obiero wrote:harrydre wrote:watching this stock closely...rose by 25 cents today.
Watch it very closely @harrydre.. Something must give.. The exchange bar gentleman opine that @mbuvingunze decided to pack in all 'historical' losses into the full year results so as to move with reduced baggage. With sale of the obsolete craft, Embakasi land, coupled with weaning of unprofitable international routes via reduced frequency, increased local travel via Jambojet, oil savings via newer efficient planes; a profit for H1 is assured. Thank me later
Facts:
1) The old aircraft have not been sold. So they continue 'depreciating' in value as they wait to be sold.
2) The debts are not going anywhere. They need to be serviced.
3) Has the land been sold? What value is the land being carried at in the books?
4) Lower fuel prices. Good news for Emirates that doesn't hedge.
In the meantime, my KK released 1H results...
1) Not selling assets (excluding normal PPE disposals) anymore

[Stations acquired in Rwanda and Burundi are being rehabbed]
2) Debts reduced

[Gearing Ratio down to 50% despite selling 8% more volume] as have interest costs

[down 43%]
3) Lower fuel prices means higher GPM (no hedging) in 2H
4) Did I mention that KK could hit 3bn PBT for 2015?
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett