Seeka

[iceman]

I discussed a funding of future growth with both the CEO and Chairman at a meeting last year and suggested they should come to SH for at least some of the required cash. I believe this is being assessed as one of the funding options. We need more shares and SH on the register that will hopefully help increase liquidity.
Agree LAC and am expecting a good result and an increase in dividends.

[Fisherking]

I discussed a funding of future growth with both the CEO and Chairman at a meeting last year and suggested they should come to SH for at least some of the required cash. I believe this is being assessed as one of the funding options. We need more shares and SH on the register that will hopefully help increase liquidity.
Agree LAC and am expecting a good result and an increase in dividends.

Totally agree, the SP can jump $0.20+ in a single day, volume may be <1K shares traded. I think they need to do a better job of promoting the company; there's been some pretty good news stories as they overcome PSA issues.

[LAC]

Great result this morning.
https://www.nzx.com/companies/SEK/announcements/287967

[iceman]

Yes a spectacular report at first read. Net profit up 92% and EPS up 80%. Divie increasing from 9c to 10c and I expect another 11-12c for the FY.
Absolutely great result :-)

[Balance]

Yes a spectacular report at first read. Net profit up 92% and EPS up 80%. Divie increasing from 9c to 10c and I expect another 11-12c for the FY.
Absolutely great result :-)

Stunner - great to see NZ companies in the non-IT sector doing so well and delivering success.

[benjitara]

Good result.
I've bought in on the strength of it. (although I must say I'm crying after selling this stock at 80 cents!!!)
I'd like to see them get capex under a bit more control over the next 2 years and consolidate their position a little while continuing to make more of their Australia acquisition which to me has started very well despite challenging conditions.

[iceman]

Agree benjitara about the need for careful management of CAPEX. It is a difficult balance for a company providing infrastructure services and growing own produce in a fast growing but seasonal industry. You are damned if you do and damned if you don’t. However, I hope they come to us SH for some of the cash needed for future growth.
The CEO said in his HY comments that by mid June all coldstores were full. 1.3M trays were shipped one week after harvest but CAPEX required to build storage for that “excess” is $ 15M, which is not an efficient use of our money. Sadly Seeka’s application for collaborative marketing with Hainan Province in China last year, which included VERY cheap use of coolstores in China, was declined. One has to wonder why. Sometimes one has the feeling that Zespri’s monopoly is not conducive to innovative thinking in marketing and that they are more interested in protecting their monopoly.

One interesting little bit in the HY numbers is that free cashflow from operation was +3.3M , very unusual for the first half which normally has negative cashflow. I think this sets us up for a good 2nd half. Interesting to note also that this is the last year of the growers loyalty scheme which this year cost SEK nearly $3M in new shares. This is not a cash transaction but will flow straight to the bottom line next year as long as the growers stay with SEK.

Overall the business seems in good health. Kiwfruit with record volumes, Australia with a maiden (but below expectations) profit, Kiwiberry forecast to double in 2017, Avocados going great. The only lacklustre performance seems to be in Bananas and in Seeka Retail generally. But I am very pleased with this result. Also love how they announce the DRP strike price at the same time they announce the divie. Wish more companies did that.

I believe we will see quite rapid further growth of Seeka for the next 3-5 years and expect capitalisation to triple in the medium term. I am in for the ride with SEK currentlybeing my biggest holding.

[benjitara]

I'm cautiously optimistic that they can continue to post increasing returns and profit increases but would like them to make a good fist of their current Australian operations before putting more capital into that part of the business. It's a rugged piece of earth Australia!
Any way, I'm pleased with the dividend, in this for the next 3-4 years all going well.

[percy]

Agree benjitara about the need for careful management of CAPEX. It is a difficult balance for a company providing infrastructure services and growing own produce in a fast growing but seasonal industry. You are damned if you do and damned if you don’t. However, I hope they come to us SH for some of the cash needed for future growth.
The CEO said in his HY comments that by mid June all coldstores were full. 1.3M trays were shipped one week after harvest but CAPEX required to build storage for that “excess” is $ 15M, which is not an efficient use of our money. Sadly Seeka’s application for collaborative marketing with Hainan Province in China last year, which included VERY cheap use of coolstores in China, was declined. One has to wonder why. Sometimes one has the feeling that Zespri’s monopoly is not conducive to innovative thinking in marketing and that they are more interested in protecting their monopoly.

One interesting little bit in the HY numbers is that free cashflow from operation was +3.3M , very unusual for the first half which normally has negative cashflow. I think this sets us up for a good 2nd half. Interesting to note also that this is the last year of the growers loyalty scheme which this year cost SEK nearly $3M in new shares. This is not a cash transaction but will flow straight to the bottom line next year as long as the growers stay with SEK.

Overall the business seems in good health. Kiwfruit with record volumes, Australia with a maiden (but below expectations) profit, Kiwiberry forecast to double in 2017, Avocados going great. The only lacklustre performance seems to be in Bananas and in Seeka Retail generally. But I am very pleased with this result. Also love how they announce the DRP strike price at the same time they announce the divie. Wish more companies did that.

I believe we will see quite rapid further growth of Seeka for the next 3-5 years and expect capitalisation to triple in the medium term. I am in for the ride with SEK currentlybeing my biggest holding.

Thanks Iceman.
You remain "well positioned."!!!!..lol.

[Jantar]

Kiwifruit flavoured Iceblocks? https://www.nzx.com/companies/SEK/announcements/288220

Should add to the expected earnings next year.