Screenshots

Jeff, even lion don't eat THAT much.

Source
http://announcements.bursamalaysia.com/EDMS/subweb.nsf/7f04516f8098680348256c6f0017a6bf/a41c53606d786fd64825703000476054/$FILE/KPS-AnnualAuditedAccounts.pdf

Here is the mathematics

KPS
revenue +236 millions
cost of sales -195 millions
administtrative cost -71 millions.
finance cost -71 millions

Ok, lets see the debts
Borrowing 198 Millions
long term debts 70+ millions

If anyone can enlighten me why "cost of sales" take away 80% of the revenue?

sometimes i think that its a blessing in disguise that the less privilege do not have Internet access, hence they don't know how much money is being wasted or drained into some cronies' pocket.

very depressing la... esp when we are asked to change our lifestyle in order to keep those GLC afloat.

btw wat the heck that KPS & KHSB do?! plus these GLCs are selangor state owned. i wonder how are the rest of other states GLCs are doing...

anyway every cloud has its silver lining

not sure if corruptions led to their financial losses but one thing is for sure, the brain behind it is either too smart or too stupid. no in between.

Hedonism, u say

"sometimes i think that its a blessing in disguise that the less privilege do not have Internet access, hence they don't know how much money is being wasted or drained into some cronies' pocket."

I think that this is not a blessing... It's a curse. However, I think most M'sians are not stupid ppl. They're just ignorant (in varying degrees). They don't know what is happening out there. Imagine, if more ppl know about the wrong doings... it can make a difference in the next general elections. That's what we should be doing...spread the word.

next general election ? I'm not sure if we are going to change anything at all. Not trying to be negative here but, I just simply seeing the outcome of election repeating. I do agree that we really need check and balance, power/authority should come with responsibility. BTW, are the bungalows built borne by either of these companies ?

As long as 80% of the citizens do not know about this, they do not care. Keep the people ill-informed. Do not forget about those famous study trips. Afterall, it THEIR money and THEY CAN DO WHATEVER they want with it including give their very own pay rise of 5%-320%.

Always watch out for the interfaces. That's where the money is made on the side. They can say there's no law for a GLC to parade details of their accounts to the public since they consider GLCs to be semi-private when it serves them, and semi-government when their hands are out for contributions. They are out of the General Orders and so cannot get disciplined except when charged in court under the promptings of the ACA, a moribund organization. They can arrogate to their own board of directors almost titular powers over how money can be spent, favours exacted and distributed, licenses and land withheld or appropriated.

Always pay attention to the interfaces. These are loopholes they exploit because in the comfort of the nappa-leathered executive chairs, it is so easy to wheel-and-deal away money of the state covered by ambivalent record of proceedings in minutes of meetings written by the same vested parties.

Look out for the interfaces. They exploit the lacuna and vacuum that divide federal from state, state from municipality, municipality from district.

In the last thirty years, the exploitation of the interfaces has been a major channel by which the money of the rakyat has been diverted, the private sector has been armtwisted, the quality of goods and services compromised, and integrity, shacked.

Never give up focus on the interfaces. The moment you do, they'll create a new generation to exploit them, perpetuating the hydra that saps this nation of her last drop of blood.

In the coming months, wait not with bated breath for more revelations.

Tired of neil's rantings? try this instead:

http://tinyurl.com/jqdcz

Being in the property industry, the 80% for cost of sales is more or less correct as it includes land, infra, brick and mortar. More so when these costs in 2 companies are generally 20 to 50% higher compared to non GLC related due to corruption, poor SOP and kickbacks. Both companies being property companies will continue to lose money since :
1. the property industry is on the decline as it has been hit or dampaned by oversupply, increase in fuel,oil and petrol prices and higher interest rates.
2. it is unable to compete with other market driven listed property cos such as SPSetia, IOI and 1 or 2 others.
3. its costs are generally much higher;
4. lack of expertise as it depends very much on land given on silver spoon and political patronage.
If I were you, I would dump KPS and KHSB & all property counters shares now except for the top 5. Thks

Neil, rest assured every one of your 'rantings' is a lesson in itself. That includes figuring out the hidden or insinuated meanings.

bystander,
I doubt REAL private sector can afford to do such business.

