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5 Peso cash dividend validated ICT’s strength

ICT’s 2020 financial results showed that revenue for 2020 surpassed its pre-pandemic revenue. That fact provides the cue that ICT is benefiting from the money printing around the world. Despite the pandemic induced lockdown around the world, demand for goods and materials remained buoyant as the world becomes awash with cash. ICT operating ports andContinue reading “5 Peso cash dividend validated ICT’s strength”

DMC principal stockholder hiked holdings in the company

One of the principal stockholders of DMC Holdings (DMC) is DFC Holdings. DFC Holdings is one of the two Consunji holding firms owning the controlling shares of DMC. As of 26 May 2020, DFC holdings controls 2,382,067,010 shares of DMC or about 17.94% of DMC. But as of 26 July 2021, those holdings have increasedContinue reading “DMC principal stockholder hiked holdings in the company”

ACEN’s 1H 2021 electricity profit margin compressed to 22% from 35%

AC Energy Corporation’s profit margin from sale of electricity was 22% in the first half of 2021. Revenue from sale of electricity during that period was 13.3 Billion Pesos while costs of electricity was 10.4 Billion Pesos. That would leave a gross profit of 2.9 Billion Pesos or 22% of sales. Compare that to 1HContinue reading “ACEN’s 1H 2021 electricity profit margin compressed to 22% from 35%”

Razon controlled Apex Mining is inching towards debt sustainability

The Enrique Razon controlled Apex Mining (APX) is making progress on its debt repayment. Over the years APX has been on negative free cash flows. The cash generated from its operations were not enough to cover its capital expenditures. It consistently borrowed money to pay debt and put cash on its balance sheet. In 2020Continue reading “Razon controlled Apex Mining is inching towards debt sustainability”

AP should learn from GMA7 that the proof of the pudding is in the eating

AP should learn from GMA Network (GMA7) that the proof of the pudding is in the eating. GMA7 a traditional-free-to-air broadcasting company saw a significant rise in share price when it declared 1.35 cash dividend. At the time of the dividend declaration GMA7 was just trading at a day high of 7.49 a share. TheContinue reading “AP should learn from GMA7 that the proof of the pudding is in the eating”

PLC yields 10.19%, results on track to sustain dividend distribution

Premium Leisure Corporation distributed a total of 1.3 Billion Pesos cash dividend to shareholders this year. With PLC currently trading at 0.41 a share the cash dividend amounts to a yield of 10.19%. The previous year was a horrible year for PLC. By year’s end PLC netted only 324 Million Pesos. Cash from operating activitiesContinue reading “PLC yields 10.19%, results on track to sustain dividend distribution”

URC, WLCON expanding, better 1H 2021 results despite ECQ in NCR+

Universal Robina Corporation and Wilcon Depot showed impressive 1H 2021 results. WLCON generated 13.4 Billion of sales an improvement of 4.4 Billion as compared to 1H 2020. Net income was 1.25 Billion against 0.35 Billion in 1H 2020. Meanwhile URC’s revenue was 68.5 Billion in 1H 2021 against 67.4 Billion in 1H 2020. URC’s netContinue reading “URC, WLCON expanding, better 1H 2021 results despite ECQ in NCR+”

URC’s 1H 2021 cash from operations down as 24.5B debts becomes due

Universal Robina Corporation (URC) earned 8.5 billion Pesos at the end of 1H 2021. That net income is 2.5 billion more than that of the same period last year. URC’s bottom line may have improved but the cash from operating activities was down 5 billion Pesos to just 4.3 billion Pesos. The decrease in cashContinue reading “URC’s 1H 2021 cash from operations down as 24.5B debts becomes due”

Globe spends money more for capex than it can generate from operations

In the first quarter of the 2021 Globe Telecom (GLO) spent 19.1 billion Pesos for capital projects. The amount spent for capital projects was more than the cash it generated from operating activities during that period. GLO generated cash from operating activities of only 16.7 billion Pesos in the first quarter of 2021. Of thatContinue reading “Globe spends money more for capex than it can generate from operations”

ESG investing a boon to DMC

Renewable energy needs a rising coal price New coal mine development might come to a halt as banks, financial institutions, and fund managers avoids funding those projects. Without new supply, coal prices are set to stay elevated for longer if not permanently. Coal price needs to stay elevated for renewable energy to be cost competitive.Continue reading “ESG investing a boon to DMC”

