LANKEM CEYLON PLC (LCEY.N0000)

seyon wrote:What is ur prediction on this quarter results

Revenue increased by 4.7bn to 6.1Bn

GP at par level about 750Mn

Profit from operation is drop from 266Mn to 137Mn due to increasing operational expenses.

EPS 4.63 for the first quarter ( we can expect good performance from 2nd and 3rd quarter due to the seasonal effect ( Meha paddy Season)

Further other improvement is company assets value boosted from 90 to 125, this may be due to the recent right issue of group companies ( LNDV, MARA and ....)

Interesting stuff is changes in the top 20s share holder list

New entrance
Sri Lanka Insurance Corporation Ltd-General Fund 211,200
Swiss Lloyd Limited 78,100
Bank of Ceylon No. 1 Account 51,900

Associated Electrical Corporation Ltd stake up by 165.400

and other HNWI

Exit

J. B. Cocoshell (Pvt) Ltd 105,299
Dr. Thirugnanasambandar Senthilverl 52,014


Comment ur views about LCEY..

Hi Friends

what is ur idea about LCEY

when we are going to have LCEY run,

COLO is on move, Can we expect the next move from LCEY..

See report.

http://cse.lk/cmt/upload_report_file/497_1370264400657.pdf


Do you agree with LCEY annual Eps is Rs 35 ( they claim) to start with?


I will leave this open for comments.

Sir are u saying 12.36/=?

Another good counter. Smart investors get a potion of these type of shares before mkt realize it. Quite illiquid as well.

EPS on following quarter end months are as follow
2012.06.30 EPS (3.03)
2012.09.30 EPS (0.47)
2012.12.31 EPS 12.80
2013.03.31 EPS 8.72

So for the year ended 31.03.2013 EPS must be Rs.18.02

Am I correct?

Learner19 wrote:EPS on following quarter end months are as follow
2012.06.30 EPS (3.03)
2012.09.30 EPS (0.47)
2012.12.31 EPS 12.80
2013.03.31 EPS 8.72

So for the year ended 31.03.2013 EPS must be Rs.18.02

Am I correct?

Incorrect.

Gaja wrote:Sir are u saying 12.36/=?

They have calculated EPS for 1st 3Qtrs on profit attributable to owners (less minority interest)

For the last Qtr and whole year they have included minority interest, which I dont think is correct.
Without minority interest EPS would be 12.36 for the year

Is this a mistake???

good spotting sls!

LKR 296.698 /24 million shares
=LKR 12.36 per share

same as Gaja

previous year EPS LKR 21.39

They have nicely taken profits attributable to minority shareholders also into EPS calculation

When KAPI did this they had the decency to put out an errata within one day. Let's see what happens with these jokers? Is this a mistake or a deliberate attempt. If the price moves up these jokers might go for rights issue number 16.

Erroneous Accounts Reporting is nothing new to this Group.
All the Companies i.e. CFLB, EB Creasy & Lankem Interim Accounts are incorrect.
They will change many things & the entire picture including earnings may change in the Final & Audited Accounts.
Sometimes even Audited Accounts are incorrect i.e. in the FY 2011/2012, EB Creasy NAV was stated at over Rs 3000 which included Minority Interest. Then they changed it in following quarter interim results.
Now, in the current Lankem interim results (btw released later than parent company's CFLB & EB Creasy), it is not only the incorrect EPS Calculation they have made by including Minority Interest.
The bigger mistake is in the Allocation of Profit Attributable to Owners of the company and Non Controlling Interest. If you compare last years ratios and also analyse the Consolidated Segmental results on page 7, you will note that the profit attributable to owners of the company should be much higher, and resultantly, EPS without minority interest should be much higher than the Rs 14.20 as it appears in the interim accounts for FY 2012/2013.


Segment Profit Results - Consolidated
For the year ended 31 st March 2013

in Rs'000

Agricultural Inputs - 74,570
Industrial Products - 172,443
Consumer Products - 164,654
Leisure - 31,985
Plantations - 180,873
Plantation Trading - 224,446
Others - 3,872

Total Net profit - 852,843

So, if the Profit attributable to the owners of the company is only Rs 297 Mill, that means they are booking / owning 35 % only of all above businesses / profits / companies in above sectors. logically, this cannot be when you analyse the profile of the Lankem Group. Therefore, the profit to owners seems to be understated and Minority interest is overstated in these interim accounts.

Same for CFLB & EB Creasy.

There nothing wrong with EPS calculation

for the QTR 209,286,000/24,000,000= 8.72

For the year=852,843,000/24,000,000=35.54

total profit from continuing operation/Total number of shares outstanding

Minority interest also a part of equity.

Really? Are you sure?

Compare with their own Dec report
http://www.cse.lk/cmt/upload_report_file/497_1360920821220.12.2012.pdf

malanp wrote:There nothing wrong with EPS calculation

for the QTR 209,286,000/24,000,000= 8.72

For the year=852,843,000/24,000,000=35.54

total profit from continuing operation/Total number of shares outstanding

Minority interest also a part of equity.

slstock wrote:Really? Are you sure?

Compare with their own Dec report
http://www.cse.lk/cmt/upload_report_file/497_1360920821220.12.2012.pdf

malanp wrote:There nothing wrong with EPS calculation

for the QTR 209,286,000/24,000,000= 8.72

For the year=852,843,000/24,000,000=35.54

total profit from continuing operation/Total number of shares outstanding

Minority interest also a part of equity.

