sharetrader
Page 398 of 840 FirstFirst ... 298348388394395396397398399400401402408448498 ... LastLast
Results 3,971 to 3,980 of 8391
  1. #3971
    ShareTrader Legend Beagle's Avatar
    Join Date
    Jul 2010
    Location
    Auckland
    Posts
    21,362

    Default

    Percy I know you're incredibly busy with your spokesman roles at TRA and HGH but...that Xavior Simonet guy at KMD really needs your help. Crikey just a 1% sales decline on same store sales and their share price has been absolutely pummelled. The thread desperately needs some of your very special "Percy Perception" and that could be another paid role to supplement your retirement income
    Last edited by Beagle; 10-01-2019 at 02:49 PM.
    Ecclesiastes 11:2: “Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth.
    Ben Graham - In the short run the market is a voting machine but in the long run the market is a weighing machine

  2. #3972
    percy
    Join Date
    Oct 2009
    Location
    christchurch
    Posts
    17,221

    Default

    Xavior is beyond my help.
    Seasonal product.Basically only two seasons.Cars are for all seasons.
    KMD do not own any of their properties they operate from.Beholden to landlords.TRA have the capacity to develope their own,which they can book the developement margin.I guess the newish site a Wiri has more than doubled in value.[say over $7mil,although I doubt they will sell it]
    KMD do not have a finance company,which has grown by 120 new originators over the past 6 months alone.So even if sales are down at KMD they could earn extra from other retailers,as TRA do for another 2 or 3 years,on each sale..
    KMD do not offer insurance.Again another ticket TRA clip,for 2 or 3 years,again not only on their own sales,but other retailers' sales.
    KMD do not offer service on goods they sell.Yet another ticket TRA clip.Ongoing.
    KMD do not clip the ticket on end of life gear.Big business with NZ's old fleet and crashed cars for TRA.
    KMD are trying to take on the world.TRA have more modest aspirations.

    ps.Never ever have anything to do with a business that sells shoes.
    Last edited by percy; 13-01-2019 at 07:46 AM.

  3. #3973
    Senior Member
    Join Date
    Mar 2014
    Posts
    540

    Default

    And going X dividend on the 21st

  4. #3974
    IMO
    Join Date
    Aug 2010
    Location
    Floating Anchor Shoals
    Posts
    9,696

    Default

    All said and done, for this day? Good. I will leave you with my grassy knoll brokers research note out with a t/p of $2.70 and 2019 Div forecast of 9.9%. Nitey nite ,sleep tight, dont let the stinkbugs bite!
    Last edited by Joshuatree; 10-01-2019 at 08:22 PM.

  5. #3975
    percy
    Join Date
    Oct 2009
    Location
    christchurch
    Posts
    17,221

    Default

    Well with the holiday season proving to be yet another season of share madness and carnage on our roads,I expect Turners will be flat out managing the logistics and sales of vehicles written off by insurance companies.
    Another profitable "ticket" Turners clip.

  6. #3976
    Legend minimoke's Avatar
    Join Date
    Mar 2005
    Location
    Christchurch, New Zealand.
    Posts
    6,502

    Default

    Quote Originally Posted by percy View Post
    Well with the holiday season proving to be yet another season of share madness and carnage on our roads,I expect Turners will be flat out managing the logistics and sales of vehicles written off by insurance companies.
    Another profitable "ticket" Turners clip.
    And hopefully providing an option for replacement cars.

  7. #3977
    percy
    Join Date
    Oct 2009
    Location
    christchurch
    Posts
    17,221

    Default

    Quote Originally Posted by minimoke View Post
    And hopefully providing an option for replacement cars.
    You're onto it.!!!.{a lot of people miss this}
    Then option for finance,
    option for autosure insurance,
    option for service.
    And at each option Turners manage to clip the "ticket".
    "Big ticket" clippers...Turners never miss a "ticket" to clip....lol.
    Last edited by percy; 14-01-2019 at 11:50 AM.

  8. #3978
    Speedy Az winner69's Avatar
    Join Date
    Jun 2001
    Location
    , , .
    Posts
    37,737

    Default

    Quote Originally Posted by percy View Post
    You're onto it.!!!.{a lot of people miss this}
    Then option for finance,
    option for autosure insurance,
    option for service.
    And at each option Turners manage to clip the "ticket".
    "Big ticket" clippers...Turners never miss a "ticket" to clip....lol.
    Good this ticket clipping stuff eh

    But the latest announcement suggests they are clipping fewer tickets than previously
    “ At the top of every bubble, everyone is convinced it's not yet a bubble.”

  9. #3979
    percy
    Join Date
    Oct 2009
    Location
    christchurch
    Posts
    17,221

    Default

    Quote Originally Posted by winner69 View Post
    Good this ticket clipping stuff eh

    But the latest announcement suggests they are clipping fewer tickets than previously
    Maybe,maybe not.
    Second hand car sales will most probably be lower in the Auckland area,which will affect Turners sales,and the chance to add on all their options,however with an additional 120 originators added in the first half alone,finance,insurance and service revenue may not be affected,[could possibly increase?]while end of life logistics and sales looks as though their revenue will increase.
    Therefore to make an informed judgement we should wait for a further update from TRA.
    Last edited by percy; 15-01-2019 at 08:53 AM.

