Dear Golden, You seem to have a good handle on this company and its strategy. Certainly better grasp than nztx who is stuck in the past with all his obvious grudges.
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Nice to see a few with a hardened appetite for the Muddy Boots empire
and a few flash in the pans dividend aspects .. last few H2 & FY reports carry
enough warnings on what lurks within, in places .. ;)
What sort of grip on anything they have could be curiously interesting .. ;)
IMO far better fish to fry elsewhere with better flying qualities, without getting stuck in the muck .. ;)
Eric The Great (Or Wat-Now) sends his thanks all of the very few ALF supporters who bothered sending their best wishes
on news of the S.E.C announcing that it was chasing his butt in connection with alleged naughty trading in US Markets .
Unfortunately Eric will be unavailable for a further while to help in ALF's up-marketing program, due to some incoming
LIQUIDATOR LOVE on the horizon from the Liquidation clean up team at Cullen Investments
https://www.nzherald.co.nz/business/...ng-allegations
Incoming $57m lawsuit: More legal action for Eric Watson after SEC's insider trading allegations
[Under NZH's Premium Edition Curtain]
Eric WAT-NOW sends his best wishes to all his loyal ALF Fans - more Donations to help fend off the Liquidator's delving mits
would be gratefully appreciated ;)
It must be gratifying to know that you've so popular that authorities & agencies globally are now swarming to try to take pot shots
at your butt, even after admissions of being destitute and only surviving on meagre pocket money from an elderly family member .. ;)
Do they not understand ? ;)
Soon we will find out what is the profit like this year
https://www.nzx.com/announcements/376562
Quote:
New Zealand Rural Land Management Partnership Earnings Contribution Update
Allied Farmers Limited (“Allied Farmers” NZX: ALF) is pleased to note the announcement today from New Zealand Rural Land Company Limited (NZL.NZX) that, subject to audit completion, a performance fee of $1.183 million has been calculated as payable to its manager, New Zealand Rural Land Management Limited Partnership (NZRLM) for the period ending 30 June 2021.
In accordance with the management agreement the performance fee is to be satisfied in NZL shares at the 30 June 2021 - Net Asset Value (NAV) of $1.3351 per share.
Allied Farmers confirms that, that the attributable earnings (including the performance fee) from NZRLM for FY21 will be approximately $1.1 million.
The above figures are all subject to any final audit adjustments.
Okay so a bit of fancy footwork & reward for a bit of 'you pay me a fee to buy some farm blocks for you' and we'll call it fees
revenue around the camp .. (please watch where you're walking to try to miss all the cowpats in the paddock) .. ;)
Hope the REA's got their large commissions on the sales & buys - did ALF provide that service as well .. or not ? ;)
No Ca$h out of this one for ALF - Boys & Girls - as it's all been reinvested back into the Muddy Boots Management Co ..
for an increased exposure to managing large dairy plots .. ;)
Should make ALF's FY 2021 look a bit prettier, (on paper at least) even though there still wont be cash out of it for this then either .. ;)
Guess everyone can go back to sleep again as ALF only spit out a Cash Dividend once a year in January .. ;)
Paddy has raised a few relevant questions with your posting and understanding of things:
Sell shares in the Management Company ? ;)
Who paid what for their interest in this again ? ;)
NZL isn't a sister company to ALF , as most would imagine (maybe a only small ALF holding)
but more a captive listed entity subject to the Muddy Boots Management Co fees regime .. ;)
Selling a few shares in anything may not mean dividend or entitlement to one .. ;)
What is ALF's overall exposure to NZL Management now & total ingoing investment into the NZL overall Camp ?
