Re: CFIN N0000 (Central Finance Company)

[කිත්සිරි ද සිල්වාTop contributor]

If everything is pre-determined (as some say here), then why to worry about paper & plastic bags.  

[First Guy]

YK,

Yes NBFI requires a lot more information to be analysed and are not as simple as others such as manufacturing.

Wonder whether you have checked the sections where quarter wise data is available although some are not up to date.
[You must be registered and logged in to see this link.] ---> for banks

Other sectors are available too.

Since this is too much to maintain, they will be reduced to few selected stocks.

[yellow knifeTop contributor]

Wow thanx FG

[Ethical TraderTop contributor]

Thanks YK for well analysed thread. Thanks SLS & FG for valuable input.

[slstockVeteran]

මේ සුද්දට පිස්සුද කොහේද​.
එක දවසක CFIN ගන්නවා . අනිත් දවසේ එ් ගානටම ටිකක් දෙනවා.

Maybe they learnt some tricks from locals how to play with retailer minds.

[chutiputhaTop contributor]

මේ සුද්දට පිස්සුද කොහේද​.
එක දවසක CFIN ගන්නවා . අනිත් දවසේ එ් ගානටම ටිකක් දෙනවා.

Maybe they learnt some tricks from locals how to play with retailer minds.

සුද්දට කෙසේ වෙතත් අපට පිස්සු හැදෙනවා මෙහෙම වැටුනොත් තව දුරටත්...

[chutiputhaTop contributor]

CENTRAL FINANCE COMPANY PLC
Company ID: - CFIN
Date of Announcement: - 07.Dec.2015
Rate of Dividend: - Rs.1.00 per share / First Interim Dividend
Financial Year: - 2015/2016
XD: - 16.Dec.2015
Payment: - 18.Dec.2015
Share Transfer Book Open

[yellow knifeTop contributor]

CFIN will pay more dividend than earlier...

[slstockVeteran]

15% of profit if they follow Government proposal.
Knowing.studying how CFIn works I know they will follow rules.

That should be around Rs 6-7 total dividend for this year .
Still not too attractive dividend but will be better than before.

CFIN will pay more dividend than earlier...

[Future123Active Member]

CFIN declared only 2/= dividend for 2015/16. They are very stringy when it comes to dividends and that's one of the reasons why this company's shares don't go up despite having excellent profit growth.

Failure to look after shareholders would result in weaker share price.
The dividend yield is just 0.8% (2/238). This is absolutely poor.
LFIN dividend yield is 5.76% (7.50/130) which is better than savings interest rates.

Clever investors would convert their CFIN into LFIN.

What happened to the rule proposed in the budget of declaring 15% of PAT as dividends? Is it still valid or like other things in the budget it also vanished?


Company ID: - CFIN
Date of Initial Announcement: - 31.May.2016
Rate of Dividend: - Rs. 2.00 per share / Final
Dividend
Financial Year: - 2015/2016
Shareholder Approval: - Required
AGM: - 15.Jul.2016
XD: - 18.Jul.2016
Payment: - 20.Jul.2016
Share Transfer Book Open

[First Guy]

CFIN dividend is 4/- for the year 10% of EPS same as last few years. LFIN payout has reduced a little bit but at 28%

LFIN has better ROE and cost structure because of its aggressive nature and leveraging. CFIN is not so aggressive. That is the difference.

CFIN is for the defensive investor who wants to play safe. So not necessarily investors will switch over

[Future123Active Member]

Thanks FG. The CFIN dividend for 2015/16 is Rs. 4.00. The dividend yield is 1.68% (4/238).

The risk averse investors may opt a low dividend stable company.

[yellow knifeTop contributor]

Now we can revisit CFIN again...with 2015/16 annual report.

CFIN and PLC.N is engaged in finance business and the PAT is moving in close distance though Revenue moves in long distance.

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[yellow knifeTop contributor]

PE ratio of CFIN stays below 7 as well as  PLC

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[yellow knifeTop contributor]

this is not attractive to Dividend Hunters, but the company policy of paying less dividends compared to EPS makes the company strong in reserves.


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[yellow knifeTop contributor]

in recent shares I evaluated Net Asset value stays above Market value and it shows the ability to gain capital gains...


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[yellow knifeTop contributor]

Should a Finance company grow on a very fast track or should it move slowly and steadily with quality credit ?

This is a question where the answer depends on whether you see in the long term or short term.

CFIN is moving in slow but steady steps.

Fitch Ratings assigned CF with A+ (lka) national long term rating

CF continue to retain its position as the highest capitalized Licensed Finance company in the country with Core capital ratio of 29.91% and Supplementary capital with 30.21%.

Just a comparison of Capital Adequacy ratios of two commercial banks.

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Minimum requirement is 5% and 10% where almost all banks and finance companies have fulfilled that, but CFIN is the most prepared to shocks...


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Now I repeat the same question asked at the beginning...
Should a Finance company grow on a very fast track or should it move slowly and steadily with quality credit ?

[BackstageTop contributor]

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Looking good. Pity about the DY. So more LT counter than MT.

[yellow knifeTop contributor]

                                           2019/20

Central Finance has released its annual report and the company shows a steady growth over the years.

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[yellow knifeTop contributor]

Company has done several splitting of shares and the EPS has changed accordingly.

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[yellow knifeTop contributor]

One should avoid buying shares during a bubble . 2011 showed the bubbling effect on CFIN.


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[yellow knifeTop contributor]

CFIN does not pay a higher amount as Dividends out of its Earnings.

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[yellow knifeTop contributor]

When PLC is chasing behind higher Volumes, CFIN gets satisfied with a slow and steady growth in Revenue.

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PAT of the both companies move in neck to neck level. However PLC makes unnecessary effort to reach the same or lower PAT.

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[yellow knifeTop contributor]

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[nuwanmja]

great analysis YK.