here thinks NC cannot survive this round ?
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shadow Veteran	21-Mar-2017 17:27        shadow About Contact  Quote this Post!
x 0   x 0  Alert Admin	https://www.fool.sg/2017/03/21/what-investors-should-know-about-nam-cheong-ltds-going-concern-uncertainty/ Investors are panicking over offshore support vessels builder and owner Nam Cheong Ltd (SGX: N4E), judging from how the company&rsquo s stock price has changed since last Friday. As of the time of writing (1:50 pm), Nam Cheong&rsquo s shares are exchanging hands at S$0.027 each, some 45% lower than last Friday&rsquo s close. Short-term price movements can at times occur for no rhyme or reason. But in Nam Cheong&rsquo s case, I think it&rsquo s clear why. Last Friday night, the company revealed that its auditors, BDO LLP, had highlighted that &ldquo a material uncertainty exists that may cast significant doubt on [Nam Cheong&rsquo s] ability to continue as a going concern.&rdquo BDO came to its view due to a few reasons: 1) Nam Cheong&rsquo s revenue had fallen by 82% in 2016 and recorded a loss of RM 42.8 million due to some of its customers requesting a pushback on the delivery dates for their vessels. Furthermore, &ldquo the current downturn in the oil and gas industry may continue to add pressure to [Nam Cheong&rsquo s] financial performance and its operating cash flows.&rdquo 2) As of 31 December 2016, Nam Cheong&rsquo s balance sheet has debt of RM 948.7 million that are due &ndash or payable on demand &ndash sometime before or by 31 December 2017. Of the RM 948.7 million sum, RM 278.6 million has to be repaid on 28 August 2017 based on the current terms of the debt. As of 31 December 2016, Nam Cheong&rsquo s cash and equivalents amount to only RM 162.6 million. 3) Nam Cheong is (a) working with its bankers to restructure its debt, (b) looking for buyers and charterers for its fleet of vessels, and (c) improving its cost controls and cash flow positions. The company also has &ldquo sufficient&rdquo funds that its bankers has promised to lend to meet general working capital needs when necessary (provided that &ldquo certain conditions&rdquo are fulfilled). But, there&rsquo s no guarantee that the debt-restructuring will be successful, or that Nam Cheong&rsquo s bankers and creditors will continue supporting the company. To sum up the situation with Nam Cheong in plain English: 1) The company&rsquo s revenue and bottom-line have both declined substantially in 2016 and there is a high probability that its business performance will continue to suffer in the current year. (I think it&rsquo s worth noting too that Nam Cheong&rsquo s operating cash flow in 2016 was a negative RM 291 million although this is an improvement from 2015&rsquo s negative RM 548 million, it still highlights the company&rsquo s huge struggle to produce cash from its business.) 2) It currently does not have sufficient cash on hand to pay its loans and borrowings that are coming due before or by the end of 2017. (And as mentioned earlier, the company has not managed to show signs that it is currently able to generate cash.) 3) It&rsquo s hard to say as well whether Nam Cheong&rsquo s bankers and creditors will be willing to alter existing borrowing terms to help the company tide through its current predicament and/or lend more money to it. There&rsquo s a lesson in here for investors. Nam Cheong is a solvent company &ndash as of 31 December 2016, it has total shareholders&rsquo equity (total assets minus total liabilities and non-controlling interests) of RM 1.37 billion. But, the company is still confronting a serious risk of failing due to liquidity problems. When assessing a company&rsquo s ability to survive, it also pays to look at its ability to meet short-term financial obligations.