What is the likely return on this 'major ALF investment' after eliminating one-off flash in the pan items ? ;)
Alf is progressing well happy with the acqusition so far. With both dividends from nzl and nzlm. What else acqusition you can make almost 50% investment returns, 3 years 2.5m back in full I think
I'm lost - where's the 50% coming from ? ;)
Since when did ALF manage to get 50% of the NZL shares on issue ? ;)
The job looks like it was intended to run more than 3 years
A few acquisition performance fees (abeit non cash book entries) and the stated Management fee to
ALF half owned Muddy Boot Management Company certainly don't look like 50% even over 5 years .. ;)
You could try adding NZL revaluation gains but that wont go far on ALF's few shares held in NZL, but
the buck probably stops at ALF because they won't be distributed & any revaluation gain will be spread
in NTA increase across an inflated ALF issued capital base which has probably at least doubled or more
in past 12 months .. unless really lucky, the 2021 cash dividend may be subject to be chopped in
half for all the extra shares on issue .. ;)
Some may have already thought through the ins & outs around the enlarged camp with the Muddy Boots
Estate as a 1/2 the fee contributing satellite to reach a guestimate of what is likely outcome ahead .. ;)
Can you share the secret of what is smoked or the miraculous medication that produces images
of untold Investment Return flowing forth from ALF and mere half interest of NZLM farm management outfit ? ;)
Don't worry the secret wont spread far .. thoughts of Eric the Great has probably scared off all earlier ALF holders
long before now .. so not many read the thread .. ;)
I can't shed any light on the 50%, but the benefits to ALF are obvious. This is a small company, now valued at about 15 million. They now have a repeatable, growing annual stream of a million or so, on top of their other ongoing operations which have tended to produce about a million in annual profit. They continue to try to grow these steams and expand into other areas.
We're unlikely to be looking at a ten bagger, but the company is likely to make very tidy profits over the next few years and the NZRLC management fees are a very useful contribution to that. Perhaps shares will be a dollar in a year or two all being well.
Not sure what else you are trying to insinuate, you will have to be more explicit about your concerns.
590k performance fees in shares that will produce ongoing dividends to Alf or Alf can sell those shares into cash that is obvious total income from nzrlm 1.1m. Over time the nzl will just raising more money to buy more land ‘it is a growing benefit trend to Alf . Alf issuing shares for the acqusition not cash. 1.1m out of 2.5m for the first year that is a mega 44% returns what more we expects ? And it is growing .it adds fuels to our tank for further acqusition in the future
but look - those performance fees on NZL Farm acquisitions are just one-off Fee jobs, aren't they ? ;)
Sure more farms may be bought for/by NZL next year, presumable a similar Buying fee applies
to just the new ones as well.
what's the management fee rate on the value or lease, what-have-you without the one off Acquisition fee jobs ?
the large performance fees on acquisitions are one off's for any increased acquisitions in the year
and wont recur on the same plots of dirt in relation to NZLM managing the buying of them for NZL..
Now halve the Net Management surplus - because ALF holds just 1/2 of the Management outfit - and that's
all that is attributable to ALF - more or less according to normalised run of the mill M'fees, excluding
non repeating one-off jobs. (but probably less if they decide to buy NZL shares - which will only gain in value
if NZL sees gains on farmland - that's increases in value,
ALF buying NZL shares out of revenues means less of the 1/2 cash coming across for distribution to ALF holders
(You'll see it - in book entries, but the cash has already gone, been applied into shares, so not there any more)
Now with ALF - take the half of the Management fee net surplus (ALF own half OF NZLM currently)
add any surplus etc from ALF's continuing operations . bear in mind ALF have pointed to
drought and poor Weaner trading in past, I seem to remember - so possibly less than in past - but who knows
Let's look at ALF - it's Issued Capital has more than doubled in the past year
So any ALF surplus is then divided by roughly twice as many shares = 1/2 of what was EPS per share before
because it is split across double the number of shares
Bear in mind that ALF don't own NZL wholely 100% or 50% even - but may only have parcels of shares in it, so any
NTA gain will only be indirect only in relation to that shareholding in NZL directly held by ALF, as a revaluation movement
on the NZL equities they actually hold etc.
I still dont see how you get to vast amounts of Surplus out of NZL being created for ALF, which you are parroting on about .. ;)
Where is it coming from ? ;)
Oh Management fees converted into extra Shares in Muddy Boots Management Co. ... must equal NO Cash changed hands ;)
Some of us aren't befuddled by magic ring-a-ring-a-rosy book entries & revaluation movements ..