JFC holders take a twofold blow from CBTL and Smashburger acquisitions

Jollibee Foods Corporation (JFC) in the hunt for growth acquired two loss-making businesses: Smashburger and Coffee Bean & Tea Leaf. These acquisitions gave JFC shareholders a double whammy. First, the operating losses of Smashburger and Coffee Bean & Tea Leaf offsets the operating income of the established franchises of JFC like Jollibee and Chowking. JFCContinue reading “JFC holders take a twofold blow from CBTL and Smashburger acquisitions”

Jollibee’s intangibles now exceed its retained earnings

At the end of the first quarter of 2021 Jollibee Foods Corporation (JFC) reported intangibles in its balance sheet of 50 Billion Pesos. The intangibles can mostly be attributed to trademarks and goodwill of its most recent acquisitions CBTL and Smashburger. JFC’s 50 Billion intangibles has exceeded its retained earnings which stood at only 30Continue reading “Jollibee’s intangibles now exceed its retained earnings”

Decade high coal prices to deliver windfall to DMC, Homes to boost results

Coal prices have climbed to their highest level in a decade. Rebounding electricity usage in China have lifted demand for coal while supplies have been crimped by a closed mine in Colombia and flooding in Indonesia and Australia. Distorted trade flows caused by a Chinese ban on Australian coal also contributed to the short supplyContinue reading “Decade high coal prices to deliver windfall to DMC, Homes to boost results”

HOUSE’s cash dips even after issuance of 3.7 Billion preferred 8990B

8990 Holdings (HOUSE) released on 24 June 2021 its 2020 audited financial results and its first quarter 2021 financial results. At the end of the first quarter of 2021 HOUSE had a cash balance of only 321 Million Pesos. That is significant drop from the 1.2 Billion Pesos it held as of the end ofContinue reading “HOUSE’s cash dips even after issuance of 3.7 Billion preferred 8990B”

DMC’s key units performed better in Q1 2021 than in Q1 2019

DMCI (DMC) Holdings Incorporated’s key units performed better in Q1 2021 than during the pre-pandemic Q1 2019. DMCI Homes becomes the leading net income contributor for DMC in the first quarter of 2021. It even surpassed the coal and power generating unit, Semirara Mining and Power, in net income. The Q1 2021 net income ofContinue reading “DMC’s key units performed better in Q1 2021 than in Q1 2019”

MM at elevated valuation should raise fresh capital for expansion

MerryMart Consumer (MM) is currently trading at 4.27 level. That maybe down 46.56% year-to-date but at that price MM is still very much valued at a substantial premium. At that price MM’s price to book value is at 17.44X and P/E ratio is at 436X. In 2020, MM made an aggressive expansion. Its aggressive expansionContinue reading “MM at elevated valuation should raise fresh capital for expansion”

Momentum carries CLI to all-time highs despite cash burn on operations

Recently Cebu Landmasters (CLI) has been trading at 7.27 a share near it 52-week high and all-time high of 7.33. The buoyant share price belies the cash burn on operating activities. In the first quarter of 2021, CLI burned 663 Million of cash on operating activities. CLI burning cash on operations, capital expenditures on investmentContinue reading “Momentum carries CLI to all-time highs despite cash burn on operations”

Filinvest Land has highest yield but lowest valuation among peers

Among the country’s biggest real estate developers FLI has the highest dividend yield at 3.87% but the lowest P/E valuation at 8.39. FLI’s net income for 2020 was down to 3.96 Billion Pesos from 6.52 Billion Pesos in 2019. Despite the significant decrease in net income, FLI was able to generate cash from operations ofContinue reading “Filinvest Land has highest yield but lowest valuation among peers”

Coal eroding further investors’ appetite for Aboitiz Power

Aboitiz Power (AP) controls a coal-fired generating capacity of around 2,745.27 MW. As previously reported by Bloomberg, coal prices have been surging lately because of pent-up demand globally. The increasing coal prices may increase the fuel cost of the huge coal-fired generating capacity of AP. Increased cost could-affect is bottom-line. The ability to pass-on theContinue reading “Coal eroding further investors’ appetite for Aboitiz Power”

Rising coal prices, potential Maynilad IPO may fuel Consunji’s DMC

Consunji’s DMCI Holdings (DMC) has seen a steady climb in share price in the past few weeks. It is currently trading at 5.93 just 4.65% below its 52-week high of 6.24. DMC is already up 34.77% from a year ago. Bloomberg recently reported that global prices for coal surge on hot demand. Coal mining constituteContinue reading “Rising coal prices, potential Maynilad IPO may fuel Consunji’s DMC”