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ahhuat08 Elite	21-Mar-2017 17:20        ahhuat08 About Contact  Quote this Post!
x 0   x 0  Alert Admin	Muhahahahahuaaa, CEO knows the news from sgx company' s annoucement, who u kiddg?   sheerluck      ( Date: 21-Mar-2017 15:32) Posted: Hard to say.   Maybe the CEO only gets to know the results from the company announcement as well. Morello      ( Date: 21-Mar-2017 15:25) Posted: i also thot is insider trading
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ahhuat08 Elite	21-Mar-2017 17:18        ahhuat08 About Contact  Quote this Post!
x 0   x 0  Alert Admin	http://infopub.sgx.com/FileOpen/_eFORM1V2_LSK_Final.ashx?App=Announcement& FileID=444037
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sh0rthere Senior	21-Mar-2017 17:18        sh0rthere About Contact  Quote this Post!
x 0   x 0  Alert Admin	If sgx is a tiger. There won't be so many sino chips scams and blumont case. Think again. sheerluck      ( Date: 21-Mar-2017 16:19) Posted: Must be right.   Purposely breach the law meh?   CEO stupid?   Or he think our SGX is paper tiger only.   Cannot be.   Must be he only knows these things through their company announcement.   I insist that is the case. sh0rthere      ( Date: 21-Mar-2017 15:59) Posted: LOL. Ceo only knows the news from the announcement. Are you that naive? LO
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ahhuat08 Elite	21-Mar-2017 17:16        ahhuat08 About Contact  Quote this Post!
x 0   x 0  Alert Admin	CEO selling again at 4 cts apiece for 294,000. Really the comapany is in so bad shape huh?
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arkan1111 Veteran	21-Mar-2017 16:27        arkan1111 About Contact  Quote this Post!
x 0   x 0  Alert Admin	I think difficult to go up better than going to die (ai si la), at least still living soundblaster      ( Date: 21-Mar-2017 16:20) Posted: --- Post Removed by User ---
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sheerluck Supreme	21-Mar-2017 16:19        sheerluck About Contact  Quote this Post! Style: Flexible   Mood: Yells: "Work for your money first then let your money work for you"
x 0   x 0  Alert Admin	Must be right.   Purposely breach the law meh?   CEO stupid?   Or he think our SGX is paper tiger only.   Cannot be.   Must be he only knows these things through their company announcement.   I insist that is the case. sh0rthere      ( Date: 21-Mar-2017 15:59) Posted: LOL. Ceo only knows the news from the announcement. Are you that naive? LOL sheerluck      ( Date: 21-Mar-2017 15:32) Posted: Hard to say.   Maybe the CEO only gets to know the results from the company announcement as well.
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alexchew Master	21-Mar-2017 16:06        alexchew About Contact  Quote this Post!
x 0   x 0  Alert Admin	CEO do not read the draft report before signing? No AC meeting before that to discuss? I think there is a good 1.5 months lag between announcement and knowing the fact by the ceo.. mepkoh      ( Date: 21-Mar-2017 16:02) Posted: ceo is the one..preparing the accounts... he is the one.. borrowingfrom  n paying the lenders.. he is the first one to know... sh0rthere      ( Date: 21-Mar-2017 15:59) Posted: LOL. Ceo only knows the news from the announcement. Are you that naive? LO
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mepkoh Elite	21-Mar-2017 16:02        mepkoh About Contact  Quote this Post!
x 0   x 0  Alert Admin	ceo is the one..preparing the accounts... he is the one.. borrowingfrom  n paying the lenders.. he is the first one to know... sh0rthere      ( Date: 21-Mar-2017 15:59) Posted: LOL. Ceo only knows the news from the announcement. Are you that naive? LOL sheerluck      ( Date: 21-Mar-2017 15:32) Posted: Hard to say.   Maybe the CEO only gets to know the results from the company announcement as well.
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sh0rthere Senior	21-Mar-2017 15:59        sh0rthere About Contact  Quote this Post!
x 0   x 0  Alert Admin	LOL. Ceo only knows the news from the announcement. Are you that naive? LOL sheerluck      ( Date: 21-Mar-2017 15:32) Posted: Hard to say.   Maybe the CEO only gets to know the results from the company announcement as well. Morello      ( Date: 21-Mar-2017 15:25) Posted: i also thot is insider trading
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sheerluck Supreme	21-Mar-2017 15:32        sheerluck About Contact  Quote this Post! Style: Flexible   Mood: Yells: "Work for your money first then let your money work for you"
x 0   x 0  Alert Admin	Hard to say.   Maybe the CEO only gets to know the results from the company announcement as well. Morello      ( Date: 21-Mar-2017 15:25) Posted: i also thot is insider trading sheerluck      ( Date: 21-Mar-2017 15:04) Posted: The CEO dumped his shares just before the bad Q4 results and also just before the auditor EOM.   Like that SGX and MAS can accept?   No considered as insider trading?   I believe is already crossing the legal line, is it not?
