Mercator Lines   

Mercator Lines

hi pharoah88

i really like your posting! you are alway very informative..tks!

 

TransPacific Shipping iS STiLL nOt recOvering.

 

Its alrite, me actuali stil learning abt wave formations bt dun haf a clear idea on how it works cz so many ending results..

My opnion: Lookg at e chart, i c a veri big bearish descending triangle in an uptrend. -tt's my worry.

chartist2009      ( Date: 03-Mar-2010 11:36) Posted: hi renzokun, sorry that i can't provide chart for u, coz inside have so many important and confidential notes. FYI, my elliot wave 3 is extension, correction terminate near end of wave 4, correction is triangle pattern and wave 3 break down a-c line.. how about ur wave? renzokun      ( Date: 03-Mar-2010 09:28) Posted: Hi chartist2009, u do caculate elliot wave ? appreciated if u cn show me.

 

hi renzokun,

sorry that i can't provide chart for u, coz inside have so many important and confidential notes. FYI, my elliot wave 3 is extension, correction terminate near end of wave 4, correction is triangle pattern and wave 3 break down a-c line.. how about ur wave?

renzokun      ( Date: 03-Mar-2010 09:28) Posted: Hi chartist2009, u do caculate elliot wave ? appreciated if u cn show me. chartist2009      ( Date: 03-Mar-2010 08:13) Posted: hi renzokun, you also count the elliot wave completed e wave? same as me here.

 

Hi chartist2009, u do caculate elliot wave ? appreciated if u cn show me.

chartist2009      ( Date: 03-Mar-2010 08:13) Posted: hi renzokun, you also count the elliot wave completed e wave? same as me here. renzokun      ( Date: 02-Mar-2010 22:22) Posted:  price seem improve abit, following e tide, mayb.. Wander if freight rates will recover for e next couple of months?

 

hi renzokun,

you also count the elliot wave completed e wave? same as me here.

renzokun      ( Date: 02-Mar-2010 22:22) Posted:  price seem improve abit, following e tide, mayb.. Wander if freight rates will recover for e next couple of months?

 

 price seem improve abit, following e tide, mayb..

Wander if freight rates will recover for e next couple of months?

 

 

( - -) . .( - -)  ( - -)( - -) .( - -) . . .( - -) . . ( - -)  0.265  

tradersgx      ( Date: 02-Feb-2010 22:26) Posted:  ( - -) . .  ( - -) . . . . . .   0.275   Mercator FINANCIAL STATEMENTS FOR THE 3RD QUARTER / NINE MONTHS ENDED DECEMBER 31, 2009 Net Income    3QFY2009 $7.5mln   vs   FY2008 $17.6mln    -57% 02 Feb'10 BALTIC DRY INDEX ( BDI ):   2745 http://www.bloomberg.com/apps/cbuilder?ticker1=BDIY%3AIND

 

Personally, I feel that Mercator's Management understands that there is nothing they can do to boost their profits besides cutting down on their interest and voyage expense. They have realized that the BDI will remain at very low rates till late 2011 when demand returns if the economy recovers. As such, their strategy for 2009-2011 had shifted towards maintaining profitability by servicing their core contracts - Vale, Cosco and Tata Power. These 3 contracts will ensure that it remains profitable till 2012. In the meanwhile, the rest of the vessels will be locked up in spot charters or TCE to cover their depreciation and voyage expenses. This is evident in their latest COA for Chanchal Prem whose TCE would barely cover its chartered-in and expense rates. Essentially Mercator is hoping that its fleet remains fully utilized though only half of them will be bringing in profits. It is a sound and sensible strategy.

 

The Management secured a 11-13 month time charter for its post-panamax at merely US$26.5K/day. This will cover its chartered-in cost hence allowing the vessel to operate at break-even cost for the rest of the year. It shows that the Management isn't bullish about any recovery on spot prices for the next 15 months. 

 

aiyo become red again. :(

queueing at 0.26 - 0.265 to load more. looking at the depressed selling today seems likely possible.

Planning to hold if it does not recover in short term, is it dangerous? neve set cut loss for this one?

 

 ( - -) . .  ( - -) . . . . . .   0.275  


Mercator

FINANCIAL STATEMENTS FOR THE 3RD QUARTER / NINE MONTHS ENDED DECEMBER 31, 2009

Net Income    3QFY2009 $7.5mln   vs   FY2008 $17.6mln    -57%

02 Feb'10
BALTIC DRY INDEX ( BDI ):   2745

http://www.bloomberg.com/apps/cbuilder?ticker1=BDIY%3AIND

 

On 25 Jan still $0.30. OMG! Drop till $0.275 now.

Possible to go down to $0.25 :(

 

so park yr $ somewhere 1st.

 

Investors will come running in at the first sign of recovery. I wonder whether they will give any dividends this year hmm

sureesh40      ( Date: 24-Jan-2010 10:06) Posted: So we will have to wait for a full shipping recovery before we will see improvements in mercator's profitability. But I fear by that time investors would have lost interest in mercator.

 

So we will have to wait for a full shipping recovery before we will see improvements in mercator's profitability. But I fear by that time investors would have lost interest in mercator.

 

Hi All,

The results were disappointing IMO. Its net profits were a lot lower than its past 2 quarters of US$10.2 million. This can be attributed to the delivery of its second post-panamax whose current spot rate is unable to cover its chartered-in rates and the expiration of its highly lucrative Northern China Shipping contract in Nov 09. Secondly, there is little signs of a sustainable recovery in freight rates and the BDI any time soon. 

But as earlier mentioned, this counter will not prosper till the economy recovers. It's poor results is in no fault of the company. The very fact it remains profitable is due to the Management's foresight in acquiring COAs prior the crisis.

As long as the BDI remains above 2500, its profitable contracts with Vale, Tata Power and Cosco (the latter two contracts expire in mid 2012), will ensure its profitability till the economy recovers. I cannot be bullish about the company's prospect within the next 6 months - expiration of Mittal's contract and delivery of 3rd post-panamax vessel.

But this counter will be a lot stronger after the crisis since it remains profitable throughout it unlike Courage Marine.

I think the price might fall to 28 cents due to Dow and STI weakness. Fair value remains at 35 cents. Once BDI hits 5000, we will start to see its earnings fly.

 

Me too would like to listen to some opinion from you gm89 too. :)

Personally, i think it is for ppl to lose confidence from the counter to sell off for this news. company looks good in the mid-long run.

I went into more positions for this counter on friday. Think its gonna pay off during march - april.

sureesh40      ( Date: 23-Jan-2010 16:41) Posted: grandmaster89 what do you make of the financial results. Is it above or below maket expectations and going forward how would the share price peform.

 

grandmaster89 what do you make of the financial results. Is it above or below maket expectations and going forward how would the share price peform.

 

Mercator

FINANCIAL STATEMENTS FOR THE 3RD QUARTER / NINE MONTHS ENDED DECEMBER 31, 2009

Net Income    3QFY2009 $7.5mln   vs   FY2008 $17.6mln    -57%

http://info.sgx.com/webcoranncatth.nsf/VwAttachments/Att_84B98D443BAB1488482576B1004ADAC5/$file/MercatorFS31122009.PDF?openelement

The drop in revenue and net profit is mainly due to a decline in average spot market rates compared with
the previous year and renewal of fresh contracts at rates lower than the previous rates.