Quarterly Reports, & Their Significance

[flower]

2012 Q 3 Reports are due within the next 20 calendar days---once again expect surprises, again especially on the cost of production of many of our resource producers.

However there are some that have got capital raisings away during this quarter, perhaps those will surprise--on the upside.

[flower]

CLEVELAND (AP) -- Mining company Cliffs Natural Resources Inc. said Friday that it is cutting back on coal production at a mine in West Virginia and has eliminated some jobs.

The company now expects to produce about 800,000 tons of thermal coal from the Toney Forks No. 2 mine, down from its previous estimate of 1.1 million tons. Cliffs said it cut 46 hourly positions and 13 salaried jobs, effective Friday.

"Thermal coal usage for power generation has declined sharply, driven by the extremely mild winter and historically low natural gas prices," said David Webb, head of global coal operations.

The company still expects to sell 6 million tons of metallurgical coal in North America in 2012, and it expects to produce 5.5 million tons. That kind of coal is used in making steel. Shares of Cliffs Natural Resources gained $1.36, or 2.9 percent, to $48.98 on Friday.
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Above from AP news services last Friday--whilst it was in the US, these sort of production cutback stories may well feature in the next batch of our Q reports, due to start coming within the next 10 days or so.

[flower]

There are about 15 days before all resource companies start filing their 2012 Q2 reports. (31 July the latest allowable date )

This time around expect some fairly dramatic and unexpected outcomes as many companies cost of PRODUCTION comes close to the SALE price of their product as USD commodity prices fall, (in some cases plummet) and company production costs rise aided by the new taxes.

You still have time to ditch those that obviously dont stack up, conversley you also have time to buy those companies that are already hugely profitable.

One falling asset price that does work in miners favour is the oil price, but not enough to cancel out that other problems that will/should be self evident in those Q reports.

IMHO please understand.

[flower]

In Reply To: flower's post @ Oct 13 2011, 01:48 PM

Only 8 trading days to go before all resource companies must report their 2012 Q1 figures. Expect the usual pleasant and unpleasant shocks, in particular watch out for cost of production and exchange rate fluctuations which might be the catalysts for those shocks (in either direction). Expect those companies who get it right to outperform and vice versa

[flower]

Only 11 trading days to go before all resource companies must report their Q3 figures. Expect the usual pleasant and unpleasant shocks, in particular watch out for cost of production and exchange rate fluctuations which might be the catalysts for those shocks (in either direction). Expect those companies who get it right to outperform and vice versa.

[flower]

Be aware that the Easter break for 2011 officially starts with Good Friday on 22nd April.

Therefore expect all Resource companies to issue those reports within the next 17 days---expect a veritable flood of information!

[flower]

In Reply To: macduffy's post @ Jan 27 2011, 05:11 PM

Isn't it normally the case though that the "good" quarterlies get released before the last 2 or 3 days?
Anyone running behind their normal schedule now would be a bit suspect.
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Hi macduffy---incorrect. ASX allows any company to the end of the reporting month--with some minimum latitude depending on the actual day the month ends---ie public holidays, weekends etc.

The larger companies with departments who do nothing but compile reports have set days they make such announcements, usually published in advance on their websites, but for the majority its a very time consuming affair, with which somebody in a small management team gets lumbered.

It's not uncommon to see company ABC publlish good drilling results a few days before their quarterly, so that when the resultant good Q report comes out it gives another fillip to their SP. 2010 Q4 reports will still be streaming in next Tuesday.

[macduffy]

In Reply To: flower's post @ Jan 27 2011, 08:26 AM

Isn't it normally the case though that the "good" quarterlies get released before the last 2 or 3 days?

Anyone running behind their normal schedule now would be a bit suspect.

[flower]

Standby for an avalanche of 2010 Q4 reports over the next 3 trading days, if Commodities rise as a result of the FOMC meeting expect any bullish Quarterly to be seized upon by the market---IMO.

[flower]

In Reply To: harryhelo1's post @ Jan 18 2011, 08:37 PM

"It will be very interesting to see the financials contained in those Quarterly reports, and it will also be very interesting to see if the market starts to factor that in during the last 14 days of this month prior to the announcements period, and then to see how much certain stocks benefit, the trick sems to be the ability to pick those stocks that will benefit before months end and buy them---all things being equal of course"
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good TA would have hopped in to this trade on the 6th or 12th Jan. way before the Q1 came out. Today move is a blow off or exhaustion..bit late mate.. The roumers were out days ago, the Q1 was the fact
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Totally agreed---- IMO its the ability to pick the stocks like FMG that are likely to benefit from any report , buy them before that report and likely sell after the report is issued---"Buy The Rumour Sell The Fact"