Re: Expolanka

[sereneTop contributor]

I received about 1 or 2 week back.

Thanks hariesha.

Maybe they lost it in post:D  

I had bad experience in terms of Dividends in TJL and RCL last year .

[puliyanamTop contributor]

There is something going on in Expo. Upto June it was 4. then suddenly now close to 5, with increased turnover and Directors buying. No recommendations. Do your own assessment

[hammurabi]

There is something going on in Expo. Upto June it was 4. then suddenly now close to 5, with increased turnover and Directors buying. No recommendations. Do your own assessment

EXPO will probably adjust back to 3.9 - 4.1 at longrun

[sereneTop contributor]

One of the excellent run.

[The Invisible]

Expolanka profits fall in June quarter

ECONOMYNEXT- Expolanka Holdings Plc, a logistics and travel firm, said that its net profits for the June quarter fell 38.2 percent to 152.9 million rupees from a year earlier.



Basic earnings per share was 8 cents. The Expolanka share closed 10 cents lower at 5.90 rupees a share on Tuesday.



Revenue for the quarter grew 15.1 percent to 22.9 billion rupees from a year earlier, while cost of sales rose 15 percent to 18.3 billion rupees, leading to gross profits rising 15.7 percent to 4.6 billion rupees.



However, Expolanka Group Chief Executive Hanif Yusoof, in an earnings review, said that there was uncertainty in the logistics industry during the quarter.



"Volatility and uncertainty fueled by trade protectionism strategies have led to many industry players treading cautiously," he said.



Finance costs grew 95.9 percent to 107.3 million rupees as the firm adopted the SLFRS 16 accounting standard on leases.



Due to the new accounting standard, long-term financing and lease payables grew to 2.8 billion rupees by end-June from 1.2 billion rupees at end-March while short-term financing and lease payables grew to 6.6 billion rupees from 4.1 billion rupees.



Expolanka's logistics sector profits for the quarter grew 10 percent from a year earlier to 370 million rupees on revenue which grew 15 percent to 21.8 billion rupees.



"The volume growth remained stable across all key freight products, with ocean freight performing relatively well during the quarter," Yusoof said.



Transpacific trade continued to meet expectations, and was supported by the Intra-Asia and Europe trade lanes, he said.



The firm's leisure sector profits fell 40 percent to 41.6 million rupees while revenue fell 7 percent to 291.7 million rupees.



The travel industry suffered during the quarter after Sri Lanka was hit by the Easter Sunday attack in April.



The performance of the leisure sector was slightly muted during the quarter," Yusoof said.



"A slight recovery in performance was witnessed during the latter part of the period in review," he said.



"The corporate travel segment of the business continued to remain strong, whilst the inbound and leisure operations had slowed down during the quarter under review." (Colombo/Aug07/2019)

[lanka]

Thanks, Invisible

[ruwan326]

Financial Performance- Period ended 30 June 2019


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[Afourer]

Time to exit from EXPO with a loss rather than waiting it to go down further. I hope i am making the correct decision. Jappa should have invested that money somewhere else (even in an FD) so that they would have made decent returns.

[The Invisible]

So things are turning a dramatic "U" turn on EXPO. Investors chasing behind the stock ahead of nearby September quarter report. Any one guess with likely result? Can they repeat the same June performance or will they prove that they are a kind of unpredictable company? Now EXPO reached 23/- with 39mn shares traded so far for the day.

[smallvilleTop contributor]

Market expectation is over 2.5 bil profits for Sept qtr for EXPO..

[The Invisible]

Which means crowd is thinking EXPO can generate more profits than June quarter. My gut feeling is that is a risky speculation !

[slstockVeteran]

EXPO in a nutshell.

No one wanted it at Rs 2.0.
But just  after one quarter of special results from COVID benefited flights  
and some HNW Traders getting into it,Brokers pushing it
and Sea Gulls chasing Trawlers ( made post on it on my FB page)
now it is the wonder share!

Are their other sectors doing well?
What happens when this COVID benefit  flights stop giving big income?
What happens to the people who hold this so high at the end of this run,
once their  expected EPS/profits go down ( as they can't maintain these
high profits forever).

Amazingly, a Rs 2  EXPO some months ago is more in  price now( Rs 23)
than COCR at Rs 22  which is earning  several time   eps as EXPO.

It is more than PLC too.
Gives dividend % more than EXPO.

COCR Asset value is also multiple times of EXPO.
PLC is also the same.
( yes these are not in the same sector but am  point a fact).

Once COCR was Rs 70 and people were pushing it to Rs 100.
Now at Rs 22 no one wants COCR.
No one wants PLC at Rs 12
 
But they want EXPO. WHY?