Revaluations can go up & disappear as quickly .. just like the ALF SP
Try paying out no cash received as a dividend ;)
Very funny NZtx. Profit is profit. Either in share or cash Don’t know what is your intention or matter
What happens if an adverse event affects Farming (for eg - outwards Supply chain problems worse than now for exports)
Farm valuations downturn, ability of the Cockie Leasees to meet their obligations to the Muddy Boots empire ?
The downwards spiral including valuations is likely to go round a full circle NZL through to ALF
Dont think it couldn't happen, because it can..
Look no further than ATM's recent 2 years of Export Markets issues
Anything in primary sector is this country is & can be susceptible to climate, weather, diseases, market & other factors
ALF investors should be well aware of this with past warnings of Drought conditions & other Livestock sectors in their trading
portfolio.
Exposure to further primary sectors / structures may well represent increased risk to Farming stacked on those previously within ALF
In adverse times the stack of cards sometimes may be teetering in risk of collapse according to worst of prevailing conditions out there when they occur .. ;)
These occurences can take in places 5, 10 or longer years to see tangible recovery from..
In face of NZL adverse results, added to by inhouse ALF risks becoming reality, any dividend from ALF would be first at risk
Dont underestimate the exposure of companies to certain sectors
Droughts in the early 1980's affected a wide range of Farming activities, and could well happen again.
The climate we are lead to believe is changing - wetter areas suitable for certain activities can change to the opposite
and vice versa. NZL as a long term land holder would be exposed to possibility of adverse conditions appearing
and with it NZLM & ALF also .. ;)
It's nothing new for ALF to be exposed to risks in the primary sector. The NZRLC management fees gives them a useful, comparably reliable, income and diversifies the company.
All companies have risks, this is why we have portfolios.
What companies doesn’t have risk factor ? I can’t imagine
The way I see Alf is working on to diversifying income. It is on its way to recovery
Nothing like doubling up on more risk in the same sector .. fine if it pans out, but then many primary sectors
are cyclical .. ones with knowledge through the 1980's - 1990's will know this .. :)
Dairy is increasingly seeing more large scale entrants into the game in China, South America & elsewhere
- all capable of cheaper base production
NZ has the disadvantage of being further from markets, and possibly affects of global shipping routes
congestion / higher shipping costs / shortages of empty boxes etc, etc
that's before climate / weather / other sector risks come into play or the merry band of Politicians
really get interested in having a fiddle at destocking, as our Green mates have hinted at enjoying :)
Dairy has had a good run - it wasn't always that way & the dial could turn back the other way
like many other sectors have experienced. A2 Milk demonstrates market issues nicely of late.
Of course these things go right back up the supply chain to producer to bods owning the leased out farms etc
when they occur dependent on severity - ultimately affecting or influencing market values for dairy acreage
but don't let me discourage anyone that a flutter at ALF & it's wider NZL turf empire doesn't look like an undiscovered
gold mine with a treasure trove hidden within .. ;)
A bit of a shame that most of the easy gold may have already been harvested from the muddy boots empire
long before it hit the market in a loud fanfare & rapid card building exercise .. ;)
https://www.nzx.com/announcements/378136
Fantastic result at first glance, 63% increase in EPS despite the rights issue. Only includes 6 months of NZRLM, although the results from it are probably juiced a little from the initial flurry of farm purchases.
Currently trading on a PE of 8.5.
Very good progress with cashflow from operating activities over 4million dollar no need raise additional funding for growth
I was so impressed with the result and outlook I brought some ALF shares.
Good on you Percy the engine just started
Remember - twice as many shares on issue over last year to spread dividend across
that's likely to be based on cash earnings too - after removing income creation by book entry,
shares in a circle & one off job effects ..
