OCA - Oceania Group - retirement villages

[Cupsy]

superfluous to requirement

[tipsy]

So close but so far. You will get there one day!

[Cupsy]

superfluous to requirement

[tipsy]

You could always enlighten me?

Sorry man, was supposed to be in reply to DayT that it's just like any other developer sale.

Hit the 'reply' instead of the 'reply with quote'

[Cupsy]

superfluous to requirement

[thegreatestben]

Your posts are always good and most welcome here Cupsy.

[Ferg]

I ask my self what is the point they are trying to make here in simple terms?

It's a poorly worded article as a whole but what the analysts are trying to say is that given the ORA effectively does not have to be repaid for 30 years and there is no interest on it during that time, then the discounted value of the ORA today is around 10% of the current book value when you consider the time value of money. The ORA is classified as a debt according to IFRS accounting rules, but the FB analysis says that an ORA is similar to a long dated 'account payable'. In summation, FB are saying IFRS accounting throws up some anomalies for RVs. In addition, FB stated the RV assets are unlikely to be overstated, but the liabilities certainly are overstated.

[Cupsy]

superfluous to requirement

[Cupsy]

superfluous to requirement

[winner69]

It's a poorly worded article as a whole but what the analysts are trying to say is that given the ORA effectively does not have to be repaid for 30 years and there is no interest on it during that time, then the discounted value of the ORA today is around 10% of the current book value when you consider the time value of money. The ORA is classified as a debt according to IFRS accounting rules, but the FB analysis says that an ORA is similar to a long dated 'account payable'. In summation, FB are saying IFRS accounting throws up some anomalies for RVs. In addition, FB stated the RV assets are unlikely to be overstated, but the liabilities certainly are overstated.

Agree Ferg about the ‘poorly worded’ view

I understand the extract posted here is from a much fuller report.

In my opinion that extract is not how FB analysts usually write / comment …..to the extent it just does not seem to be there doing.

A couple of posters have mentioned was it AÍ generated?

So I have asked FB (after outlining what I think) ‘ …do any of your analysts use AÍ to generate all or part of your company reports?’

Be interesting if there is a response

Disc: not a FB client or have I read that full RYM report (just the extract posted here)