This is an example to show the quality of lack of REAL Investors
at CSE and how gamblers have taken over to Anna and panna.
We care about our Tummy fill for today! Who cares tomorrow.

Cycle repeats. I only hope there won't be any people like that person
who got caught to buy BLI at Rs150 ( now Rs 9+)

[කිත්සිරි ද සිල්වාTop contributor]

We are a nation of never learning from our own past mistakes.
We are a nation of waiting for free handouts (Eric Cantona theory),
We are a nation capable of blaming others for our own failures.
So, how can CSE be any different?

[slstockVeteran]

We are a nation of never learning from our own past mistakes.
We are a nation of waiting for free handouts (Eric Cantona theory),
We are a nation capable of blaming others for our own failures.
So, how can CSE be any different?

That why I dedicated 10 years of my life , writing 10000s of posts
with ZERO benefit to educate the new geenration atleast for betetr future.

ps : Atleast I am geting some traction over Facebook over the posts as
many people read them ( whether they follow the morals or not
is not an issue for me. If even 1 changes attitude, that better than nothing
for CSE and SL future. 1 step is better than no step.
If I die, I die trying !

[කිත්සිරි ද සිල්වාTop contributor]

I have been trying to encourage a youngster (not even reached 18 years yet) to invest in the stock market from a very early age.
But he wants to try Trading first.
I think most of the younger generation thinks differently.
There is nothing wrong with thinking differently but before anyone trying to think out of the box, they should learn the basics.
Money should not be your primal driving force or motivation.

We are a nation of never learning from our own past mistakes.
We are a nation of waiting for free handouts (Eric Cantona theory),
We are a nation capable of blaming others for our own failures.
So, how can CSE be any different?

That why I dedicated 10 years of my life , writing 10000s of posts
with ZERO benefit  to educate the new geenration atleast for betetr future.

ps : Atleast I am geting some traction over Facebook over the posts as
many people read them ( whether they follow the morals or not  
is not an issue for me.  If even  1 changes attitude, that better than nothing
for CSE and SL future. 1 step is better than no step.
If I die, I die trying!

[slstockVeteran]

So he doesn't listen huh?
Let him lose his Parents money eventually ( I presume he doesn't trade with his own ) and learn the lesson.


But for what its worth Tell him to read

1) this post

[You must be registered and logged in to see this link.]

Maybe it will open hi eys about how
REEF went from Rs 100 to Rs 9
DPL from Rs 150 to Rs 9
KOTA from Rs 170 to Rs 7
etc.

2) ESPECIALLY= THE COMMENTS  I MADE UNDER NISHANTHA's on the same post.  It Talks about  difference of Anna Panna small share games and value share investment

If that Kid has some MORALS at all he will understand the difference.
Else its better to find another Kid to add values than wasting time with the stubborn.

ps : Btw Trading is fine as long as it is ethical. I trade too.

I have been trying to encourage a youngster (not even reached 18 years yet) to invest in the stock market from a very early age.
But he wants to try Trading first.
I think most of the younger generation thinks differently.
There is nothing wrong with thinking differently but before anyone trying to think out of the box, they should learn the basics.
Money should not be your primal driving force or motivation.

We are a nation of never learning from our own past mistakes.
We are a nation of waiting for free handouts (Eric Cantona theory),
We are a nation capable of blaming others for our own failures.
So, how can CSE be any different?

That why I dedicated 10 years of my life , writing 10000s of posts
with ZERO benefit  to educate the new geenration atleast for betetr future.

ps : Atleast I am geting some traction over Facebook over the posts as
many people read them ( whether they follow the morals or not  
is not an issue for me.  If even  1 changes attitude, that better than nothing
for CSE and SL future. 1 step is better than no step.
If I die, I die trying!

[Afourer]

I made a post at the beginning of the year in this same thread, as i was thinking what to do with my 4 plus year old EXPO shareholding. For some reason i did not sell any at that time. So when it hit bottom Rs2, i couldnt buy. Bought some at 2 .50-3.00. When the run started i sold all at 9.50 -10.20. Major chunk is my old stocks. Given the company's annual reports and performance this price was maximum for me. (it reached almost 1.5 times of its book value). So when i did a rough calculation, i have achieved the same profit, had i invested the same money in an FD. At least i rescued my capital. The price beyond 10 for expo is, in my opinion is suicidal (IPO price is 14 if im not mistaken). My advice is dont buy it at 23. (I still remember Emaar Properties came down from AED 30 to AED 4-6 during Dubai crash and did not recover to that original price and heard lots of unpleasant stories of investors)

[subash]

Today reached 25

[First Guy]

