HRnetGroup

hahaha it took them millions to learn a lesson from the fair value losses. They could have come to the forum here to read up and they will then realize there is a hell of difference in having a controlling stake in a business and running the actual operations versus owning it as an outsider

And it is very much like if i buy some shares in HRnet, hoping for a huge one-time special dividend and the management says NO. At least, they are honest and upfront about it. As an OPMI, i wont have a chance of benefiting form the huge cash pile

(29-05-2024, 01:31 PM)money Wrote: As an OPMI, i wont have a chance of benefiting form the huge cash pile

Well, the Sim family has shown us that this may not be true. Historically, the Sim family took home 4-5x more in dividends compared to their salaries.

With poor 1H24 results (and even poorer forecast for the rest of the year), they continue to declare similar dividends YoY. Very good chance that the full year dividends will still be matched (ie. 4 cents/share), all thanks to its prior low payout ratio. So in a way, the huge cash pile is still been shared around.

With Sims owning ~80% of the company and its business co-leaders another 5-10%, they are very well aligned with OPMIs. Even the NEDs get half of their fees in shares.

1H2024 Financial Results

Market conditions look set to get even tougher in Q3 and Q4 as geopolitical tensions continue to intensify and the trade war worsened into a cold war.

We will do what is within our control, including keeping a tight rein to reduce costs, upskilling our consultants to fight even better in this market, and raising delivery standards to lock in trust and confidence in our client relationships.

The Group has strong fundamentals, robust infrastructure and entrepreneurial elements in place to ensure sustainable profitability. We are well positioned to capture growth and seize M&A opportunities.

1H24 results:
https://links.sgx.com/FileOpen/HRnetGrou...eID=815130
1H24 ppt:
https://links.sgx.com/FileOpen/1H2024%20...eID=815131