CHI - Channel Infrastructure Ltd (NZR)

[cyclist]

Hopefully a bit of love for this stock from tomorrow. Certainly largely unwanted at the moment. I'm expecting a pretty solid result (especially compared to H1 last year). The key to getting some traction will be a less stingy dividend. Fingers crossed.

[cyclist]

Quite happy with the result. 6c fully imputed dividend, paid off a bit of their debt, a bit extra money in the bank. Combined with what is starting to look like a fairly solid uptrend in refining margins, might be a decent year.

Can't help but thinking we would be better off though if they stopped playing around with their pet projects to add $0.10 to the already opaque refining margin calculation here and there.

[bull....]

Quite happy with the result. 6c fully imputed dividend, paid off a bit of their debt, a bit extra money in the bank. Combined with what is starting to look like a fairly solid uptrend in refining margins, might be a decent year.

Can't help but thinking we would be better off though if they stopped playing around with their pet projects to add $0.10 to the already opaque refining margin calculation here and there.

at this stage on track for a good year

[Justin]

why only up 1 cent with more than triples profit？

[cyclist]

why only up 1 cent with more than triples profit？

I guess it was largely expected, since we had already seen the margin reports. But early days. Often not much happens for a couple of days after an announcement, and then things start to move. I think it is likely to be higher before it goes ex divi.

[bull....]

why only up 1 cent with more than triples profit？

nz dollar higher than last half

[cyclist]

Looking increasingly likely that cyclone Harvey will have an impact on refining margins. I assume that will eventually spill over into the Singapore margin that NZR uses as reference: https://www.cnbc.com/2017/08/30/harv...kers-down.html

A spike already showing in the Neste data, on top of what looks like a nice wee uptrend over the last 12 months or so.

Still no love out there for this stock, but things looking pretty positive I think. (NZD still not great though).

[cdonald]

Looking increasingly likely that cyclone Harvey will have an impact on refining margins. I assume that will eventually spill over into the Singapore margin that NZR uses as reference: https://www.cnbc.com/2017/08/30/harv...kers-down.html

A spike already showing in the Neste data, on top of what looks like a nice wee uptrend over the last 12 months or so.

Still no love out there for this stock, but things looking pretty positive I think. (NZD still not great though).

The uplift for the last couple of days of the month has quite an effect as it will lift the refining fee for the whole of Jul/Aug (NZR use a 2 month average fee). The refining margins were already quite healthy without the increase of 20% over the last few days. I have a feeling that CAP will be hit this month which will then boost previous months income (as CAP is based on 12 months). Might be a very big year for profits.

[cyclist]

The uplift for the last couple of days of the month has quite an effect as it will lift the refining fee for the whole of Jul/Aug (NZR use a 2 month average fee). The refining margins were already quite healthy without the increase of 20% over the last few days. I have a feeling that CAP will be hit this month which will then boost previous months income (as CAP is based on 12 months). Might be a very big year for profits.

I think you are right about reaching cap. The whole period has been pretty good. Unfortunately I need to sell some shares at the moment (within the next week or so) to put towards a property purchase (small amounts - I'm a very little fish in this sea). I have to choose between NZR and SUM, both of which I think are undervalued at the moment. I am leaning towards selling SUM, as in the short term I think NZR has a very solid outlook.

[Justin]

Up to 2.54 Well done last Friday