I made a post at the beginning of the year in this same thread, as i was thinking what to do with my 4 plus year old EXPO shareholding. For some reason i did not sell any at that time. So when it hit bottom Rs2, i couldnt buy. Bought some at 2 .50-3.00. When the run started i sold all at 9.50 -10.20. Major chunk is my old stocks. Given the company's annual reports and performance this price was maximum for me. (it reached almost 1.5 times of its book value). So when i did a rough calculation, i have achieved the same profit, had i invested the same money in an FD. At least i rescued my capital. The price beyond 10 for expo is, in my opinion is suicidal (IPO price is 14 if im not mistaken). My advice is dont buy it at 23. (I still remember Emaar Properties came down from AED 30 to AED 4-6 during Dubai crash and did not recover to that original price and heard lots of unpleasant stories of investors)  

First of all I want to be clear that I don't have a view on EXPO but I want to mention something in general.

Reading the Annual report and analysing is great. In this case the last annual report was for the period ended March 2020. One justifiable fundamental reason for the recent is the future outlook specially helped by the pandemic. During June quarter there was record EPS and the run thereafter could mean that investors are expecting that to further increase. However, sustainability of such earnings is a question. But company seems to have been evolving and growing (https://www.echelon.lk/expolankas-trial-by-pandemic/). A simple rough calculation will tell if you think 10x P/E is fair, then at 25/- EXPO has to make 2.50/- every year. That is 0.62/- every quarter. Is that possible is the question.

For companies such as these NAV is irrelevant. It is the earnings that will matter. Also IPO price again is meaningless as the company has gone through changes. It is best to look at a company at its present state and the future it holds.

GREG is similar example. It was not considered a desirable stock specially after it crashed long time back. It went through some changes and it is a different company altogether.

[The AlchemistTop contributor]

what do you all think of 2nd Q Earnings ?

[subash]

I don’t think anyone expected this much profit
If they can maintain at least 1/2 of profit for next few quarters too then good

[Fireandwater]

EXPO is in logistics business. Even after covid ends they will have increase in business. 90% of the topline is in $ and comes from overseas. I dont see this as a bad stock now. It has become a value stock to analyze for investment.

[smallvilleTop contributor]

what do you all think of 2nd Q Earnings ?

In 1 qtr EXPO made 1/2 of what JKH's made in a year.. So by December this wil pas JKH's earnings What a turnout?

[First Guy]

I made a post at the beginning of the year in this same thread, as i was thinking what to do with my 4 plus year old EXPO shareholding. For some reason i did not sell any at that time. So when it hit bottom Rs2, i couldnt buy. Bought some at 2 .50-3.00. When the run started i sold all at 9.50 -10.20. Major chunk is my old stocks. Given the company's annual reports and performance this price was maximum for me. (it reached almost 1.5 times of its book value). So when i did a rough calculation, i have achieved the same profit, had i invested the same money in an FD. At least i rescued my capital. The price beyond 10 for expo is, in my opinion is suicidal (IPO price is 14 if im not mistaken). My advice is dont buy it at 23. (I still remember Emaar Properties came down from AED 30 to AED 4-6 during Dubai crash and did not recover to that original price and heard lots of unpleasant stories of investors)  

First of all I want to be clear that I don't have a view on EXPO but I want to mention something in general.

Reading the Annual report and analysing is great. In this case the last annual report was for the period ended March 2020. One justifiable fundamental reason for the recent is the future outlook specially helped by the pandemic. During June quarter there was record EPS and the run thereafter could mean that investors are expecting that to further increase. However, sustainability of such earnings is a question. But company seems to have been evolving and growing (https://www.echelon.lk/expolankas-trial-by-pandemic/). A simple rough calculation will tell if you think 10x P/E is fair, then at 25/- EXPO has to make 2.50/- every year. That is 0.62/- every quarter. Is that possible is the question.

For companies such as these NAV is irrelevant. It is the earnings that will matter. Also IPO price again is meaningless as the company has gone through changes. It is best to look at a company at its present state and the future it holds.

GREG is similar example. It was not considered a desirable stock specially after it crashed long time back. It went through some changes and it is a different company altogether.

One of my regrets is not exploring EXPO early. It was late when I got in. Old habits die hard perhaps. The market was again right in this case, EXPO is piling on cash these few quarters and the future will depend on how they use that cash. Acquire and grow more?

I am still cautious as it still is a unknown area for me and have to rely on broker research compared to some other companies.

[BackstageTop contributor]

I believe it was the acquisition of some US logistic companies last year that added a new revenue stream that was non existent before, while the pandemic cargo bottlenecks driving up prices was just the icing on the cake. Those new revenue streams I believe will continue post pandemic. I bought at 4.50 sold at 9.50, bought again at 24 sold at 38.50. [You must be registered and logged in to see this image.]