wazua Fri, May 1, 2026
Welcome Guest Search | Active Topics | Log In

75 Pages«<1920212223>»
Kenya airways Right Issue
Options
Previous Topic · Next Topic
mwekez@ji
#201 Posted : Wednesday, April 04, 2012 6:00:31 PM
Rank: Chief

Joined: 5/31/2011
Posts: 5,121
ProverB wrote:
mwekez@ji wrote:


Something is not adding up in your figures.

How can you assume that the KQ would have generated the same revenue with so much additional shares/capital and borrowings.

How can you say that the company cannot grow by double digit yet its operations are doubling.


7 years in a row...kq has recorded increased revenues..while recording decline in operating margins (except for 2010-11)...meaning for every shilling in revenue..less and less remains as profits..

Operations doubling means more passengers vs more aggressive expenditure in getting those more passengers... it costs more per passenger and per unit of cargo on transit than it did years ago..

No doubt operations will double...but so will costs...

shareholders are pumping new cash into KQ..this ain't KQ's money...ksh20billion plus..the issue is when shareholders will receive a return on that cash... definately not next year.. smile


As long as the margins are positive, then the bottom line will increase with increase in revenues, right?

There will be a lag in growing the bottom line but it will certainly grow, right?
Back to top
  |
ProverB
#202 Posted : Wednesday, April 04, 2012 6:36:31 PM
Rank: Veteran

Joined: 3/12/2010
Posts: 1,199
Location: Eastlander
mwekez@ji wrote:

As long as the margins are positive, then the bottom line will increase with increase in revenues, right?

There will be a lag in growing the bottom line but it will certainly grow, right?


Easiest way to follow KQ... focus on 1 shilling of revenues.. what percentage goes to costs..what percentage ends up as profit
..the more that remains as profit..the better the efficiency of KQ operations..

..other factors can be misleading.. eg..ever popular growth in passenger numbers..increase in planes and flight routes.. etc..

..follow the shilling. smile

#
..Let your light so shine before men, that they may see your good works, and glorify your Father which is in heaven...Matt5:16
- 1769 Oxford King James Bible 'Authorized Version
Back to top
WWW
  |
the deal
#203 Posted : Wednesday, April 04, 2012 6:39:13 PM
Rank: Elder

Joined: 9/25/2009
Posts: 4,534
Location: Windhoek/Nairobbery
@proverb welcome back , you finished it in one post, real fundamental analysis...
Back to top
  |
mwekez@ji
#204 Posted : Wednesday, April 04, 2012 7:16:24 PM
Rank: Chief

Joined: 5/31/2011
Posts: 5,121
ProverB wrote:
mwekez@ji wrote:

As long as the margins are positive, then the bottom line will increase with increase in revenues, right?

There will be a lag in growing the bottom line but it will certainly grow, right?


Easiest way to follow KQ... focus on 1 shilling of revenues.. what percentage goes to costs..what percentage ends up as profit
..the more that remains as profit..the better the efficiency of KQ operations..

..other factors can be misleading.. eg..ever popular growth in passenger numbers..increase in planes and flight routes.. etc..

..follow the shilling. smile

#


As long as Marginal Revenue > Marginal Cost, then KQ will tick

... as long as the shilling is followed by less than one shilling in cost, then KQ will tick

... smile
Back to top
  |
mwekez@ji
#205 Posted : Wednesday, April 04, 2012 8:28:35 PM
Rank: Chief

Joined: 5/31/2011
Posts: 5,121
WTH, some KQ rights have traded, at 5 cents!!! Circa 330,000 rights. Must be one of the big moneyed boys. Just seen it in NSE report.
Back to top
  |
mwekez@ji
#206 Posted : Wednesday, April 04, 2012 8:54:51 PM
Rank: Chief

Joined: 5/31/2011
Posts: 5,121
Back to top
  |
ProverB
#207 Posted : Wednesday, April 04, 2012 9:31:32 PM
Rank: Veteran

Joined: 3/12/2010
Posts: 1,199
Location: Eastlander
...

..
..Let your light so shine before men, that they may see your good works, and glorify your Father which is in heaven...Matt5:16
- 1769 Oxford King James Bible 'Authorized Version
Back to top
WWW
  | | Edit by user: Wednesday, April 04, 2012 9:34 PM | Reason: Not specified
ProverB
#208 Posted : Wednesday, April 04, 2012 9:33:48 PM
Rank: Veteran

Joined: 3/12/2010
Posts: 1,199
Location: Eastlander
mwekez@ji wrote:
WTH, some KQ rights have traded, at 5 cents!!! Circa 330,000 rights. Must be one of the big moneyed boys. Just seen it in NSE report.


..only because it couldn't trade lower than stipulated 14.00..

This ought to be a sign of what general market thinks of the share valuation.. it is worth way cheaper than 14.00

Assuming Institutional investors keep their word and take up rights due them..and the same for foreign investors..

..local individuals control about 22% of total shares issued.. translating to 400Million new share in retail trader hands... :)

..to assume the share price will not feel supply pressures hence drop would be really a long short...especially in the short to medium term..

I still retain.. ideal price..is sub 10bob..
..Let your light so shine before men, that they may see your good works, and glorify your Father which is in heaven...Matt5:16
- 1769 Oxford King James Bible 'Authorized Version
Back to top
WWW
  |
QW25091985
#209 Posted : Wednesday, April 04, 2012 9:42:10 PM
Rank: User

Joined: 1/24/2012
Posts: 1,675
Location: In Da Hood
the index jumped to 3400 . wow !
and quarterly report of the nse shows foreigners were busy buying . aiiigh .
yenyewe.... if you bought your shares during the 3072 lows just keep them
Back to top
  |
mwekez@ji
#210 Posted : Wednesday, April 04, 2012 9:52:39 PM
Rank: Chief

Joined: 5/31/2011
Posts: 5,121
QW25091985 wrote:
the index jumped to 3400 . wow !
and quarterly report of the nse shows foreigners were busy buying . aiiigh .
yenyewe.... if you bought your shares during the 3072 lows just keep them


And it has jumped with good turnover, over 500M. What the next point if such turnover is maintained?
Back to top
  |
75 Pages«<1920212223>»
Forum Jump  
You cannot post new topics in this forum.
You cannot reply to topics in this forum.
You cannot delete your posts in this forum.
You cannot edit your posts in this forum.
You cannot create polls in this forum.
You cannot vote in polls in this forum.

Wazua Investor Theme
Powered by YAF | YAF © 2003-2009, Yet Another Forum.NET
Copyright © 2026 Wazua.co.ke. All Rights Reserved.