WHY PENERGY (5133) IS IN A VERY SWEET SPOT OF OGSE BULL RUN TIME, Calvin Tan Research

March 4, 2019 By Calvin Tan Smart Investment

Hi guys,

By now all are aware that we are in a NEW BULL RUN TIME IN OGSE (OIL & GAS SERVICE/EQUIPMENT) STOCKS

Let’s take another look at Carimin, Penergy & Dayang

1. See Carimin latest Qtr Report

SUMMARY OF KEY FINANCIAL INFORMATION
31 Dec 2018

		INDIVIDUAL PERIOD		CUMULATIVE PERIOD
		CURRENT YEAR QUARTER	PRECEDING YEAR CORRESPONDING QUARTER	CURRENT YEAR TO DATE	PRECEDING YEAR CORRESPONDING PERIOD
		31 Dec 2018	31 Dec 2017	31 Dec 2018	31 Dec 2017
		$$’000	$$’000	$$’000	$$’000
		1	Revenue	96,255	40,253	180,342	64,988
2	Profit/(loss) before tax	5,326	-3,297	16,970	-3,369
3	Profit/(loss) for the period	5,215	-3,639	16,743	-3,822
4	Profit/(loss) attributable to ordinary equity holders of the parent	5,264	-3,606	16,979	-3,884
5	Basic earnings/(loss) per share (Subunit)	2.25	-1.54	7.26	-1.66
6	Proposed/Declared dividend per share (Subunit)	0.00	0.00	0.00	0.00
		AS AT END OF CURRENT QUARTER		AS AT PRECEDING FINANCIAL YEAR END
7	Net assets per share attributable to ordinary equity holders of the parent ($$)

Due to monsoon in Trengganu Carimin still registered an increase of Revenue from Rm40 Mil to Rm96 Mil for over140% Rise in Revenue

Note: Rising Revenue means increased Orders from Petronas

Carimin has Rm114 Millions in PPE (Property/Plant/Equipment)

Still new. So Carimin is like a baby OGSE

Still growing up. Good.

2. See Dayang Qtr next

SUMMARY OF KEY FINANCIAL INFORMATION
31 Dec 2018

		INDIVIDUAL PERIOD		CUMULATIVE PERIOD
		CURRENT YEAR QUARTER	PRECEDING YEAR CORRESPONDING QUARTER	CURRENT YEAR TO DATE	PRECEDING YEAR CORRESPONDING PERIOD
		31 Dec 2018	31 Dec 2017	31 Dec 2018	31 Dec 2017
		$$’000	$$’000	$$’000	$$’000
		1	Revenue	285,648	173,259	937,641	694,989
2	Profit/(loss) before tax	131,236	-8,955	220,027	-66,502
3	Profit/(loss) for the period	101,327	-60,674	148,055	-153,182
4	Profit/(loss) attributable to ordinary equity holders of the parent	97,724	-55,210	164,223	-144,891
5	Basic earnings/(loss) per share (Subunit)	10.13	-5.72	17.02	-15.46
6	Proposed/Declared dividend per share (Subunit)	0.00	0.00	0.00	0.00
		AS AT END OF CURRENT QUARTER		AS AT PRECEDING FINANCIAL YEAR END
7	Net assets per share attributable to ordinary equity holders of the parent ($$)	1.1700		0.9900

Dayang revenue also increased from Rm173 mil to Rm285 millions (Up 64%)

Its profits surged to 10.13 sen

Dayang is not so affected by Monsoon as it is near the “land below the wind”

Very good Growth Surge!!

Dayang the Taiko has PPE of Rm1.4 BILLIONS (Over 10 times of carimin)

But Dayang also got huge debt over Rm1 Billions. Another handicap is its liability in Perdana

But Dayang should do well as Petronas is helping

3) Let’s see PENERGY

SUMMARY OF KEY FINANCIAL INFORMATION
31 Dec 2018

		INDIVIDUAL PERIOD		CUMULATIVE PERIOD
		CURRENT YEAR QUARTER	PRECEDING YEAR CORRESPONDING QUARTER	CURRENT YEAR TO DATE	PRECEDING YEAR CORRESPONDING PERIOD
		31 Dec 2018	31 Dec 2017	31 Dec 2018	31 Dec 2017
		$$’000	$$’000	$$’000	$$’000
		1	Revenue	191,832	118,438	467,424	460,230
2	Profit/(loss) before tax	20,904	-46,679	-18,584	-46,212
3	Profit/(loss) for the period	20,884	-46,500	-20,996	-46,033
4	Profit/(loss) attributable to ordinary equity holders of the parent	20,884	-46,500	-20,996	-46,033
5	Basic earnings/(loss) per share (Subunit)	6.51	-14.49	-6.54	-14.34
6	Proposed/Declared dividend per share (Subunit)	0.00	0.00	0.00	0.00
		AS AT END OF CURRENT QUARTER		AS AT PRECEDING FINANCIAL YEAR END
7	Net assets per share attributable to ordinary equity holders of the parent ($$)	1.0300		1.1000

Remarks :

The amendment is on item 4 of profit/(loss) attributable to ordinary equity holders of the parent (RM'000) for the preceding year corresponding period ended 31 December 2017. The correct figure is -46,033 instead of 46,033.

This amended announcement is dated 22 February 2019.

Definition of Subunit:In a currency system, there is usually a main unit (base) and subunit that is a fraction amount of the main unit.
Example for the subunit as follows:

Revenue increased by 61% from Rm118 mil to Rm191 Million

PPE & Investments are Rm319 Millions (just nice: fit & healthy like a young adult)

Modest borrowings are backed by Assets & Investments

OF THE 3 PENERGY IS IN THE SWEET SPOT

ITS PRICE STILL LAGS BEHIND DAYANG

BUT ITS FUNDAMENTAL IS STRONGEST OF ALL OGSE

SO PENERGY HAS FURTHER UPSIDE TO GO

AT 75 SEN NOW

CALVIN CALLS FOR A BUY

TARGET PRICE?

IT SHOULD RISE ABOVE RM1.00 TO MATCH DAYANG FIRST

A MODEST ONE YEAR TARGET FOR PENERGY IS RM1.50

A Reminder

On January 2018 Calvin posted Carimin at 39 sen & gave a Target price for carimin at 80 sen

But to the surprise of all Carimin (currymee) was chased 94.5 sen (exceeded my T/P of 80 sen)

If you look into the 10 year or more history of these

Carimin was above Rm1.00 during IPO

Dayang was only 50 sen long ago

Penergy which was purchased from Perdana was a high of Rm5.00

Petra Perdana & Petra Energy were one at one time

After Waseong people bought Petra Energy from Petra Perdana they went separate ways

Perdana later took on too much debt & got into problem

Penergy remain prudent, solid & sound

The word “Petra” is the feminine of Peter which means “A Rock”

SO PENERGY IS THE OGSE WITH ROCK SOLID FUNDAMENTAL

IT SHOULD DO VERY WELL

BEST REGARDS

Calvin Tan Research

Singapore

Please buy/sell after doing your own due diligence

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