This lower profit is under the strict scrutiny of f Nexia SSY auditor. I am sure the new auditor will be very strict to make sure that whatever KPMG highlighted items are all well justified and any questionable items will do provision to writeoff or write down.

Hence, SD is now cleaner than most other listed company.

With the write off and impairment and is still profitable. This is consider a good QR .

Hence, limited downside. High potential upside.

Light, in risk management, we study the potential upside or downside. The catastrophic situation (mean like Enron) is definitely not there now. But the price have drop from this yr high of RM2.09 to RM0.305 (85% drop). To me this drop is considering overdone.

The potential upside is huge. Just be going back to RM0.60 is about 100% gain.
What if RM1?
If it drop to RM0.20 whereby it is no likely, is about 33% drop.
Conclusion, I am betting on 100% upside with a unlikely lower 33% drop.

Finally got someone like sandy giving a good point ! Not just like other come out yells the sky gonna drop ! As I said , the one that start buying now is the one that know the risk , of coz they have they own thought ! Keep arguing doesn’t make the thing comes better ! Do ur own risk management !

sandy roxy
Rise in USA and EU share is just a temporarily rebound after consecutive days of losses. hahaha. Coming nxt few weeks, we still have many events that may shake the market, e.g. release of Fed FOMC meeting minutes, US Payroll data, imminent Bond Tapering,...

Im nt saying market will be bearish forever, but at least recent weeks, stocks will still see some pressure

Most of you here have forgotten something... The latest QR is still categorised as 'have not been audited', this means the QR is released by the company itself, it is different from an AR/ SIR which is audited by an assigned external audit firm... Hope you guys are aware of it

Good luck, and all the best

Exactly, that is why I believe last QR result SB has a lot of freedom to do a lot of write down & provision to make sure that the SIR report will be clean.

With this the following qtr could be normalise back. These are all speculation.

Yeoh, what weed u smoke? bcause u suka gamble , thats why u dont have 1B and you're not going to have it one fine day in future bcause u are just a gambler, either all in or pergi holland..... A gambler like u will never have more than 500k assets on hand... mark my word

For long term investment, serba's cash flow from operating activities is almost the worst. Revenue high but cash dapat sikit je. Almost relying on financing activities to fund its daily operation. Is it really good enough? This problem has persisted for long.

Serba's current cash can be increased by
1. reducing the inventory of RM2.1 bil,
2. reducing the trade receivable of RM1.9 bil.

At least the current asset is RM5.5 bil.
and current liabilities is RM2.2 bil.

Kuen, since 2 groups of auditor is at Serba, i.e. EY and Nexia SSY. I believe the QR is more prudent. Should have a lot of provision and writedown (be it cost or revenue) to make sure that EY's SIR report is showing positive report.

This are just my view. only time can tell what is right.

Sandy, Yes, good ways to increase cash flow by reducing inventory & trade receivables. But these two items have been on the super high side too for long..hahah. They should have done it early if they want to win investors confidence

Yeoh Chang Hup, high commodity prices do not directly increase their revenue, Serbadk is not directly extracting or producing oil. The provide engineering services to support oil extraction & production. Oil price now is high due to its limited supply. When supply limited, production activities decrease, guess what then?? haha.

Yeoh, to raise supply/productivity or not is decided by OPEC leh, not suka hati those companies. haha. But i dont disagree with u. Current oil supply is only temporary and can change anytime. What's important is that, Serbadk should decrease their trade receivable and increase cash flow, only value investors will have confidence in them in near term..

Yeoh, still holding. There are unfavourable news by Bursa. Anyway, cannot do much as still suspended. Karim should gather all their form information and explain to the investor before submitting QR before lifting from Suspension.

I believe he should be preparing this now.