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Canaf Investments Inc V.CAF

Alternate Symbol(s):  CAFZF

Canaf Investments Inc. is focused on investing in diverse sectors in South Africa. The Company owns 100% of Quantum Screening and Crushing (Pty) Ltd., (Quantum), a South African company that owns 70% of Southern Coal (Pty) Ltd., (Southern Coal), a company that produces a high carbon, de-volatized (calcined) anthracite. It also owns 100% of Canaf Investments (Pty) Ltd., a South African holding company that owns 100% of Canaf Estate Holdings (Pty) Ltd., 100% of Canaf Agri (Pty) Ltd., and 100% of Canaf Capital (Pty) Ltd. Southern Coal processes anthracite coal into de-volatized anthracite (calcined anthracite) for sale mostly to steel and ferromanganese manufacturers as a substitute product for coke. Canaf Estate Holdings (Pty) Ltd. is a property investment company focused on acquiring, redeveloping and renting properties primarily within the suburbs of the old Johannesburg CBD. Canaf Agri (Pty) Ltd. is exploring investment opportunities in the agriculture sector in South Africa.


TSXV:CAF - Post by User

Bullboard Posts
Post by MiningMasterAuon Sep 24, 2019 5:09pm
204 Views
Post# 30160750

CAF MD&A - Q4 expected to be better than Q3

CAF MD&A - Q4 expected to be better than Q3Sales grew in Q3 2019 to $3,422,222, which is in line with sales of the same quarter in 2018 ($3,444,253). Year to date sales are $7,680,313, which is 37% behind last year’s sales (2018: $12,137,604). Gross profit margins are up in Q3 (2019: 11%, $384,581) compared to the same quarter in 2018 (2018: 7%, $235,093) Net income for the third quarter was $222,208, (2018: $65,008) and year to date is $413,286 (2018: $516,105); while this is still $102,819 (20%) behind last year, it’s a reflection that the decline seen in the first two quarters is reversing. The main reason for the increase in sales in comparison to the previous quarter is due to an increase in demand from existing customers. The Company can also confirm also that it expects to reflect a further increase in sales in Q4, as a new customer comes online. The Company is pleased to confirm that the trials sent to a new potential customer in Q1 2019 have materialized in to an intention for a regular off-take; this increase in demand should be reflected in Q4 2019. During the period, the Company completed the transfer of its first property investment in Johannesburg for an overall cost of approximately $125,000. The property should yield a net return of in excess of 10% per annum. Whilst the Corporation has reported sales and profits for the period that are behind compared to the prior year, operating margins have improved and the company continues to generate a healthy level of free cashflow which the boards intends to utilize for further growth in new sectors.
Bullboard Posts