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Morello Veteran	21-Mar-2017 15:25        Morello About Contact  Quote this Post! Style: Combined   Mood: Yells: "In it for the long haul"
x 0   x 0  Alert Admin	i also thot is insider trading sheerluck      ( Date: 21-Mar-2017 15:04) Posted: The CEO dumped his shares just before the bad Q4 results and also just before the auditor EOM.   Like that SGX and MAS can accept?   No considered as insider trading?   I believe is already crossing the legal line, is it not?
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sheerluck Supreme	21-Mar-2017 15:04        sheerluck About Contact  Quote this Post! Style: Flexible   Mood: Yells: "Work for your money first then let your money work for you"
x 0   x 0  Alert Admin	The CEO dumped his shares just before the bad Q4 results and also just before the auditor EOM.   Like that SGX and MAS can accept?   No considered as insider trading?   I believe is already crossing the legal line, is it not?
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ysh2006 Supreme	21-Mar-2017 13:31        ysh2006 About Contact  Quote this Post!
x 0   x 0  Alert Admin	Other CFD brokering houses maybe can...L&T CIMB Maybank or CMC etc...should open two more in case got this type of "pow chiak" opportunity by auditor's opinion... tankookoo      ( Date: 21-Mar-2017 09:43) Posted: i try to short using peoms cfd but cannot as peoms allow long only..seow...who wants to long this share now.. but thinking, correct not to allow cfd short else the price will plunge to 0.001 now...
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laksaman57 Supreme	21-Mar-2017 13:09        laksaman57 About Contact  Quote this Post!
x 0   x 0  Alert Admin	https://www.fool.sg/2017/03/20/these-oil-gas-companies-are-at-risk-of-becoming-the-next-ezra-holdings-limited/
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laksaman57 Supreme	21-Mar-2017 12:58        laksaman57 About Contact  Quote this Post!
x 0   x 0  Alert Admin	Banks have lesson learnt from Ezra episode and will be very critical of further extending financial lifeline to any O&G coy in distress.
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sheerluck Supreme	21-Mar-2017 12:39        sheerluck About Contact  Quote this Post! Style: Flexible   Mood: Yells: "Work for your money first then let your money work for you"
x 0   x 0  Alert Admin	That is a big " what if" .   The other " what if" is what if they did not manage to sell and creditors don' t want to support anymore? tankookoo      ( Date: 21-Mar-2017 12:28) Posted: going conern issue...but what if they sell off   all their assets, worth more than current price ? any balance left after paying creditors ? shareholders can get more money back than the current price? hmm...   Thinkvest      ( Date: 21-Mar-2017 12:21) Posted: OSV sector very distressed, selling new vessels difficult even recovering money for already sold exteremly difficult, stay away from this one.
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NextEvolution Elite	21-Mar-2017 12:34        NextEvolution About Contact  Quote this Post!
x 0   x 0  Alert Admin	They have another asset in SG. A 10000 sqft opulent office at Suntec City which was bought during the bloom time few years back. But likely this property is 1st charge to the bank before any balance money to retrieve if disposed off
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tankookoo Master	21-Mar-2017 12:28        tankookoo About Contact  Quote this Post!
x 0   x 0  Alert Admin	going conern issue...but what if they sell off   all their assets, worth more than current price ? any balance left after paying creditors ? shareholders can get more money back than the current price? hmm...   Thinkvest      ( Date: 21-Mar-2017 12:21) Posted: OSV sector very distressed, selling new vessels difficult even recovering money for already sold exteremly difficult, stay away from this one.  kerier      ( Date: 20-Mar-2017 22:01) Posted: Per Splash, NC has 56 vessels scheduled for completion and only a small percentage are committed for sale!
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