In my understanding, the "Administrative cost" are part of the actual cost that has been separated to confuse immature investor.

If you add both cost together(cost of sales and administrative cost), you will find out the actual cost are actually 112% of the revenue.

So we can see the ratio
COST : REVENUE
112% : 100%

Ihe simple word, every RM1 they made, they spends RM1.12

Sounds familiar?

thank you, Mr Teh.

given the state of regression of this country, i may progress to mumbo-jumbo.

and alas, the cost of gasoline foiled my attempt at self-immolation to protest the cost of gasoline.

wish instead i am in Penang to hear again the sweet lilt of hokkien of her beauties.

and when someone writes like that, you know he's finished.

neil

just read this from bernama,

Kumpulan Hartanah Expects To Make RM10 Mln In Sales With New Campaign

By Leslean Arshad

SHAH ALAM, March 15 (Bernama) -- Kumpulan Hartanah Selangor Bhd expects to rake in RM10 million from the sales of its stock of residential properties under three housing projects currently promoted by the company.

A two-month House Ownership Campaign was launched, here Wednesday for the purpose.

One of the major attractions of the campaign is the financing package offered to house buyers. Provided by Bank Islam, financing goes up to as much as 135 percent.

Kumpulan Hartanah Selangor's senior manager for Marketing, Sales and Corporate Communications, Ungku Amir Ungku Sulaiman said that the campaign would involve its properties in Bandar Armanda in Pulau Indah, Taman Malawati in Kuala Selangor and Astaka Heights in Pandan Perdana.

"We are giving focus to the ownership of house in the campaign. We feel the time is right to offer our properties under an attractive financing package which is a result of our cooperation with Bank Islam," he told Bernama here today.

Kumpulan Hartanah Selangor is a subsidiary of Kumpulan Darul Ehsan Bhd (KDEB), the investment arm of the Selangor state government.

Ungku Amir said that the financing offered by Bank Islam comprised 100 percent for housing, 10 percent for stamp duties and legal fees while the remaining 25 percent was an allocation for personal loans.

He said the package offered attractive interest rates and longer periods for payback.

Ungku Amir said that about 25 percent of the houses from the project in Bandar Armanda were being offered under the campaign, while Taman Malawati was offering 19 percent of its units and Astaka Heights was putting up 12 units of penthouses for sale.

The properties in Bandar Armanda and Taman Malawati are ready for occupation and have already received their Certificate of Fitness for occupation while the penthouse units in Astaka Heights are expected to ready in June.

The price of the apartment units in Bandar Armanda start from RM84,000 while the link houses start from RM136,000.

The houses in Taman Malawati are priced from RM103,000 while the Astaka Heights penthouse starts from RM287,000.

Ungku Amir said Kumpulan Hartanah Selangor would be holding roadshows to promote the properties to the staff of KDEB subsidiaries like Universiti Industri Selangor (Unisel), Kolej Antarabangsa Inpens and the network of Quality Hotels.

He said the campaign would be also giving incentives to KDEB staff with its partner referral programme. Under this, staff who successfully introduce buyers for the properties to Bank Islam would be given incentives in the form of either cash, holiday packages or free electrical goods.

I doubt it would be a succesful campaign after the recent flood hampered the "most" developed state because the rakyat will definetely have absolutely no confidence in the property, be it the market value, potential growth, etc. It's time for heads to roll.

Moo_t,
In standard accounting used and approved by all audit cos and SC, you less the cost of sales from the the revenue to arrive at the gross profits from which you then less admin costs and financing costs in order to arrive at the profit before mi,tax etc. So one might have a loss after deducting all costs. It might be 150% of revenue. That's why I say these cos will continue to incur losses. BTW, RM 10m sales campaign is chicken feed. KHS might as well close shop when their overheads are very high. Thks.