junior's toks

Made in Malaysia

Tenaga Nasional Bhd has announced a 23.4% drop in net profit to RM813.7 million for financial year (FY) ended Aug 31, 2004 from RM1.06 billion a year ago mainly due to the RM571.8 million in foreign exchange losses.The forex losses were a result of repayment of Tenaga’s debts in foreign currencies, especially yen and sterling which have strengthened in recent months. As at end-February, Tenaga had RM31.20 billion of borrowings comprising 10% in yen, 34% in US dollars, 49% in ringgit, and the rest in other currencies.....
Sadly to the Bursa Saham KL, Tenaga is one of the 3 most important blue chips. If I were Bursa Saham KL, I will cry because it is really ‘sui’ (in Cantonese, not Hokkien) to have this company to be my anchor.

If you want me to rank the best managed company in Malaysia, I will rank Tenaga 174,837,283th in Malaysia. It is just slightly better than the Kedai Mamak Puchong who hires 15 people a night for RM 45.10 business.

That is how bad the Tenaga management is.

If you look at the broker reports of foreign brokers, almost all of them have been calling ‘under-weight’ on Tenaga for a long time. I am not alone.

I really don’t understand why Tenaga takes on so many different currency loans? What do they think they are? George Soros? Are they currency traders or electricity company?

Why do they take on Yen debt and Pound debts? WHERE the HELL is the natural hedge??? You obviously have a mismatch because you do not have any income in these currencies!!! EVEN MY CAT knows this.

I am thinking of sending my cat’s CV (her name is mao-mi, btw) to work in the treasury department of Tenaga. I am sure Mao-mi can do a better job than the entire department …..combined….

I am serious….

Junior

posted by Junior @ 11:31 AM