Loading...

We've got a brand new version of Simply Wall St! Try it out

Sterling Plantations

ASX:SBI
Snowflake Description

Good value with imperfect balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
SBI
ASX
A$845K
Market Cap
  1. Home
  2. AU
  3. Food, Beverage & Tobacco
Company description

Sterling Plantations Limited, through its subsidiaries, operates in the oil palm plantation development business in Malaysia. The last earnings update was 158 days ago. More info.


Add to Portfolio Compare Print
SBI Share Price and Events
7 Day Returns
0%
ASX:SBI
-1.9%
AU Food
0.4%
AU Market
1 Year Returns
30%
ASX:SBI
-5.4%
AU Food
1.8%
AU Market
SBI Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Sterling Plantations (SBI) 0% 0% - 30% - -88.2%
AU Food -1.9% 0.5% -3.7% -5.4% 0.2% 21.6%
AU Market 0.4% 4.3% 5.9% 1.8% 25.9% 3.7%
1 Year Return vs Industry and Market
  • SBI outperformed the Food industry which returned -5.4% over the past year.
  • SBI outperformed the Market in Australia which returned 1.8% over the past year.
Price Volatility
SBI
Industry
5yr Volatility vs Market

Value

 Is Sterling Plantations undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Sterling Plantations to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Sterling Plantations.

ASX:SBI Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 11.4%
Perpetual Growth Rate 10-Year AU Government Bond Rate 2.3%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for ASX:SBI
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year AU Govt Bond Rate 2.3%
Equity Risk Premium S&P Global 7.7%
Food Unlevered Beta Simply Wall St/ S&P Global 0.53
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.535 (1 + (1- 30%) (174.08%))
1.186
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.19
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.31% + (1.186 * 7.69%)
11.43%

Discounted Cash Flow Calculation for ASX:SBI using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Sterling Plantations is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.

ASX:SBI DCF 1st Stage: Next 5 year cash flow forecast
2019 2020 2021 2022 2023
Levered FCF (AUD, Millions) 34.00 40.10 47.28 55.32 64.17
Source Est @ 17.93% Est @ 17.93% Est @ 17.93% Est @ 17%, capped from 17.93% Est @ 16%, capped from 17.93%
Present Value
Discounted (@ 11.43%)
30.51 32.29 34.17 35.88 37.35
Present value of next 5 years cash flows A$170.21
ASX:SBI DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2023 × (1 + g) ÷ (Discount Rate – g)
= A$64.17 × (1 + 2.31%) ÷ (11.43% – 2.31%)
A$719.96
Present Value of Terminal Value = Terminal Value ÷ (1 + r)5
= A$719.96 ÷ (1 + 11.43%)5
A$419.04
ASX:SBI Total Equity Value
Calculation Result
Total Equity Value = Present value of next 5 years cash flows + Terminal Value
= A$170.21 + A$419.04
A$589.25
Equity Value per Share
(AUD)
= Total value / Shares Outstanding
= A$589.25 / 65.00
A$9.07
ASX:SBI Discount to Share Price
Calculation Result
Value per share (AUD) From above. A$9.07
Current discount Discount to share price of A$0.01
= -1 x (A$0.01 - A$9.07) / A$9.07
99.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Sterling Plantations is available for.
Intrinsic value
>50%
Share price is A$0.01 vs Future cash flow value of A$9.07
Current Discount Checks
For Sterling Plantations to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Sterling Plantations's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Sterling Plantations's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Sterling Plantations's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Sterling Plantations's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
ASX:SBI PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-06-30) in AUD A$0.03
ASX:SBI Share Price ** ASX (2018-11-21) in AUD A$0.01
Australia Food Industry PE Ratio Median Figure of 21 Publicly-Listed Food Companies 21.06x
Australia Market PE Ratio Median Figure of 559 Publicly-Listed Companies 15.71x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Sterling Plantations.

ASX:SBI PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= ASX:SBI Share Price ÷ EPS (both in AUD)

= 0.01 ÷ 0.03

0.41x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Sterling Plantations is good value based on earnings compared to the AU Food industry average.
  • Sterling Plantations is good value based on earnings compared to the Australia market.
Price based on expected Growth
Does Sterling Plantations's expected growth come at a high price?
Raw Data
ASX:SBI PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 0.41x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
Not available
Australia Food Industry PEG Ratio Median Figure of 13 Publicly-Listed Food Companies 1.79x
Australia Market PEG Ratio Median Figure of 361 Publicly-Listed Companies 1.42x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Sterling Plantations, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Sterling Plantations's assets?
Raw Data
ASX:SBI PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-06-30) in AUD A$-0.73
ASX:SBI Share Price * ASX (2018-11-21) in AUD A$0.01
Australia Food Industry PB Ratio Median Figure of 41 Publicly-Listed Food Companies 1.43x
Australia Market PB Ratio Median Figure of 1,664 Publicly-Listed Companies 1.65x
ASX:SBI PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= ASX:SBI Share Price ÷ Book Value per Share (both in AUD)

= 0.01 ÷ -0.73

-0.02x

* Primary Listing of Sterling Plantations.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Sterling Plantations has negative assets, we can't compare the value of its assets to the AU Food industry average.
X
Value checks
We assess Sterling Plantations's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Food industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Food industry average (and greater than 0)? (1 check)
  5. Sterling Plantations has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Sterling Plantations expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Sterling Plantations has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.

Show me the analysis anyway

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
19.4%
Expected Food industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Sterling Plantations expected to grow at an attractive rate?
  • Unable to compare Sterling Plantations's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare Sterling Plantations's earnings growth to the Australia market average as no estimate data is available.
  • Unable to compare Sterling Plantations's revenue growth to the Australia market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
ASX:SBI Future Growth Rates Data Sources
Data Point Source Value (per year)
Australia Food Industry Earnings Growth Rate Market Cap Weighted Average 19.4%
Australia Food Industry Revenue Growth Rate Market Cap Weighted Average 7%
Australia Market Earnings Growth Rate Market Cap Weighted Average 5.9%
Australia Market Revenue Growth Rate Market Cap Weighted Average 2.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
ASX:SBI Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (7 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in AUD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
ASX:SBI Past Financials Data
Date (Data in AUD Millions) Revenue Cash Flow Net Income *
2018-06-30 2 -3 2
2018-03-31 2 -3 -0
2017-12-31 2 -4 -3
2017-09-30 2 -4 -9
2017-06-30 2 -3 -14
2017-03-31 2 -12
2016-12-31 2 -3 -11
2016-09-30 2 -3 -10
2016-06-30 2 -3 -10
2016-03-31 1 -4 -11
2015-12-31 1 -4 -13
2015-09-30 1 -5 -12

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if Sterling Plantations is high growth as no earnings estimate data is available.
  • Unable to determine if Sterling Plantations is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
ASX:SBI Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (7 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Sterling Plantations Company Filings, last reported 7 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

ASX:SBI Past Financials Data
Date (Data in AUD Millions) EPS *
2018-06-30 0.03
2018-03-31 -0.01
2017-12-31 -0.05
2017-09-30 -0.13
2017-06-30 -0.22
2017-03-31 -0.19
2016-12-31 -0.17
2016-09-30 -0.16
2016-06-30 -0.15
2016-03-31 -0.16
2015-12-31 -0.20
2015-09-30 -0.19

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Sterling Plantations will efficiently use shareholders’ funds in the future without estimates of Return on Equity.

Next steps:

  1. Examine whether Sterling Plantations is trading at Sterling Plantations'san attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
  2. Sterling Plantations's future outlook can be gauged by looking at industry trends and market size, and determining how well-positioned the company is compared to its competitors. Take a look at other high-growth Food, Beverage & Tobacco companies here
  3. Sterling Plantations's competitive advantages and company strategy can generally be found in its financial reports archived here.
  4. Use fundamentals to screen for another stock to analyse from our database of over 75,000 companies worldwide
X
Future performance checks
We assess Sterling Plantations's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Australia market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Australia market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Sterling Plantations has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Sterling Plantations performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Sterling Plantations's growth in the last year to its industry (Food).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Sterling Plantations's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • Sterling Plantations has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • Sterling Plantations has become profitable in the last year making it difficult to compare the AU Food industry average.
Earnings and Revenue History
Sterling Plantations's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Sterling Plantations Company Filings, last reported 7 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