  10. #3980
    On the doghouse
    Join Date
    Jun 2004
    Location
    , , New Zealand.
    Posts
    9,221

    Default Did accounting standards kneecap the HY2019 result?

    Quote Originally Posted by Snoopy View Post
    I see in the HY2019 accounts that 'Impairment provision expense' was (3,951) up from (2,276) in the previous year. However to check out the actual 'impairment expense' for the period we have to look at the what has happened to the total provision over HY2019 . And that part of the accounts has not yet been released.

    There is also something on the change of treatment of impairments in HY2019 result notes, referring to NZIFRS 9 and 15. An extra (2.160m) impairment charge seems to have arisen from that. But is this just in relation to debt collection services? Or does in apply to all loan contracts? Anyone care to offer an opinion?
    Quote Originally Posted by winner69 View Post
    Snoops ....that 2.160m you mention is part of the 1.839m adjustment to March 18 Retained Earnings (see the Changes in Equity part of the accounts)

    Effectively reduced Shareholder Equity with no impact on the Income Statement (ie profit) this financial year

    The new standards do mean they need at what’s provided for differently than in the past - probably more detail in the full half year report and then you can work out if there is a real impact or not.
    My copy of the HY2019 report has finally arrived and I am pleased to see that it was bound properly this time. The 'cheap staple in the corner' used to hold the FY2018 report together ended up being 'not so cheap' for shareholders who took the route of getting the report professionally rebound within leather covers!

    From p33 in relation to IFRS15 'Revenue from Contracts with Customers'. The core principle behind this reform is to "recognise revenue to depict the transfer of goods and services to customers in amounts that reflect the consideration (payment) to which the entity expects it to be entitled in exchange for those goods and services." The effect of this is to split what was a one off transaction into separate 'performance obligations' and only tick off the contact revenue when those obligations are met. Prior to this, the previous policy was to recognise revenue when "it is probable that economic benefits will flow to the group." After reading this, I am none the wiser as to what this change means in terms of booking day to day profits on sales.

    Could the difference in a finance contract be a simple as waiting until the money is in the 'Oxford Finance' bank rather than just relying on a customer having signed a contract? Looking at the actual numbers on p34, the ' balance sheet effect' of the changes mean an historic reduction of just $284,000 in net assets. The main changes making up this number come under the headers "Change in collection income" and "Change in collection expense." Does this mean that the changes in IFRS15 only apply to the 'EC Credit' division of Turners? If the answer to this question is 'yes' and EC Credit revenue was $18.667m over FY2018 and 'operating profit' was $6.069m then for FY2018:

    $0.284m/$6.069m = 5% of operating profits for this one division: Nothing of great consequence for the whole group.

    I see:

    "The group elected to apply the cumulative effect method with no restatement of comparative period amounts."

    This does make it difficult for shareholders seeking transparency. Do the adjustments relate to just the prior period or is there a cascading effect across many past years? If the latter, then the IFRS15 adjustments are even less significant than I think!

    Now moving on to IFRS9, on Impairment of Financial Instruments. The significant changes here relate to impairment of the 'finance receivables' loan book. Interestingly the change is in the opposite direction to IFRS15. The new requirement is to make a forecast on impairments that might happen on the balance of probability at the time a basket of loans is taken out (based on historical default rates), rather than waiting for a loan to actually become impaired before declaring it impaired. The impairment adjustment is taken off the balance sheet assets from the end of the previous full year accounting period. This is a real loss which must be taken to comply with accounting standards. But it is a loss that has never been part of any Turners profit and loss statement. Once again transparency is limited, because Turners have chosen not to restate comparative period amounts.

    The extra loss incurred (change in impairment provision) at EOFY2018 was $2.160m, offset by the associated deferred tax gain of $0.605m ( $2.160m x 0.28 = $0.605m ). This gives a net loss of $1.555m.
    How significant is an extra impairment provision of $2.160m? At EOFY2018 the total loan impairment provision, before adjustment, was $11.294m.

    $2.160m / $11.294 = 19%

    A 19% increase in provisioning is very significant. This extra provisioning is not in relation to any particular time period of loans. So IMO this extra provisioning increment must apply not only to the balance, but also the annual loan impairment expense. In the case of FY2018 the 'impairment provision expense' was $6.380m. The adjusted figure becomes $7.592m. And that change ($7.592m-$6.380m = $1.212m) would have made a significant difference to NPAT over the FY2018 financial year. And there would be a similarly significant effect, this time accounted for, in FY2019 half year result.

    So to answer the question I posed:

    "Did accounting standards kneecap the HY2019 result?"

    For NZIFRS 15 the answer is 'no'. But for NZIFRS 9 the answer is 'yes'.

    SNOOPY
    Last edited by Snoopy; 17-01-2019 at 06:01 PM.
    Watch out for the most persistent and dangerous version of Covid-19: B.S.24/7

Tags for this Thread

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •