Goldplat Share Discussion Threads

[shill10] 24/2/2020 16:30

yep, been a crazy day everywhere, everyone's heads spinning. Bottom line is these results were for a 6 month period where gold averaged c $1460. The 2nd half average will be significantly higher and we have already discussed how geared GDP is to higher POG. Plus remember Martin Ooi bought big at 5.8p, there is no indication that he has finished, that is the new floor for GDP for me.

[sea7] 24/2/2020 16:23

virus fears, expectations of interest rate cuts due to economic damage caused by virus fears and markets rolling over as bottom lines are hit due to virus fears, will be keeping gold elevated for some time, possibly months.

[silverspoon2009] 24/2/2020 16:11

Once the numbers are digested this will bounce strongly, they are currently printing money at current gold prices.

The gold price has risen nearly $200 an ounce since these numbers.

Agree the market makers have trigged stops, this will return to 8p-9p soon enough.

Fill your boots, if you can get any that is !

[sea7] 24/2/2020 15:37

no change there then - AIM mm's at their finest!

[shill10] 24/2/2020 15:23

utter embarrassment from mkt makers (use the term loosely) today. Had a 6p bid for 200k in all day, got 50k even though it traded down to 5.5p - what a bunch of muppets, shouldn't be allowed, just triggering stops.

[sea7] 24/2/2020 13:05

yep - few panicky sellers here

bet that trader that bought at the open for 8p on 50k shares wasn't too happy.

[shareholder7] 24/2/2020 13:04

Can't buy any

[hazelst] 24/2/2020 13:02

Time to add a few I think.

[sea7] 24/2/2020 13:01

thanks bozzy

[bozzy_s] 24/2/2020 12:59

Thanks Sea7 and others for the explanation. It's been a while since I was in GDP. Looks promising for you guys with gold much higher today than in the reporting period.

[kimboy2] 24/2/2020 12:43

Yes the non controliing share is 26% of the post tax profit.

GDP's share goes to pay the corporate costs etc. However any increase in GPL operating profit will fall disproportinately into the GDP bottom line. If GPL makes an extra £1m in operating profit then about 50% will drop down to the GDP post tax profit.

Another point is that the minorities 26% earned £450k, which would indicate a post tax profit for GPL for the year of about £3.5m.

[dangersimpson2] 24/2/2020 12:29

The other thing to note is that historically GPL has always been the most profitable subsidiary, so the GPL non-controlling interest always appears disproportionally large compared to group prfit, but with Ghana returning to profitability and a plan to get rid of Kili losses this should appear as a much smaller impact proportionally by the time the full actual cash impact of the non-controlling interest dividend starts to be paid.

[glennborthwick] 24/2/2020 12:08

also ghana has a bit of non controlling interests as well;
hxxps://www.proactiveinvestors.com/companies/news/19488/goldplat-to-acquire-mining-rights-in-ghana-23265.html

[sea7] 24/2/2020 12:04

the non controlling interests are the Black economic empowerment partner in south africa, which holds 26% of the south african subsidiary.

They were sold their share of goldplat recovery so that the company complies with BEE legislation and the amount due is recovered by goldplat through the dividend payments to the BEE partner.

The figure quoted in the accounts is the amount of profit applicable to their holding and is derived from the profitability of the south african operation.

as at june 30th 2019 the BEE partner owed Goldplat £950k for its share of the south african subsidiary,after paying £199k from its dividend.

as at Dec 30th 2019 the BEE partner owed Goldplat £786k for its share of the south african subsidiary, which means a further £164k has been paid off in six months, against what they owe.

Once they have paid it off, this asset is extinguished and then goldplat will pay a dividend to the non controlling interest twice a year, instead of paying and taking it straight back, as it is now.

[kimboy2] 24/2/2020 11:31

On the virus ordinary flu kills less than 1 in a 1,000, while corvid 19 kills 1 in 50. How infectious it is remains to be seen, but it would appear to be difficult to control as things stand.

The good thing is that summer tends to help in reducing transmission, and every day it is delayed is a day closer to the vaccine.

I expect that there are some calculations of the effect of all this on world GDP circulating.

[bozzy_s] 24/2/2020 11:31

Noticed results today, and return to profitability.

Quick question if anyone can answer. Post-tax profit shows as £669k, of which owners i.e shareholders 'get' £219k and 'non-controlling interests' get £450k.

What's that about? Does it mean that going forwards shareholders only get a fraction of the company's profits?

[sea7] 24/2/2020 11:20

sea of red on a large number of stock today - ft100 down 3.5%

[russman] 24/2/2020 10:41

Pretty steady results ~ at least no banana skins.

[shill10] 24/2/2020 10:40

Agreed Kim, I’m thinking the same - this should pressure shares further and push up gold- for GDP this is a big positive, bit you will get days like today where punters sell as the whole market declines- perfect time to buy the dips, as usual not much on the offer.

[kimboy2] 24/2/2020 10:14

IMV this virus is serious. It is not as bad as Spanish flu which affected 500m and had a death rate of up to 10% but it is bad enough.

I watched a BBC 4 program on pandemics which had Hannah Fry presenting, who is the Beeb's hot mathematician de jour.

The program was done about 4 years ago and estimated the effect of a pandemic in the UK with very similar rates as the present problem - Death rate 2% and infections of 2 per infected person.

The outcome was 43m people in the UK affected and 800k deaths.

How that will affect the NHS, or global GDP or the gold price I am not sure. At least I am not sure how bad it will get. I am pretty sure this isn't going to be good news till they get a vaccine out, which looks to be sometime next year.

I saw some figures from China the other day which estimated a 2% death rate. Within that if you are over 80, for example, the death rate is 10%.

IMV this is all going to have a substantial effect on people's behaviour while it lasts.

[sea7] 24/2/2020 10:00

yep - too many blindly follow what is said by the "authorities"

[shill10] 24/2/2020 09:38

Exactly Sea- governments do not tell the truth in these circumstances, to do so would cause mass panic

[sea7] 24/2/2020 09:07

they estimate 97% of virus cases show very little symptoms - no more than a cold would - which means it is already far more widespread than they are admitting.