ASX:SBI Past Revenue, Cash Flow and Net Income Data
Date (Data in AUD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-06-30 1.64 2.04 2.24
2018-03-31 1.66 -0.45 2.44
2017-12-31 1.68 -2.94 2.64
2017-09-30 1.82 -8.52 2.82
2017-06-30 1.96 -14.11 3.01
2017-03-31 1.99 -12.49 3.25
2016-12-31 2.02 -10.87 3.50
2016-09-30 1.76 -10.33 3.53
2016-06-30 1.51 -9.78 3.56
2016-03-31 1.42 -10.67 3.97
2015-12-31 1.32 -12.98 4.38
2015-09-30 1.23 -12.05 4.58
2015-06-30 1.13 -11.12 4.78
2015-03-31 1.05 -8.37 4.96
2014-12-31 0.97 -5.62 5.15
2014-09-30 0.87 -5.35 5.42
2014-06-30 0.78 -5.07 5.69
2014-03-31 0.83 -5.55 5.57
2013-12-31 0.88 -6.02 5.44
2013-09-30 0.92 -0.69 5.67
2013-06-30 0.96 4.65 5.89
2013-03-31 0.96 3.84 6.66
2012-12-31 0.95 3.04 7.42
2012-09-30 0.74 -3.01 7.58
2012-06-30 0.52 -9.06 7.75
2012-03-31 0.33 -9.33 7.81

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if Sterling Plantations has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) due to its liabilities exceeding its assets.
  • Sterling Plantations used its assets more efficiently than the AU Food industry average last year based on Return on Assets.
  • It is difficult to establish if Sterling Plantations improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to its liabilities exceeding its assets.
X
Past performance checks
We assess Sterling Plantations's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Food industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Sterling Plantations has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Sterling Plantations's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Sterling Plantations's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Sterling Plantations's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Sterling Plantations's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Sterling Plantations's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Sterling Plantations has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Sterling Plantations Company Filings, last reported 7 months ago.

ASX:SBI Past Debt and Equity Data
Date (Data in AUD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-06-30 -47.58 1.47 0.21
2018-03-31 -47.58 1.47 0.21
2017-12-31 -42.91 1.20 0.75
2017-09-30 -42.91 1.20 0.75
2017-06-30 -44.95 1.27 1.89
2017-03-31 -44.95 1.27 1.89
2016-12-31 -36.04 1.51 0.55
2016-09-30 -36.04 1.51 0.55
2016-06-30 -33.32 1.18 0.60
2016-03-31 -33.00 1.18 0.60
2015-12-31 -29.47 0.12 1.06
2015-09-30 -29.47 0.12 1.06
2015-06-30 -25.32 0.15 3.74
2015-03-31 -25.32 0.15 3.74
2014-12-31 -18.93 0.26 7.44
2014-09-30 -18.93 0.26 7.44
2014-06-30 -13.45 0.05 12.31
2014-03-31 -13.45 0.05 12.31
2013-12-31 -12.68 0.13 7.48
2013-09-30 -12.68 0.13 7.48
2013-06-30 -8.78 2.79 3.58
2013-03-31 -8.78 2.79 3.58
2012-12-31 -5.85 2.83 6.28
2012-09-30 -5.85 2.83 6.28
2012-06-30 -12.53 2.81 3.76
2012-03-31 -10.53 2.81 3.76
  • Sterling Plantations has negative shareholder equity (liabilities exceed assets), this is a more serious situation compared with a high debt level.
  • Irrelevant to check if Sterling Plantations's debt level has increased considering it has negative shareholder equity.
  • Operating cash flow is negative therefore debt is not well covered.
  • Sterling Plantations earns more interest than it pays, coverage of interest payments is not a concern.
X
Financial health checks
We assess Sterling Plantations's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Sterling Plantations has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Sterling Plantations's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Sterling Plantations dividends.
If you bought A$2,000 of Sterling Plantations shares you are expected to receive A$0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Sterling Plantations's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Sterling Plantations's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
ASX:SBI Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
Australia Food Industry Average Dividend Yield Market Cap Weighted Average of 13 Stocks 2.7%
Australia Market Average Dividend Yield Market Cap Weighted Average of 420 Stocks 4.4%
Australia Minimum Threshold Dividend Yield 10th Percentile 1.6%
Australia Bottom 25% Dividend Yield 25th Percentile 2.7%
Australia Top 25% Dividend Yield 75th Percentile 6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Sterling Plantations has not reported any payouts.
  • Unable to verify if Sterling Plantations's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Sterling Plantations's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Sterling Plantations has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Sterling Plantations's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.6%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Sterling Plantations afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Sterling Plantations has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Sterling Plantations's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
C. Paragash
COMPENSATION A$111,235
CEO Bio

