Grand Banks Yachts

[karlmarx]

GBY turned in another profitable quarter with an increase in orders. But free cash flow continues to be negative as it adds to more PPE and inventory.

http://infopub.sgx.com/FileOpen/GB2QFY20...eID=488309

[dydx]

Latest videos of the current popular Grand Banks yachts - GB60 and Eastbay 44..
https://youtu.be/1Bc-HPcIu40 [GB60]
https://youtu.be/1Q2TlcCJ2QU [Eastbay 44]

Grand Banks is 60 years old..
https://youtu.be/UnwBj6R8Mrw
and the rebirth of an icon..
https://youtu.be/upvDh5uWqKc

[cyclone]

Grand Banks Yachts Posts 10-Year High Net Profit of S$9.5 Million for FY2018

Highlights :
1. Revenue rose 42.2% to S$83.5 million for FY2018 from S$58.7 million a year ago ("FY2017")
2. Gross profit for FY2018 increased to S$21.1 million from S$10.5 million in FY2017 while gross profit margins rose to 25.2% from 17.9%
3. Third consecutive full-year profit is the Group’s highest in ten years
4. Full-year net profit before tax of S$5.9 million
5. Cash and cash equivalents came to S$8.4 million as at 30 June 2018 compared to S$15.9 million as at 30 June 2017
6. Earning per share for FY2018 amounted to 5.14 Singapore cents compared to 0.28 Singapore cent in FY2017
7. Net asset value per share was 30.41 Singapore cents as at 30 June 2018 compared to 24.54 Singapore cents a year ago
8. 22 new boat orders in FY2018 lift net order book to S$32.8 million
9. Proposed full-year dividend of S$0.005 per share

More details in :
1. http://infopub.sgx.com/FileOpen/GB4QFY20...eID=523294
2. http://infopub.sgx.com/FileOpen/Press_Re...eID=523295

Grand Banks Yachts today closed at 0.290 (+0.005), up 1.764%

[dydx]

Grand Banks Yachts Posts 10-Year High Net Profit of S$9.5 Million for FY2018

Do note the high NP of $9.5m for FY2018 included a $3.9m tax credit (of which $3.7m taken in 4Q). From the commentary in the results announcement, the tax credit 
"was due to the recognition of deferred tax assets from unutilised tax losses and capital allowances of two subsidiaries. It is probable that sufficient taxable profits will be available in the foreseeable future which will allow the subsidiaries to utilise the tax benefits to offset their tax expenses."

I thought the above statement is very encouraging, as it means Grand Banks' management and BOD are confident about future profits, and likely the next approx. $25.0m of the 2 subsidiaries' PBT (assuming a blended income tax rate of 20%, and based on the $5.02m deferred tax assets balance in the latest 30Jun18 group B/S) would be 'tax free'.

[dydx]

The latest announcement on the new 'Palm Beach GT50' boat having won 2 prestigious awards in the recent 2018 Newport International Boat Show is very encouraging....
http://infopub.sgx.com/FileOpen/GBY_Palm...eID=526024

After watching the video and reviewing the specs of the 'Palm Beach GT50', it is quite easy to appreciate why the new boat is attractive and would likely be a big success....
https://www.palmbeachmotoryachts.com/gt-series/

[dydx]

Encouraging 1Q-FY20 results...
https://links.sgx.com/1.0.0/corporate-an...2943fe6318

[cyclone]

Pasir Gudang Yard Tour

Grand Banks Yachts Limited announced that the Group will organise a tour of its yard at Pasir Gudang, Malaysia, for shareholders on 19 November 2019.

The Group will arrange transportation and meals for the trip. Return transportation from Pasir Gudang, Malaysia is expected to reach Singapore by 5:00pm on 19 November 2019. Shareholders who are interested have to provide their full name, passport number, Identification Card number, address and telephone number to the Group Contact Person by 12 November 2019. Registration will be on a firstcome-first-served basis and is subject to availability.

Additional details will be provided to shareholders who have registered their interest. The itinerary of the trip is subject to change at the sole discretion of the Group.

Group Contact Person:
Name: Mr Isaac Tang
Email: grandbanks@wer1.net
Tel: 6737 4844

[dydx]

Below press release (first released in Oct2019) makes interesting reading..
https://grandbanks.com/wp-content/upload...Oct-19.pdf
From the contents, we know GB60 (first launched in late 2017) has sold 16 boats until Oct2019. This is indeed very encouraging!
https://grandbanks.com/models/grand-banks/grandbanks60/

The much anticipated all-new GB54 will be launched on 26Mar..
https://grandbanks.com/event/palm-beach-...show-2020/
https://grandbanks.com/models/grand-banks/grandbanks54/

[money]

Just wondering if this is more of a cyclical stock. If one were to view it this way, then entry points should be made when the stocks gets very beaten down. Personally i wont view it as a value stock such that i buy and hold

[dydx]

Just wondering if this is more of a cyclical stock. If one were to view it this way, then entry points should be made when the stocks gets very beaten down. Personally i wont view it as a value stock such that i buy and hold

As expensive yachts are passionate toys for a certain category of rich men, and rich men who can sustain their wealth and lifestyle would continue to consume and buy material things to enrich their lives, I suppose if a yacht company can have the right products and smart marketing, there should be business out there throughout the normal economic cycles. The fact that the luxe Mercedes S-Class continues to sell with each model upgrade supports this market/business logic.

Genting Group through their listed Hong Kong unit Genting Hong Kong Ltd is now that largest shareholder (26.9%) of GB, and Genting's patriarch Tan Sri Lim Kok Thay owns another 1.66% in his personal name. Perhaps someone can ask Tan Sri Lim how he looks at his and Genting's investment in GB?

https://links.sgx.com/FileOpen/Grand_Ban...eID=581200