Yes you are right,, Last QTR calculations are wrong,

they have excluded the minority interest, which is wrong. I am trying to figure out what is the logic..

Hai Buddy,

Minority interest shouldn't come to EPS calculation. This is well known formula.

malanp wrote:

slstock wrote:Really? Are you sure?

Compare with their own Dec report
http://www.cse.lk/cmt/upload_report_file/497_1360920821220.12.2012.pdf

malanp wrote:There nothing wrong with EPS calculation

for the QTR 209,286,000/24,000,000= 8.72

For the year=852,843,000/24,000,000=35.54

total profit from continuing operation/Total number of shares outstanding

Minority interest also a part of equity.

Yes you are right,, Last QTR calculations are wrong,

they have excluded the minority interest, which is wrong. I am trying to figure out what is the logic..

Jana1 wrote:Hai Buddy,

Minority interest shouldn't come to EPS calculation. This is well known formula.

malanp wrote:

slstock wrote:Really? Are you sure?

Compare with their own Dec report
http://www.cse.lk/cmt/upload_report_file/497_1360920821220.12.2012.pdf

malanp wrote:There nothing wrong with EPS calculation

for the QTR 209,286,000/24,000,000= 8.72

For the year=852,843,000/24,000,000=35.54

total profit from continuing operation/Total number of shares outstanding

Minority interest also a part of equity.

Yes you are right,, Last QTR calculations are wrong,

they have excluded the minority interest, which is wrong. I am trying to figure out what is the logic..

Minority interest of subsidiary companies are taken out during consolidation, to calculate the parent company EPS.

but regarding the parent company EPS there is no minority issue involved. So profit should be devided by total number of shares ie,24m

They actually didn't exclude minority interest (MI) as you think.

Their 9 months total pft (incl MI)-643557
Last qtr (total) 223460

Total 867017 (icl MI)
EpS(24 mn shares) 36.15 (small mis matching)

So the total figure is wrong. It should be 12.75..

malanp wrote:

Jana1 wrote:Hai Buddy,

Minority interest shouldn't come to EPS calculation. This is well known formula.

malanp wrote:

slstock wrote:Really? Are you sure?

Compare with their own Dec report
http://www.cse.lk/cmt/upload_report_file/497_1360920821220.12.2012.pdf

malanp wrote:There nothing wrong with EPS calculation

for the QTR 209,286,000/24,000,000= 8.72

For the year=852,843,000/24,000,000=35.54

total profit from continuing operation/Total number of shares outstanding

Minority interest also a part of equity.

Yes you are right,, Last QTR calculations are wrong,

they have excluded the minority interest, which is wrong. I am trying to figure out what is the logic..

Minority interest of subsidiary companies are taken out during consolidation, to calculate the parent company EPS.

but regarding the parent company EPS there is no minority issue involved. So profit should be devided by total number of shares ie,24m

The simple logic is u r taking benefit from neighboring land also. U take benefit from ur land. LCEY did it in same way..

malanp wrote:

slstock wrote:Really? Are you sure?

Compare with their own Dec report
http://www.cse.lk/cmt/upload_report_file/497_1360920821220.12.2012.pdf

malanp wrote:There nothing wrong with EPS calculation

for the QTR 209,286,000/24,000,000= 8.72

For the year=852,843,000/24,000,000=35.54

total profit from continuing operation/Total number of shares outstanding

Minority interest also a part of equity.

Yes you are right,, Last QTR calculations are wrong,

they have excluded the minority interest, which is wrong. I am trying to figure out what is the logic..

Learner19 wrote:EPS on following quarter end months are as follow
2012.06.30 EPS  (3.03)
2012.09.30 EPS  (0.47)
2012.12.31 EPS  12.80
2013.03.31 EPS    8.72

So for the year ended 31.03.2013 EPS must be  Rs.18.02

Am I correct?

2013.06.30 EPS  (7.73)
2013.09.30 EPS  (17.98)
2013.12.31 EPS  8.13

Will they report positive EPS for qtr ending  2014.03.31......


What you think guys.......

Can we expect a divident announcement on Oct 14. when we looking at past details they paied dividents around Oct month.

Market R wrote:Can we expect a divident announcement on Oct 14. when we looking at past details they paied dividents around Oct month.

Ha Ha it seems you have this stock. bought at higher price.
Keep hope brither

No.. I am not holding. I need to buy this for short tearm. After a divident announcement shares like this will go up for sure. More than 10% gain within one week is sure after a divident announcement.

Market R wrote:No.. I am not holding. I need to buy this for short tearm. After a divident announcement shares like this will go up for sure. More than 10% gain within one week is sure after a divident announcement.

Note this Company is making heavy losses currently. So doubtful.

But share price may appreciate due to current market sentiment.

Noted

RPPA wrote:

Market R wrote:No.. I am not holding. I need to buy this for short tearm. After a divident announcement shares like this will go up for sure. More than 10% gain within one week is sure after a divident announcement.

Note this Company is making heavy losses currently. So doubtful.

But share price may appreciate due to current market sentiment.

Agree.

Losses ar piling up!! Lankem n kotagala huge losses this qtr also.

dont think eps - mines

Where are the all KOTA promoters in the forum?? All gone missing...
They wont be profitable entity fr quite some time until they diversify there crop from rubber to Palm. They started the transition but expected first harvest is in FY 2017.