YZJ Fin Hldg    Last:0.235   -

YZJFH - potentially rewarding

Think to they trying to close up deals. But really no need to. Just provide 100% of what cannot sell and wait for china property market to recover. Charge higher interest and admin cost for the wait. Business can continue with no more property burden

 

After the spun off of YZJ FH and Maritime, the real winner is Ship Building. Maybe should place your bet in YZH Ship Building

Just my personal view

 

Why still no results announcement news yet?

 

New boss SOP, 2H 2022 was about 140m😄 !

 

The first half profit excluding maritime is about 60m. To turn into losses means the NPL provision is huge....... let's see result tonight....vested....

 

Ya......maybe only an insignificant sum.
Market over react.

 

Loss $1 is also loss, a loss is a loss. With profit guidance saying company will register a loss, market react first and think later. How much would be the ' loss' ? Maybe market start thinking now. 

 

Managed add more at 0.29, pretty happy with the price. Since I got my initial lot at 0.34 about 3 years ago.

pasttime      ( Date: 27-Feb-2026 15:02) Posted: price is at near low.  q even lower to buy. at closing see can steal chicken if shorts try to force it down again. at this price with a 3 years horizon is a steal. tonight report will tell short term this is black beauty or another donkey.

 

price is at near low.  q even lower to buy.
at closing see can steal chicken if shorts try to force it down again.
at this price with a 3 years horizon is a steal.
tonight report will tell short term this is black beauty or another donkey.

 

Thank you volvo125 for your clarification.

volvo125      ( Date: 26-Feb-2026 18:54) Posted: Refer to pg 17 1H25 ppt :  (1) Improve Liquidity - Divest underperforming onshore assets to strengthen liquidity,  (2) Capital Reallocation Recycle proceeds to achieve a more balanced geographical portfolio, (3) Seek Growth Pursue growth in SEA through: &bull Private Credit &bull Wealth Management &bull Co-investment opportunities &bull Selective equity opportunities With YMD already been carved out from YFH book and safe to cruise on its own to preserve its rightful valuation without YFH business decision infererence, I think YFH is now serious in executing its post spin off growth strategies as mapped out in the 1H25 ppt, 1st step to first divest out all its NPL so that the lockout capital could be unlocked and recycled in 2nd step to again allocate 50:50 SG/China (YFH likely need to initially retain ~50% capital in China due to China capital flow control issue), and then later to 3rd step to seek growth in all those highlighted domains. I suspected YFH has tested the judicial auction or similar path to try divest off the net $497m NPL as at 1H25, and then realised the book value net of its existing provisions is still unfortuntately way above what the potential counter parties are willing to pay. The substantial proviisons estimated likely > $120m is likely the gap to close the deral and cut loose the balanced toxic NPL. So, do not expect there will be future write backs from the NPL provisions (the existing $132m + the new $xxxx m) as these provisions would likely be fully used to cut loose the NPL and recover back the residual cash. RenYL has openly and repeatedly during the past 2 AGMs reiterated his commitment to all the shareholders present to fully sort out the NPL by FY26. I believe he meant what he had said. The estmated ~$1.9B NAV will be lowered by the new provisions ( > $120m) expecting to be burnt off to fully cut off the NPL. YFH can then move on with a clean slate to step 2 and 3 in a new chapter. YFH has $560m cash as at 1H25, with ~$161m in RE, and it could choose to pay a token dividend if RenYL wishes to reward the shareholders. Do not place too much hope on this as YFH has a policy to pay out 40% from NPAT, not from losses, even though the FY25 losses seems extraordinary. This is only my speculationn, and I hope I am correct. A new YFH without the NPL burden is certainly the right way to go. pkli899      ( Date: 26-Feb-2026 16:34) Posted: Btw, making loss due to provision means in the event money get collected, can write back. Only write off then is actual loss. Not so bad la.

 

Going back to square one. Around 0.255

 

Yangzijiang Financial falls 14.5% to 2-year low on expected reversal into red
It expects to post losses for its second half and full year
[SINGAPORE] Yangzijiang Financial : YF8 -13.04% shares fell on Thursday (Feb 26) morning on news of the group&rsquo s expected loss for its second half and full year.
As at 9.18 am, the counter dropped as low as S$0.295, 14.5 per cent or S$0.05 below its latest closing price on Wednesday of S$0.345, with close to 25.5 million shares changing hands. This marked its lowest price in more than two years, as it last traded below this price in October 2023.
The company on Wednesday said it expects to post a loss for its second half and full fiscal year. This would mark a reversal into the red from its FY2024 net profit.
The projected declines were attributed to the recognition of substantial credit loss allowances, after a &ldquo comprehensive review&rdquo of the group&rsquo s debt investment portfolio.