Dato C. R. S. Paragash, FCA, serves as the Group Managing Director of Sterling Plantations Limited and has been its Executive Chairman since April 1, 2009 and Executive Director since May 25, 2006. Dato Paragash worked in Sime Darby Bhd (an international conglomerate). He has been a successful private equity investor involved in infrastructure and property for over 15 years. Dato Paragash is a Fellow of the Institute of Chartered Accountants (England & Wales) and a Member of the Malaysian Institute of Chartered Accountants.

CEO Compensation
  • C.'s compensation has been consistent with company performance over the past year.
  • C.'s remuneration is lower than average for companies of similar size in Australia.
Management Team

C. Paragash

TITLE
Executive Chairman & Group MD
COMPENSATION
A$111K

Dhanesh Gunaratnam

TITLE
Executive Director
COMPENSATION
A$62K

Shaun Menezes

TITLE
Company Secretary
AGE
42
TENURE
5.3 yrs
Board of Directors Tenure

Average tenure of the Sterling Plantations board of directors in years:

6.3
Average Tenure
  • The tenure for the Sterling Plantations board of directors is about average.
Board of Directors

C. Paragash

TITLE
Executive Chairman & Group MD
COMPENSATION
A$111K
TENURE
9.8 yrs

Dhanesh Gunaratnam

TITLE
Executive Director
COMPENSATION
A$62K
TENURE
1.4 yrs

Jackie Leong

TITLE
Non-Executive Director
COMPENSATION
A$14K
TENURE
7.3 yrs

Eric John

TITLE
Non-Executive Director
COMPENSATION
A$12K
TENURE
5.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (A$) Value (A$)
X
Management checks
We assess Sterling Plantations's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Sterling Plantations has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Sterling Plantations Limited (ASX:SBI): What Does Its Beta Value Mean For Your Portfolio?

In finance, Beta is a measure of volatility. … Beta is a widely used metric to measure a stock's exposure to market risk (volatility). … Before we go on, it's worth noting that Warren Buffett pointed out in his 2014 letter to shareholders that 'volatility is far from synonymous with risk.' Having said that, beta can still be rather useful.

Simply Wall St -

What You Must Know About Sterling Plantations Limited's (ASX:SBI) Major Investors

In this analysis, my focus will be on developing a perspective on Sterling Plantations Limited’s (ASX:SBI) latest ownership structure, a less discussed, but important factor. … The impact of a company's ownership structure affects both its short- and long-term performance. … The effect of an active institutional investor with a similar ownership as a passive pension-fund can be vastly different on a company's corporate governance and accountability to shareholders.

Simply Wall St -

Where Sterling Plantations Limited (ASX:SBI) Stands In Terms Of Earnings Growth Against Its Industry

Below, I will assess SBI's latest performance announced on 31 December 2017 and weight these figures against its longer term trend and industry movements. … Were SBI's earnings stronger than its past performances and the industry. … SBI is loss-making, with the most recent trailing twelve-month earnings of -AU$2.94m (from 31 December 2017), which compared to last year has become.

Simply Wall St -

Who Owns Most Of Sterling Plantations Limited (ASX:SBI)?

This size of ownership gives retail investors collective power in deciding on major policy decisions such as executive compensation, appointment of directors and acquisitions of businesses. … This level of ownership gives retail investors the power to sway key policy decisions such as board composition, executive compensation, and potential acquisitions. … Private Company Ownership Potential investors in SBI should also look at another important group of investors: private companies, with a stake of 0.40%, who are primarily invested because of strategic and capital gain interests.

Simply Wall St -

Should You Wait Before Investing In Sterling Plantations Limited (ASX:SBI)?

