Iqe Share Discussion Threads

[thecrunk] 03/2/2018 15:32

Simon if the JV's are not off book JV's (hidden in secret) then the only way your thesis holds true is if there is plain accounting fraud. Which there has not been.

What nonsese you guys are speaking really desperate and you don't even have the balls you hide behind others with aspersions

[thecrunk] 03/2/2018 15:14

Simon were these joint ventures proprtionatly consolidated or equity accounted for in IQE consolidated financial statements?

Under either method loss of the JV is a loss of the parent its just a question of weather or not its recognised in equity (balance sheet) or Profit and Loss.

Therefore the transfer pricing mechanism the fictitous report you mention is not possible of "hiding losses" because those JV's are either equity accounted for or proportionatley consolidated.

Any charterd accountant knows the report is made up as mechanism of accounting cannot support the conclusions reached.

The losses of Joint Ventures (to the extent IQE owns that joint veture) are brought onto IQE consolidated statement of financial position.

Unless these are off book hidden joint ventures which they are not.

The only scenario where you could conclude there are hidden losses were if these joint ventures where hidden in secret (which they are not) and not equiy accounted or proportionatley consolidated which they are.

Explain to me how the losses of those JV's are "hidden" and off the books of IQE.

What you guys are trying to do is cast aspersions on those with lack of accounting knowledge by drawing conclusions when the accounting rules under IFRS clearly don't support your basis for conclusion.

[simon cawkwell] 03/2/2018 14:56

fft,

The interesting point about related party transactions is that they often bring no commercial value to the quoted entity and, despite this, there is no audit trail to prove this. So the auditors argue that absent a proof they will stick with the management who are in practice the auditors' clients.

However, there is an obligation upon the audit partner in charge to look at the overall position on a rolling review of all the years. That can produce quite a different conclusion.

Simon Cawkwell

[thereptile] 03/2/2018 14:39

14-0 to Wales

[fft] 03/2/2018 14:39

Thecrunk, for someone who supposedly has been involved in financial stuff for many years you are naive.When did they investigate gbo, blink, all the Chinese aim stocks etc etc ? Never. And what was the retribution afterwards ? Zilch. The lse or FCA or FSA doesnt do more than buy a bigger pillow to put their head under.

[thereptile] 03/2/2018 14:39

Yeah. Jog on fatty

[davehulb] 03/2/2018 14:35

Perhaps I am missing something surely the auditors had better access to the accounts - on that basis it is unclear what serious questions S C requires answering. For me the only question is after having not contributed at all to this forum he is so keen to be heard.... jog on

[thecrunk] 03/2/2018 14:26

If the report was factual the FSC would act on it. They have not. For two months. Its not factual QED

[bbonsall] 03/2/2018 14:17

fft
Affecting investor sentiment is the sole purpose of the report. It is about time the authorities jumped on dubious practices. Taking out a short and then publishing a detrimental report smacks of insider trading to me.

[fft] 03/2/2018 14:09

Where are the lies and deception ? The report appears fairly factual.With the JV only buying and selling to IQE, it may lead to accounts for 2012-2016 having to be restated, so it certainly misinformed and misled investors. Jv's and off balance sheet events to overstate revenue and profits were used by Enron etc. And increasing the book value when selling to a JV in order to book a profit. Tut Tut.In this case, the company does have a viable business, which should grow quickly. But credibility of the bod has been bought into question. It will affect investor sentiment.

[thecrunk] 03/2/2018 14:00

Said better by someone else:

[...]

[thecrunk] 03/2/2018 13:48

I have a theory.

The shorters did not get the bad news out of apple they expected. They did not get the IQE share price drop they expected.

Now cakewell and co have panicked and need to resort to lies and deception to drive share price down.

However in so doing they give away their hand in this special case. Purley due to the timming of the report and cakewell appearing on the scene.

Also cakewell notices large bookovers on Friday.

Realises the big pocket shorters are ready to close at these prices and he perhaps did not enter as early as them.

I actually think these Friday tactics give away that the shorters are now panicking as they did not get the stone drop they were expecting and now they are in trouble.

Especially cakwell who trades shorts on Margin.

Desperate acts by desperate men which sometimes work but I think with IQE it will be a miss for them.

[dickiebird2] 03/2/2018 13:46

Spot on Poombear !!

[poombear] 03/2/2018 13:38

He conveniently over looks the partners in both joint ventures, this is no GBO and this is a short term character assassination designed for a final turn of the screw in the shorters positions, I expect they intend closing their shorts during the chaos this final play has been created for. Its a dirty business.

[bbonsall] 03/2/2018 13:32

None of this detracts from the products produced by IQE and the rapidly growing demand for them. The report alleges irregularities over trifling sums of money relative to the £150 million plus revenue this year and much more next year.

[john09] 03/2/2018 13:30

Pig and pork lol.

[horneblower] 03/2/2018 13:24

SC,
Any chance of re-writing your post so that it makes any sense?

[jugu] 03/2/2018 12:59

Freddie, my thoughts also.
There are also other parties involved like WIN, you'd think the've done their due diligence on the venture also.
As to these having no other customers apart from IQE, MBE serving Pacific Rim and Japanese manufacturer is a lie?

Report out to deceive and mug peeps here.
-----------------------------------------------------------------------------------


Compound Se,iconductor Development Centre (CSDC), which will be jointly owned by IQE, WIN, NTU

MBE acquisition will be immediately earnings enhancing and will bring IQE customers in the Pacific Rim region and other growth opportunities in the region. In particular MBE has a strategic supplier agreement with a “substantial” Japanese electronics manufacturer, said IQE

[simon cawkwell] 03/2/2018 12:58

Jerseymike,

You raise an interesting point which is that, surely, the November 2017 fundraise was anything but a prospectus issue.

Even if it had been there was no guarantee that the JV operation with Pig and Pork consequences would have been picked up.

So, whilst you are of course entirely free to support whomever you will, the fact remains that there are very serious questions at IQE falling to be answered right now.

Simon Cawkwell

[bbonsall] 03/2/2018 12:38

Funny, none of this stuff appears in a Google search or on ii message boards

[freddiehoward] 03/2/2018 12:02

My guess is the response from IQE would be something like "Our fully audited results have been submitted on time each year, signed off by recognised and experienced auditors. They have been in the public domain for some time, the report has found nothing that was unknown to auditors. The Welsh Government have also carried out due diligence for their dealing with the company. There is nothing wrong with our past rports and we look forward to presenting positive financial reports in March. In the future we expect both Joint Ventures to make a profit."

I can't see why they would respond in any other way. The report is more of an issue for the auditors that signed off on IQE's results. Why would they waste more time justifying stuff that's already been justified according to the financial requirements put on them.

It will then be left to investors to make their mind up. Based on the last few months, I suspect IQE don't mind as they have done a fund raising at a higher price and are concentrating on expanding the business. The next time they will worry about the share price will be if they have to raise money again, sell the company or get a pay package linked to share price