Report does specify update 'if ANY Dividend or Capital Return" ;)
Will the Div Yield still stack up better or slide to worse than NPH currently records ? ;)
The smart money onboard now may even decide that no-one will get any dividend at all
given the one off NZLM one off revenue items present :)
vRevenue and other income A1 21,661 20,061
Cost of sales and operating expenses A1 (18,594) (18,425)
Depreciation and amortisation A1 (827) (784)
Net interest income B7 241 247
Profit before tax 2,481 1,099
Income tax (expense) / benefit A2 95 119
Profit after tax 2,576 1,218
Total comprehensive income 2,576 1,218
Profit attributable to:
Shareholders of Allied Farmers Limited ('Allied') 2,021 767
Minority shareholders of NZ Farmers Livestock Limited ('NZFL') 555 451
Basic Earnings per share (cents) 7.02 4.30
Note last line eps increase from 4.30 to 7.02.
Earnings growing much faster than number of shares, and potential for more shares being issued has now faded away as they are kicking out enough cash to fund their own growth.
I expect a small dividend and happy for them to keep the rest to fund further growth. They've previously given out equivalent of a cent or two, 2c would be a payout ratio of 28% of earnings and give us a 3% yield.
"We are pleased with the growth of our livestock lending business, with the loan book expanding by an
additional $1.6 million to $5.2 million, largely made possible following the successful capital raise in late
2020. In addition, this business concluded a successful first year introduction of a new seasonal store lamb
financing facility (Lamb Plan) which we expect to grow over coming seasons."
That growth was 44.44%.I expect further growth.While they are achieving that sort of growth I do not mind if they do not pay a dive in January.
It would be interesting to know if there were any significant one off expenses relating to the Rural Property investment eg Legal, and how they have been treated in these accounts. Regardless , its an impressive result even though not impressive enough to stop NZTX taking a dour view...as anticipated.
Shares on Issue Growth was 50% - wasn't it ? ;)
What's the bet the Cash Divie will be 1.0 cps with imputation credits for next January ? ;)
Remember ALF's resident goose only lays a small golden egg - and just once a year ;)
No dividend from the Muddy Boots Management Outfit either for 2021, but plenty of Revaluation Hike Up's
on the turf recently added to the stable .. Good luck with eating the revaluation gains .. you're just stuck
firmly in place for the longer term up & down ride .. ;)
Dividends is good but growth even better
No, shares issued increased by about 60%. Luckily, profits attributed to those shareholders increased by about 160% ($0.77 million to $2 million). That means my profit per share is up about 60%, and I got some cheap rights issue shares along the way.
Remember these accounts only reflect 1/2 a year of the new NZRMC income, but 100% of the share dilution. No dividend from NZRLC just yet, but they will be paying out in 2022 - another steady income stream adding to the diversification.
Onwards and upwards. If I was after huge dividend yields I wouldn't be here - happy to sit back and let the company grow. Looking back over the last few years the trend is pretty clear - 2020 wasn't great but is very much an outlier due to M Bovis, Covid and drought.
Surely you can't mean the share price - you'd be hard pressed to say it's gone anywhere fast. If you mean profits, the main reason for the huge jump this year is 2020 was a bad year. 2021 puts us back on the longer term trend of growing profits at ~15%.
Edit: I'll mention again the PE is still below 9...you're not looking at a high flying, overvalued company here. Solid, cheap, steady growth is the name of the game, with enough of a yield to keep you interested.
61.3% - just seeing if anyone is awake ;)
Drought, ALF's own livestock trading etc etc havent been wonderful for some time, as they admitted
The whole basket is still very rural / farming linked -- see a downturn in that - I'd say run a mile :)
But there have been all those wonderful one off Land buying rewards to offset the part year
Huge revaluations up for short period too -- Muddy Boots Management Co should be creaming it & stumping up
some sort of reward for those who got hooked on the Cap Raise rather than all sharing a smaller ALF pot :)
Currently not an ALF or NZL holder, have been - currently far better fish to fry elsewhere ;)
Have seen what the worst of the times can do to outfits in the rural game in the past .. not pretty !