Today I’ve examined Sterling Plantations’s financial data from its most recent earnings update, to roughly assess when the company may need to raise new capital. … ASX:SBI Income Statement Apr 24th 18 When will Sterling Plantations need to raise more cash? … Although this is a relatively simplistic calculation, and Sterling Plantations may continue to reduce its costs further or raise debt capital instead of coming to equity markets, the analysis still helps us understand how sustainable the Sterling Plantations’s operation is, and when things may have to change.

Simply Wall St -

Should You Worry About Sterling Plantations Limited's (ASX:SBI) CEO Salary Level?

View our latest analysis for Sterling Plantations What has been the trend in SBI's earnings? … ASX:SBI Past Future Earnings Apr 13th 18 Is SBI's CEO overpaid relative to the market? … Normally I'd use market cap and profit as factors determining performance, however, SBI's negative earnings reduces the effectiveness of this method.

Simply Wall St -

Does Sterling Plantations Limited (ASX:SBI) Fall With The Market?

A popular measure of market risk for a stock is its beta, and the market as a whole represents a beta value of one. … Based on this beta value, SBI may be a stock for investors with a portfolio mainly made up of low-beta stocks. … Therefore, investors can expect a high beta associated with the size of SBI, but a lower beta given the nature of the industry it operates in.

Simply Wall St -

Want To Invest In Sterling Plantations Limited (ASX:SBI)? Here's How It Performed Lately

After reading Sterling Plantations Limited's (ASX:SBI) most recent earnings announcement (31 December 2017), I found it useful to look back at how the company has performed in the past and compare this against the latest numbers. … See our latest analysis for Sterling Plantations How SBI fared against its long-term earnings performance and its industry I look at the ‘latest twelve-month’ data, which either annualizes the most recent 6-month earnings update, or in some cases, the most recent annual report is already the latest available financial data. … ASX:SBI Income Statement Mar 27th 18 We can further examine Sterling Plantations's loss by looking at what the industry has been experiencing over the past few years.

Simply Wall St -

What Can We Expect for Sterling Plantations Limited (ASX:SBI) Moving Forward?

However, the key uncertainty facing the food product industry specifically is around the change in consumer taste and growth in customer expectation from food producers. … See our latest analysis for Sterling Plantations What’s the catalyst for Sterling Plantations's sector growth? … Next Steps: Sterling Plantations has been a food product industry laggard in the past year.

Simply Wall St -

Should You Be Concerned About Sterling Plantations Limited's (ASX:SBI) Shareholders?

This size of ownership gives retail investors collective power in deciding on major policy decisions such as executive compensation, appointment of directors and acquisitions of businesses. … This level of ownership gives retail investors the power to sway key policy decisions such as board composition, executive compensation, and potential acquisitions. … Private Company Ownership Potential investors in SBI should also look at another important group of investors: private companies, with a stake of 0.004%, who are primarily invested because of strategic and capital gain interests.

Simply Wall St -

Company Info

Map
Description

Sterling Plantations Limited, through its subsidiaries, operates in the oil palm plantation development business in Malaysia. The company is also involved in the plantation and cultivation of fresh fruit bunches and palm products. It has 11,000 acres of oil palm plantation. The company was formerly known as Sterling Biofuels International Limited and changed its name to Sterling Plantations Limited in October 2012. Sterling Plantations Limited is headquartered in Subiaco, Australia.

Details
Name: Sterling Plantations Limited
SBI
Exchange: ASX
Founded:
A$845,000
65,000,000
Website: http://www.sterlingplantations.com
Address: Sterling Plantations Limited
437 Roberts Road,
Ground Floor,
Subiaco,
Western Australia, 6008,
Australia
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
ASX SBI Ordinary Shares Australian Securities Exchange AU AUD 25. Sep 2006
DB F7U Ordinary Shares Deutsche Boerse AG DE EUR 25. Sep 2006
Number of employees
Current staff
Staff numbers
0
Sterling Plantations employees.
Industry
Agricultural Products
Food, Beverage & Tobacco
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/02/18 10:33
End of day share price update: 2018/11/21 00:00
Last earnings filing: 2018/09/13
Last earnings reported: 2018/06/30
Last annual earnings reported: 2018/06/30


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.