Never mind the net profit increase 60% and revenue increase 48% y-o-y, how about rewarding its loyal shareholders with some dividends rather than allowing itself being "bullied" by suppliers and letting customers "dictating" how and when they will be billed :-
1. Other Assets increased by S$8.29 million or 25% to S$41.93 million as at 31 March 2012 from S$33.64 million as at 30 September 2011, mainly due to the subsidiary’s ship building business where costs were incurred upfront and billings can only be done upon delivery of vessels.
2. Trade and other payables increased by S$16.08 million or 59% to S$43.41 million as at 31 March 2012 from S$27.33 million as of 30 September 2011 due to the increase in progress billings from suppliers for procurement of materials for the Group’s major EPCC and CE projects.
Technics needs to consider review progress billing policies with customer due to upfront costs incurred. Fear of losing the customer? By allowing progress billings from its EPCC and CE suppliers, probably it is safe to presume that suppliers have successfully demanded from Technics on upfront down-payments?
Aside from withholding dividend payment to shareholder during Qtr 1 results released, Technics recently successful with the issue and allotment of 13 million placement shares at a price of S$1.02 for each placement share in Taiwan's OTC. With this, Technics has fully utilized net proceeds for the partial repayment of the bank borrowings of approximately S$12.7 million.
What's next, Technics? How about issuing perpetuals bonds with retail investors?
1. Other Assets increased by S$8.29 million or 25% to S$41.93 million as at 31 March 2012 from S$33.64 million as at 30 September 2011, mainly due to the subsidiary’s ship building business where costs were incurred upfront and billings can only be done upon delivery of vessels.
2. Trade and other payables increased by S$16.08 million or 59% to S$43.41 million as at 31 March 2012 from S$27.33 million as of 30 September 2011 due to the increase in progress billings from suppliers for procurement of materials for the Group’s major EPCC and CE projects.
Technics needs to consider review progress billing policies with customer due to upfront costs incurred. Fear of losing the customer? By allowing progress billings from its EPCC and CE suppliers, probably it is safe to presume that suppliers have successfully demanded from Technics on upfront down-payments?
Aside from withholding dividend payment to shareholder during Qtr 1 results released, Technics recently successful with the issue and allotment of 13 million placement shares at a price of S$1.02 for each placement share in Taiwan's OTC. With this, Technics has fully utilized net proceeds for the partial repayment of the bank borrowings of approximately S$12.7 million.
What's next, Technics? How about issuing perpetuals bonds with retail investors?
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