JB Foods

[ngcheeki]

JB food result is out and there is surprise interim dividend of 1 cent.

1H FY2012
EPS (RM) $0.0711
NAV (S$) $0.1547
Net Gearing 91.38%
Price to Book 2.34

Outlook
Going forward, over the next 12 months, the Group expects that the business environment will continue to be
challenging as the global economic situation remains uncertain in light of the current Euro Zone debt crisis.
However, barring unforeseen circumstances, the Board remains positive about the Group’s businesses due to the expected increasing cocoa powder demand in Asia. The Group will endeavour to capitalise on this growing demand.

http://info.sgx.com/webcoranncatth.nsf/V...1002D745D/$file/JB.Foods.Ltd_1st.half.2nd.Qtr.announcement.2012.pdf?openelement

[propertyinvestor]

Once the indo plant is up and running, plenty of opportunities for JB Cocoa to capture the Asian Demand!
Btw, its not exactly clear if the dividend is in SGD or MYR. :?

[freedom]

if in MYR, should the dividend be declared as 1 sen instead of 1 cent?

[propertyinvestor]

if in MYR, should the dividend be declared as 1 sen instead of 1 cent?

Yea thats what I thought.

The reporting is in MYR. But why is the dividend disclosed in cents instead of sen?

[freedom]

Wilmar reports its financial in US$, but declare dividends in S$. What's there to doubt?

[propertyinvestor]

Wilmar reports its financial in US$, but declare dividends in S$. What's there to doubt?

In Wilmar's case its stated very clearly in SGD on the dividend announcement.

[propertyinvestor]

With Petra foods having received an offer for 1.2B for their cocoa processing unit in indonesia, this confirms that JB Foods is moving in the right direction in utilising IPO proceeds to invest and build up processing facilities in Indonesia.

[thefarside]

Petra's price tag looks huge but they basically got book value for their cocoa grinding assets. Which may or may not be fair as it is now in the low cycle due to industry overcapacity and weak external demand. Looking at JB foods with P/B of 2.34 with no branded business to speak of, this is somewhat fully valued at the moment. Just my humble two cents.

[propertyinvestor]

Petra's price tag looks huge but they basically got book value for their cocoa grinding assets. Which may or may not be fair as it is now in the low cycle due to industry overcapacity and weak external demand. Looking at JB foods with P/B of 2.34 with no branded business to speak of, this is somewhat fully valued at the moment. Just my humble two cents.

Even Guan Chong doesnt have a branded business but trades at higher valuations to JB Foods.

Indonesia is the right place to start a cocoa processing business as there is NO EXPORT Tax for processed cocoa.

[ngcheeki]

Petra's price tag looks huge but they basically got book value for their cocoa grinding assets. Which may or may not be fair as it is now in the low cycle due to industry overcapacity and weak external demand. Looking at JB foods with P/B of 2.34 with no branded business to speak of, this is somewhat fully valued at the moment. Just my humble two cents.

Based on the result of 3Q FY2012, the revised P/B is 1.5X instead of 2.34X. JB Food book value as of the last reporting period was RM$0.4556 or S$0.18. Based on the last traded price of 27 cents, the price to book should be 1.5X. Furthmore, their net gearing drop to around 45% instead of previously 91%.

http://info.sgx.com/webcoranncatth.nsf/V...400228B2B/$file/JBFOODSLTDTHIRDQUARTERannouncement.pdf?openelement