Ashaka Cement

[wanaj0]

Originally Posted by yodiyokun

Wanaj0,

Please, can you explain why you think, these companies are over-priced at their current prices.

Thanks for the infor on outstanding shares

The PE's are high.

[bblqk69]

People,
please its time to continue this thread on Ashaka!
Does anyone know when they will be annoucing end of year results?
I never saw the Q3 results either did anyone see this?
Why is the price dropping so much?
Is this a good time to luck in or will it drop more?

[AbsoluT]

Staggered buying all d way.

[zainabusman]

Originally Posted by bblqk69

People,
please its time to continue this thread on Ashaka!
Does anyone know when they will be annoucing end of year results?
I never saw the Q3 results either did anyone see this?
Why is the price dropping so much?
Is this a good time to luck in or will it drop more?

Since i have been following Ashaka for more than 5 years i have never seen their 3rd qtr result. Once they report the half year, the next is usually year end. This year is no exception. Expect their year end result any time soon.

Change Agent

[bblqk69]

Thanks for the reply on Ashaka!
I never noticed that Ashaka has not been showing Q3 results for the past few years.
You know thats why this forum is great, I have asked alot of people including my brokers and no one could give me an answer till now.

Thanks..

[gbam]

Is ashaka good at the current price?

[XXCASH]

Co-Investors,

Check this out

http://www.proshareng.com/blog/wp-co...tor-report.pdf

[hispy99]

Originally Posted by XXCASH

Co-Investors,

Check this out

http://www.proshareng.com/blog/wp-co...tor-report.pdf

thx for pointing this out

[zainabusman]

ASHAKACEM PLC
AUDITED RESULT FOR THE PERIOD ENDED DECEMBER 31, 2007
2007 2006
TURNOVER N16.473b N16.771b
PROFIT BEFORE TAXATION N2.514b N4.951b
TAXATION (N911.169m) (N1.573b)
PROFIT AFTER TAXATION N1.603b N3.377b
PROPOSED DIVIDEND 1 FOR 6 CLOSURE DATE
AUGUST 25TO 29TH 2008

A 53% drop in profit. Very bad. Also no cash dividend. With Cement prices so high, it appears the only winners are the middle men.

[riskreturn]

Originally Posted by zainabusman

ASHAKACEM PLC
AUDITED RESULT FOR THE PERIOD ENDED DECEMBER 31, 2007
2007 2006
TURNOVER N16.473b N16.771b
PROFIT BEFORE TAXATION N2.514b N4.951b
TAXATION (N911.169m) (N1.573b)
PROFIT AFTER TAXATION N1.603b N3.377b
PROPOSED DIVIDEND 1 FOR 6 CLOSURE DATE
AUGUST 25TO 29TH 2008

A 53% drop in profit. Very bad. Also no cash dividend. With Cement prices so high, it appears the only winners are the middle men.

Is it not almost inevitable that Ashakacem too would like to join the bandwagon by going to the market to raise more funds? CCNN already made a rights issue last August and BCC and WAPCO have indicated interest to raise more funds, leaving Ashakacem that is yet to indicate interest. These common woeful results by all the firms in the industry seem to make it imperative for them to shore up their capital to finance projects that would return them to profitability - even while the power sector still continues to be in the doldrum.

[zainabusman]

Originally Posted by riskreturn

Is it not almost inevitable that Ashakacem too would like to join the bandwagon by going to the market to raise more funds? CCNN already made a rights issue last August and BCC and WAPCO have indicated interest to raise more funds, leaving Ashakacem that is yet to indicate interest. These common woeful results by all the firms in the industry seem to make it imperative for them to shore up their capital to finance projects that would return them to profitability - even while the power sector still continues to be in the doldrum.

The power crises must be the biggest contributor to the dismal result being reported by cement companies and even Flour mills. Personally i have never had it so bad with PHCN like in the last 3 months. Diesel prices have shot up to over N130 a litre.

Dangote Sugar said they have their own power arrangement. Although i dont know whether it is diesel or gas powered. We will know how they have fared when they release their half year result. Which should be very soon.

[Michael]

Originally Posted by zainabusman

The power crises must be the biggest contributor to the dismal result being reported by cement companies and even Flour mills. Personally i have never had it so bad with PHCN like in the last 3 months. Diesel prices have shot up to over N130 a litre.

Dangote Sugar said they have their own power arrangement. Although i dont know whether it is diesel or gas powered. We will know how they have fared when they release their half year result. Which should be very soon.

Dangote is supposed to be on Gas. I don't see how Gas prices won't increase also, even though we are supposed to have more than enough. Oando's NGC already threatening a pric e hike. Where are we going in Nigeria?

[bblqk69]

In the light of the present announcement by Ashaka, what is the way forward on this stock?
Those anyone really know why the profits were so low and no dividends?
I recon by the time the price is marked down it will be going for about N30?
Would that be a good time to purchase in bulk?
Or should one aviod this stock?

[saidone technology limit]

please can someone in the house advise at what price is good to enter this stock ????

[prince dagbolu]

Originally Posted by saidone technology limit

please can someone in the house advise at what price is good to enter this stock ????

If you are a long term investor i.e. 3-5 years. I shall enter this stock at below N30. This company has a good divided/bonus policy. But, its gonna take 3-5 years to sort out there energy problem.

[hispy99]

Courtesy of Zenith Securities

[hispy99]

AshakaCem records N16.47bn turnover
By Everest Amaefule
Published: Thursday, 6 Nov 2008
AshakaCem Plc on Wednesday declared a profit before tax of N2.5bn on a turnover of N16.47bn for the 2007 accounting year.

Speaking at the company’s Annual General Meeting in Abuja, the Managing Director, Mr. Muhammad Daggash, said both the profit and turnover were significant, giving the challenging operating environment in the year.

According to him, the company’s performance was slowed down in the last two quarters of 2007 as a result of general poor demand for cement after a strong showing in the first half of the year.

He also disclosed that the company’s cost of production increased significantly as a result of scarcity and high cost of Low Pour Fuel Oil, a major input, as well as increase in the cost of maintenance.

He said, “This development accounted for the decline in gross profit to turnover from 48 per cent to 34 per cent in the year under review. Profit before tax to turnover equally declined from 30 per cent in 2006 to 15 per cent in 2007.

“In view of the performance of the company in 2007, the management decided to conserve cash to complete all internal development projects and not to pay dividends this year.

“However, we have proposed to the board a bonus issue of one share for every six shares held to be approved by the shareholders. The proposal will represent an appropriation of N142m from the balance of the company revenue reserves.”

Daggash also said that the company had embarked on a number of major investment projects apart from coal firing that would improve performance and increase capacity of production.