CDI - CDL Investments NZ Ltd

[Mos]

MCK asset Mos 👍👍

Great point! Posted to the wrong thread. Own both.

[notmaurice]

Just about to call time on the year and will be waiting keenly for the CDL result.Probably another 3.5c,would like more buti'll take it.

[Mos]

Just about to call time on the year and will be waiting keenly for the CDL result.Probably another 3.5c,would like more buti'll take it.

Yes, 3.5 cents is a solid yield with deep value on offer being another great reason to hold.vWas a slow first half, so will be interesting to see if development sales and profit have picked up in H2.

[notmaurice]

I SEE THEY HAVE JUST DECLINED 5C ON NO NEWS.

[Mos]

Yes, pretty thin trading volumes though.

[BlackPeter]

I SEE THEY HAVE JUST DECLINED 5C ON NO NEWS.

You mean the price went down by 5c from 74c to 72c? I see why NZ is doing that bad in the Pisa tests. Anyway - total volume less than 3000 shares.

Wow!

Here is a suggestion - just buy one share ... cheapest on offer is currently at 79 cents, and you can push the shareprice into todays biggest gainers! How about that?

That's the thing with ultra low liquidity. Any sharesies investor can at will manipulate the shareprice.

Maybe lets save the shouting for situations when it is appropriate to shout.

[Mos]

The land at Worsleys Road,Cashmere Hills owned by Turners' Oxford Finance Ltd has been sold to CDL Land [a CDL company]
for $5.53 mil.
The land is likely to be divided into 60 sections.

RV (8/22) of $7,692,500... on that bare metric (28% under) it looks a good pick up for CDL. 

Some good insights from Lorraina and Hectorplains on CDL Investments purchase on the Turners thread. Looks like excellent buying that is likely to deliver strong development profits in the future. A great time to have around $65 m of cash and no debt on the balance sheet to buy prime development land when it can be secured at great prices. As they say, in the property game, you have to buy right. 

[notmaurice]

plenty of cash and no debt,words i've heard Peter Lynch use to describe companies to get into.

[Mos]

plenty of cash and no debt,words i've heard Peter Lynch use to describe companies to get into.

Yes and land development a very attractive business if done well - and CDI have a solid track record. Wouldn't mind a share price dip back to 70 to top up outsized position.

[notmaurice]

ANOTHER 3.5C DIVY
$313K SHAREHOLDERS FUNDS AND $317K TOAL ASSETS.
i'm  a bit thick on a monday morning so my question is this,are shareholders funds the same as cash on hand.?
Do you combine the funds on hand and total assets to get what this company is worth.

[winner (n)]

ANOTHER 3.5C DIVY
$313K SHAREHOLDERS FUNDS AND $317K TOAL ASSETS.
i'm  a bit thick on a monday morning so my question is this,are shareholders funds the same as cash on hand.?
Do you combine the funds on hand and total assets to get what this company is worth.

I'll leave that for BlackPeter to answer

[BlackPeter]

ANOTHER 3.5C DIVY
$313K SHAREHOLDERS FUNDS AND $317K TOAL ASSETS.
i'm  a bit thick on a monday morning so my question is this,are shareholders funds the same as cash on hand.?
Do you combine the funds on hand and total assets to get what this company is worth.

Without having looked into the notice and taking your numbers at face value - may I suggest you might have ignored some trailing zeroes?

$313 million of assets would sound much more likely for CDI than $313k.

[notmaurice]

Thats what happens on a Monday morning.Thanks for that.

[BlackPeter]

OK - here is the summary directly from their announcement:

Summary of results:

• Profit after tax = $13.5 million (2022: $31.2 million)
• Profit before tax = $18.7 million (2022: $43.3 million)
• Property sales & other income = $31.2 million (2022: $67.3 million)
• Shareholders' funds = $313.7 million (2022: $308.9 million)
• Total assets = $319.2 million (2022: $313.7 million)
• Net tangible asset value (at book value) = 107.9 cents per share (2022: 107.0cps)
• Earnings per share = 4.64 cents per share (2022: 10.82cps)

Not bad for a bad year, I'd say. As usual, their shareholder funds are at book value - and their policy is to use for their books eitehr the purchase value or the recent valuation - whatever is the lower.

As usual - and despite all the dooms day talking in some forums, their landbank is worth significantly more than their book value - and it did rise over the last year.

CDI's property holdings as at 31 December 2023 as independently valued was $412.6 million (2022: $405.4 million). This takes into account new acquisitions made in 2023 as well as the sales recorded. At cost, the portfolio was valued at $260.4 million (2022: $239.5 million) in line with CDI's accounting policies.

Clearly - in bad times it pays to run your books very conservatively ... and their outlook is (given their typical lingo) quite bullish:

Board and Management currently expect CDI's revenues and profits in 2024 to be better than those in 2023. Further updates will be provided as the year progresses. The Board and Management share an optimistic outlook for 2024, particularly if sales from Havelock North commence before the end of the year.

All good - looking forward to another boring year - just income stream rising again ...

[notmaurice]

no debt,plenty of assets, sp going down.Time to grab a few for my grandkids sharesie accounts.