Need to see proof that the stack of cards is resilient enough to weather the elements, downturns & times
better than other more seasoned offerings are capable of doing .. ;)
Granted .. SFF would be the obvious more likeable target
ALF in it's own operations only clip the ticket on headage through / and any financing margins if they have interest in
herd funding. That aside from their Weaner ? trading ..
The overall stable however has peculiar resemblence to rural trading & property ownership
The latter with general propensity to seeing revaluation gains taken through revenue in many instances
hints to low tax paid / unimputed dividends and perhaps not the most generous dividends ;)
Let's hope ALF see to it that they ensure there are reasonable returns in the bowl for stakeholders
and dont lean towards the meaner property company vision .. ;)
All follow the fortunes of Rural Trading & fortunes can easily evaporate, as those landed with ALF
script many years ago would have learned from their fateful tangle with Hangover Finance
and being dumped into ALF's lap with bundles of low value 6c ALF dreadfuls received in return ;)
$15 m in NZL Farm gains booked for such a short term ?? ;)
Were the Vendors blind, or were a couple of producing Gold mines discovered after purchase ?
How much of that flows through in cold hard Ca$h to ALF
How much left in the captive entities floating on the wild seas of Rural & Farm Ownership future fortunes ?
PGW Chairman, Rodger Finlay said that “it was pleasing to be able to report that PGW has continued
to perform strongly over the second half of the year following an exceptionally good first half. The Board
is delighted with how the business is performing and is confident that PGW is well placed to be able to
sustain such performance based upon the sound market fundamentals for New Zealand growers and
primary producers.”
We know Silver Fern Farms are trading very well.
The sector ALF trade in is doing very well.
ALF is trading very well.
Making the most of the growth that is available to them.
Yes Agreed - at the moment
But it can change progressively from good to bad to worse on a seasonal basis.
Say for example - Drought - we know weather patterns are changing
There are cycles as well - Unfavourable changes can make sectors, industries
or regions vulnerable, as can diseases, market changes, difficulties in or
accessing markets, or lower cost economies coming onstream
but then many companies face similar risks
Some have reduced the risk or diversified
Others have increased their exposures & vulnerabilities (ALF fits in this category)
Anyone remember what happened to livestock & farming land values
in the 1980/81 drought ? .. that illustrates a certain set of risks ;)
Some may remember the times of Government Livestock Subsidies paid out, SMP's &
NZMPB aka "The Meat Board' - particularly if they had involvement with the Meat Industry
NZtx you are talking all the doubts or big if that if that We are based on current performance of Alf . The way you see things all the if go bad or worst. Than you should not in share market. Even you drive could have accidents any time so you not driving ?
I have bought in Alf when it was about 5c. I enjoy my holding to date. Not sure what risk you talking about. You must be taking a big hair cut to hate Alf so much
I am a full time investor and I have been financial free when I was 31.by investing If I am blind investor not sure about you
Over 40 years seeing every float of anything that could remotely be called an enterprise thrown together, in many cases
schemes destined to fail or just the current 'in fad' - be sure I've seen, dissected & done a post mortem on most of them .. ;)
ALF owes me nothing, I don't hate ALF, but I see a range of risks - if you don't see them that's fine with me & probably everyone
else on here, I'm sure .. ;)
Rural Equities another in this sector doing well.
REL’s operating earnings before interest and tax was $6.402 million compared to $4.985 million recorded last year.
If ALF were doing half as well as some believe, then some may be wondering why they haven't out come
with an interim dividend presto or moved away from just the once a year small payout .. ;)
Let's face it - a quarterly dividend like TRA & other property companies may instill a bit more faith in things :)
Or closer to non existent (outflow)with NZLM surpluses getting soaked up into new NZL Shares before landing
& the Livestock division etc sucking up more of what's left on the loose ;)
Must be doing well - huh ? .. hopefully no drought hits some loot coming back in .. ;)
Not sure if you had a chance to look at the results. Operating cash flow was 4.5 million and closing cash was 2.5 million higher than a year before, after raising 2.7 million and spending it on debt reduction and NZRLM. They also put another 1.5 million into livestock lending and paid out a dividend.
the excuse with ALF in past for a very late TBA dividend has been the bucks have been tossed into the Stock lending
NZLM should mean an end those excuses, with what should be more cash flow available unless they choose to
continue coming up with delaying excuses or not take the cash at all from NZLM ;)
Stock lending is showing soiid growth for both PGW and ALF.
