KGIC Inc LGLTF

Q3 Net Profit $4.786M leads to Annual Net Profit of $7 Mil

[kim2015]

If the Q to Q profit is real, LOY’s annual Net Profit should be $7M range. This is a very profitable business running 12% net profit based on my projected Gross Revenue of $60 million. Under this scenario, stock price will eventually recover itself. Most investors have short term memory disorder. Forget about the housing business. This is a good business in its own rights. If the Q to Q profit of $4.786M becomes huge loss by year end, all of us should have an issue. This occurred once in 2013 and was dismissed as isolated incident. If this happens again in F2014, it is outright fraud and management shall be deemed pathological liars., may even be class action lawsuits. I have seen many junior venture companies posting huge profits during the Qs and raise money from investors, then report huge losses at year end which reflected the true picture. It is a form of Ponzi Scheme by borrowing money to create profit, and apply fraudulent accounting to attract investors, then write off at year end. Until the audited financial statement is out, all speculations by pumpers or bashers are moot. I will buy more to average down, or bail out immediately if I see signs of fraud. Remember Sino Forest?