Talk Is Sooooo Cheap

Talk is cheap because supply exceeds demand.

LOL!!!... Looks like I just have to repeat this over and over and over and over again.

Oh dearie me... what have upset my little-tiny-weenie-fingers yet again?

BSA targets RM70mil profit next year

BSA International Bhd is aiming for profits of RM60mil to RM70mil next year, said group executive chairman..

Ok, correct me England if i am wrong but it clearly states in this Bernama newsclip posted on the Star Businessnews that the BSA bossie is targeting/aiming/projecting a net profit of rm60-70million for next year.

Based on past performance, the company was confident of achieving a 30% increase in profits for 2006, he said.

Hmm... ok...ok... ok.... based on past performace.

Hmm... does past performance neccessary gurantee future performance????

Anywayyyy.... jom kita tengkuk saje... :)

2001 2002 2003 2004

Sales 91.544 113.701 164.759 198.434

Net profit 17.169 18.507 18.680 17.853

how?

Based on past 4 year's fiscal performance, earnings has been flat. Real flat with no growth at all.

Tiok boh?

17.169 -> 18.507 -> 18.680 -> 17.853

No need to be a math genius but i see no growth mah.. numbers not increasing isn't it?

Ok.. ok... ok...

Let's see most recent 4 quarters...

Total sales: 254.616 million
Total net profit: 14.956 million

Ahh.. sales looks as if it's improving but net profit at this rate will even be worse than it's fiscal year.

Ok..ok....ok... let's see current fiscal year performance vs last fiscal year performance..

BSA just announced its 2005 Q3 earnings on 30th Nov. 2005.

Total sales: 199.909 million vs 143.769 million
Total net profit: 10.771 million vs 13.948 million.

Again... it shows that current sales is much, much better... but in investing, sales growth counts for nothing for the investor, for what is most important for the minority investor is the total net profit. So sales is up. Bang! Bang! Sound wor. But its total net profit is down. 10.771 million vs 13.948 million a year ago.

Soooo... how lah?

Last 4 fiscal years, no signs of growth wor.
Last 4 quarters earnings, olso no signs of growth. (err.. go-stan growth got wor!)
This fiscal year, olso no signs of growth. (err.. go-stan growth got wor!)

Based on past performance, company is the company is confident of achieving a 30% increase in profits for 2006 wor....!!!!!!

Can believe onot?

Do you think this company, which had been making net profit between 17-18 million, with signs of a poor current fiscal year, will be able to meet this bossie target of rm60-rm70million the next fiscal year?

Or again is talk so cheap?