I would prefer no divie, so as ALF can increase their stock lending book.
Rabobank Agribusiness Monthly: NZ Price Records Sprung ahead of Spring.
That headline says it all.lol.
Seasonal, Market or other factors can & do change in less than a single season, more so than cyclical influences ;)
http://nzx-prod-s7fsd7f98s.s3-websit...880/354395.pdf
From the annual report.
Shares on issue..28,807,000 [page 34] at current share price of 64 cents gives a market capitalisation of $18,436,480.,which means ALF is still a small company.
Net profit after tax was $2,021,000 [page 6] meaning current PE ratio is 9.12
Growth in Livestock lending,currently $5.2 mil is projected to hit $10 mil within the next 2 to 3 years.[page 12].
Statement of cash flow from operating activities was an extremely healthy $4,501,000 [page 29].
ALF is is sound financial shape with excellent growth opportunities.,and I would expect they will not pay a dividend,but use the funds for growth..
High milk prices may deter farmers hanging onto boby calfs,which will work to ALF's advantage.
Something happened big behind the door the chairman and director gone and now the biggest shareholder bought out elevation capital has different direction fir the business
Yes very interesting in deep plus the us millionaire property developer bought in 25% of the management company which will soon swap to Alf shares
NZtx is living in muddy world nothing constructive you tell me then what ?
ALF agm is on 24th November.
I expect The Chairman's address will be of interest.Perhaps clarity on future plans that were mentioned in the annual report.
I am keen for available funds /capital to be used to expand their very profitable livestock finance lending,even if it means forgoing a dividend..
Let’s see what will happen next month as our share price starting to setting a solid foundation
Nztx wouldn't you be happy to see it get taken over ? then goodbye I would love to know what really irks you about this company historically was a **** show or something current ?
I think he must be burned hard by handover before
Elevation won’t take it over I think they might take control to have a new plan to play with as the management company will be fully under Alf soon
You only need to read back a few pages & on NZL on how a successful NZL Cap Raise went ;)
No exposure to this duo, No loss - as it appears to not be going anywhere fast ;)
Perhaps a take out may save a few souls some pennies & grief on hopes of invisible value added being distributed ..
I am very happy and enjoy my investment here in Alf as I can see every improvement to date I can’t believe someone with no interests in Alf and consistently attacking Alf and rural land. As I can see on both forum. Unless you are hurting burned
https://www.nzx.com/announcements/381498
Another big acquisition,from which.ALF will clip the ticket.
Bit surprised the positive outlook from PGW has not rubbed off on ALF.
Alf is in break out face. Soon Would be a dollar
PGW is currently trading on a PE of 14.32.
Should ALF be rated at the same PE ratio. its share price would be $1.53.
Medium term achievable
Just don’t be jealous You are not a holder why you care when
It is big things happening behind door
Could be 80c tommorow
Is this the highest volume we traded for last a few years
must be a reason why Sellers are selling - surely ? ;)
May see some SPH notices in days coming, depending on who is selling down ;)
I guessed the last chairman sold down all the American rich lister bought in
I should said the last last chairman
https://www.nzx.com/announcements/381759
Pleasing seeing ALF attracting a person of Mark Franklin's high calibre.
He is elevation capital boss”s friend. So the whole board gone. New board coming in with elevation has taking full control. Something is cooking
Rod Campbell could be next to join looks like
Happy day it is in a break out again. Will see 85c this week crack one dollar agm day
Final one & only 2021 Div 1.5 cps on optimistic side ? - looks like a wonderful Div yield :)
Even the lowest of Port Companies seem to manage better :)
It's real difficult to trying see any pigs I could sacrifice for small bundle of ALF :)
ALF probably needs a few more dedicated followers like a few here on board :)