This post is special. Is a sharing of Q&A with Brenda, Senior Manager, Investor Relations, AGT. Is rather informal so do not put a magnifying glass into it. I am honored to have an opportunity to chat with Brenda to know the Trust better. Do note this is not an invitation to invest/sell/hold.Q&A
1. Share about Continue Impairment loss from last Q report
Generally the impact is cashless and more on accounting purposes on P/L.
2. How do you view AGT in 3-5 years periods.
Viewing from coming Olympics context. AGT is more of Middle Class category of golf courses targeting leisure segment. So it won't be in the selection for it. Most of the golfers are locals. The focus is more on how to optimize weekday plays. There is also focus on schools and women to come to the courses.
3. How do we mitigate weather and natural disaster
There is limited thing we could do for weather. However, weather conditions are only short-term. It could be a bad weather year for 2016 while AGT has a warmer weather in 2015 (warmer weather is better for golf). One way is to have driving range. Insurance for natural disaster is financially not viable. The loss is more on revenue due to golf closure rather than any damage to the courses. For example, we closed at maximum 1 week for one of our golf course during the 2016 Kyushu earthquake.
4. Is there plan for expansion
There is loan coming up in august and will be the focus. There is still room for loan(current Loan-to-value is below 29%) and will be the preference, and rights issue is unlikely given the current Unit Price as and when there is expansion after.
5. Dividend distribution expectation
AGT hopes to continue its 100% distribution of Distributable Income Available. Currently, the mandate is to distribute 90% of its Distributable Income.
Cory
20170707
Point 5 , she seems to contradict.continue and current.
ReplyDeleteSo 90% or 100%
As I understand 90% is formal minimum. Their target will be 100%.
Delete