 

Aligning with global standards, Yangzijiang Shipbuilding has prioritized the design and building of vessels with high energy efficiency. To achieve this, Yangzijiang Shipbuilding shows continuous efforts in (1) increased usage of renewable energy, (2) investments in R& D and digital transformation, (3) cost savings in processes and materials, and (4) renewable material utilisation. These efforts are across entire shipping value chain from the yard to ship recycling.

At YZJ Financial, we are looking forward to continuing our journey in ESG by building on the past and future experience of Yangzijiang Shipbuilding under our sustainable finance agenda.

 

you are quite right ... to divest off the net $497m and reassess the portfolio risk. that' s the reason why no SBB even though there is a mandate to do so ...
 

 

Refer to pg 17 1H25 ppt :  (1) Improve Liquidity - Divest underperforming onshore assets to strengthen liquidity,  (2) Capital Reallocation Recycle proceeds to achieve a more balanced geographical portfolio, (3) Seek Growth Pursue growth in SEA through: &bull Private Credit &bull Wealth Management &bull Co-investment opportunities &bull Selective equity opportunities

With YMD already been carved out from YFH book and safe to cruise on its own to preserve its rightful valuation without YFH business decision infererence, I think YFH is now serious in executing its post spin off growth strategies as mapped out in the 1H25 ppt, 1st step to first divest out all its NPL so that the lockout capital could be unlocked and recycled in 2nd step to again allocate 50:50 SG/China (YFH likely need to initially retain ~50% capital in China due to China capital flow control issue), and then later to 3rd step to seek growth in all those highlighted domains.

I suspected YFH has tested the judicial auction or similar path to try divest off the net $497m NPL as at 1H25, and then realised the book value net of its existing provisions is still unfortuntately way above what the potential counter parties are willing to pay. The substantial proviisons estimated likely > $120m is likely the gap to close the deral and cut loose the balanced toxic NPL.

So, do not expect there will be future write backs from the NPL provisions (the existing $132m + the new $xxxx m) as these provisions would likely be fully used to cut loose the NPL and recover back the residual cash.

RenYL has openly and repeatedly during the past 2 AGMs reiterated his commitment to all the shareholders present to fully sort out the NPL by FY26. I believe he meant what he had said.

The estmated ~$1.9B NAV will be lowered by the new provisions ( > $120m) expecting to be burnt off to fully cut off the NPL. YFH can then move on with a clean slate to step 2 and 3 in a new chapter.

YFH has $560m cash as at 1H25, with ~$161m in RE, and it could choose to pay a token dividend if RenYL wishes to reward the shareholders. Do not place too much hope on this as YFH has a policy to pay out 40% from NPAT, not from losses, even though the FY25 losses seems extraordinary.

This is only my speculationn, and I hope I am correct. A new YFH without the NPL burden is certainly the right way to go.

pkli899      ( Date: 26-Feb-2026 16:34) Posted: Btw, making loss due to provision means in the event money get collected, can write back. Only write off then is actual loss. Not so bad la.

 

Btw, making loss due to provision means in the event money get collected,
can write back.
Only write off then is actual loss. Not so bad la. 
 

 

Thank you HVRRVH & volvo125 for their respective posts.
Good read.
Need to read their results report before we can have meaningful conclusion.
Anyway, most here, including myself, didn' t see it coming.

 

3.5 cents is the EPS I forecasted before the announcement of needing to provide more allowance for credit losses. I don' t think dividend, if pay, will be anywhere near 3 cents. Probably 1 cent and best case 1.5 cents. 

HB8289      ( Date: 26-Feb-2026 15:48) Posted: I think now price is fairly low as their Key Dividend Forecasts Despite the expected loss, market trackers and historical data provide the following estimates for the 2026 payout: Estimated Dividend:  S$0.03 to S$0.035  per share. Projected Ex-Dividend Date:  24 April 2026  or  27 April 2026. Projected Payment Date:  15 May 2026.

 

I think now price is fairly low as their Key Dividend Forecasts

• Estimated Dividend:  S$0.03 to S$0.035  per share.
• Projected Ex-Dividend Date:  24 April 2026  or  27 April 2026.
• Projected Payment Date:  15 May 2026.

 

buy back a few hands at 29.5.  q for more at 29
no more futer DI related provision will means possible write back later.
immediate if the tax man agreed means less tax to pay.
probably no dividend but ok since buy at good discount.
no pay dividend means more for investment since provision is only paper exercise.
cash is still there.