Dekel Agri-vision Share Discussion Threads

[rivaldo] 10/8/2023 07:25

Terrific CPO results for July in terms of sales, and pricing remains very strong in historic terms.

Plus it's great to see July production so far ahead of last year too.

The outlook says it all:

"Lincoln Moore, Dekel 's Executive Director , said: "The Palm Oil Operation continues to perform very well with production and sales volumes significantly ahead of 2022. With prices continuing to be historically strong, albeit lower than the super peak 2022 prices, we remain on track to deliver excellent financial outcomes from the Palm Oil Operation in 2023."

[royalalbert] 07/8/2023 09:06

Everything has risk, at present DKL in my view is cheap.

[royalalbert] 07/8/2023 08:38

Pug we have "suspect political risks growing" in this country, LoL.

Ivory coast not bad at all, but there are risks in all shares, it's the nature of AIM.

[royalalbert] 07/8/2023 08:34

bought another £3000 worth, to cheap in my eyes, July production figures hopefully this week will show a marked improvement over last year.

Really do think this company will turn the corner this H2.

[here and there] 27/7/2023 16:45

Great to see a little volume. Anyone make the AGM?

[hrvey8888] 27/7/2023 14:30

I feel like the quiet summer is a good time to accumulate before life gets back to normal on sept.

[royalalbert] 27/7/2023 14:04

Nice to see the buys, long may it last.

[dunns_river_falls] 27/7/2023 12:42

A few more buys and this could fly. I had to buy in 50k or lower chunks but finally got enough for now. Hopefully some fair winds behind the share price for the next few months and 5p will be the norm again.

[pugugly] 27/7/2023 10:56

RA:> "you have to be in it to win it" However feeling cynical today = make sure you do not catch a STD!!!!!!!!!

[royalalbert] 27/7/2023 10:48

"Rather the opposite" that's an understatement for their past record. However the future looks decidedly different, as the saying goes "you have to be in it to win it"

[hrvey8888] 27/7/2023 10:43

Appreciate that. It would be super healthy if they could surprise the market on the upside. Their history has been rather the opposite.

[ptolemy] 27/7/2023 10:41

Took some time but I'm reminded of this from the 2017 statement:

"While the production of cashews is still seasonal, unlike oil palm fruit, the cashew nuts can be stored and processed throughout the year. This enables cashew production to be smoothed out, thereby avoiding the large quarter on quarter fluctuations in output associated with CPO due to the timing of the peak harvesting season. Adding
cashew production to our product mix therefore provides the opportunity to significantly scale up the business, while also diversifying our revenues by exposing us to new market dynamics and pricing"

[royalalbert] 27/7/2023 10:39

H8888, fair points, at present though the future does look brighter and has HaT says 2024 figures could be very good. I'll had that 2023 figures will not be that bad in my view.

[hrvey8888] 27/7/2023 10:34

Good to see some activity on this thread. As Adam Ant said, it's time for this company to "stand and deliver." The setup looks good. Strong prices, improvement in cashew operations, and potential benefits in the medium term from El Niño. But we have to remember that we've been here before. Lots of promising news, but always a problem. For example, higher prices but lower volumes. Problems implementing machinery at the cashew operation. On balance, I am looking to add to my position. It would seem like 5p is a reasonable target. Given the number of shares issued at that price, there may be an overhang there.

[royalalbert] 27/7/2023 10:26

Nice to see you picking up a few HaT, if they did do your figures for next year I would be more than happy.

July figures for CPO will be very good compared to last year, coupled with the amount on stock H2 looks OK.

If the cashew shelling machines have been optimised and it seems as if problems are being ironed out, then I will be looking forward to Q3 results.

All in all now may be a good time for investors with forward thinking to look at us.

[rivaldo] 27/7/2023 08:50

Great to see CPO prices zooming up to $1,035 now (they were $855 at the end of May).

And of course DKL this year have a particularly large amount of stock in hand to take advantage of these prices.

As an aside, earlier this morning the maximum number of shares you could buy online was just 50k, or around £1,500's worth. Looks like there's very little stock around now.

[here and there] 26/7/2023 17:24

I traded DKL v succesfully years ago during the past El Nino. It's a slow trade over 9 months but really works. DKL production doesn't really get affected by El Nino..at least not nearly as much as se asia. Prices will remain strong, demand grows, supply will be curtailed. Couple this with the cashews finally becoming profitable and we could have a €50m revenue, € 10m ebitda year next year. I've been accumulating at these levels for some while.

[tradertrev] 24/7/2023 10:50

El Nino already having an effect in Indonesia - will soon hit CPO output volumes.

[royalalbert] 20/7/2023 08:00

Palm oil prices on the upper (today up 2.7%) good news for us, just the cashews to run correctly and the share price will look after itself.

[rivaldo] 19/7/2023 10:30

Been a bit busy so just catching up here.

H1 CPO sales look like €24m against last year's H1 of €19.7m, so a significant increase. And with so much additional stock in hand this year then H2 should also look good.

Predictable teething troubles setting up cashew production appear to now be resolved. Great to see BRC certification is now in the final stages, which would help to obtain premium pricing.

I note the CPO price has bounced and is now at $960. The H1 CPO numbers should look pretty impressive.

WH Ireland retain their 9.5p price target. They forecast €2.7m PBT this year with 0.4c EPS, i.e around 0.34p and a P/E of 8.4.

The forecast for next year is €5.8m PBT and 0.9c EPS, or 0.78p EPS.

They summarise:

"H1-23 operational update: palm oil production continues strong with high prices

6-month palm oil volumes flagged in this morning’s DKL operational update are substantially ahead YoY overall with Fresh Fruit Bunches (FFB) up 52% for the period to end June and Crude Palm Oil (CPO) posting a 49% increase. The numbers thus reflect a strong and progressive recovery in the current year while the group also succeeded in bringing the new cashew operation into operation. DKL is an increasingly diversified agricultural group focused on West Africa (Côte d’Ivoire), with activities which include its fully operational, sustainably sourced palm oil business coupled with a new and growing cashew processing operation.

From a results point of view, so far this has been a bumper year for palm oil with the high season starting very strongly in Q2 and continuing in the same vein; and both volumes and prices high. However, we note in addition that cashews have been successfully transitioned to a continuous process, with resulting efficiencies to be gleaned, promising an increasingly attractively balanced business overall in the future, together with added positives for H223E. Retaining FY forecasts unchanged on the back of this morning’s encouraging update, we also retain our 9.5p fair value assessment."

[chadders] 12/7/2023 09:36

Speechless

[mfhmfh] 07/7/2023 09:17

El Nino affecting SE Asia having a positive effect on Palm Oil prices.