Less than 2 weeks ago, I wrote about SATS here and predicted that Q2 would be an excellent quarter. I’m happy to say I’m right =D

This dragon has soared to the skies!

Credit: SATS quarterly presentation slides

2Q EPS soared 28.5%.
1st Half 2015/16 EPS up 22.2%

SATS is on a productivity gain overdrive by focusing on automated processes and cutting down on manpower. This helped the company to achieve remarkable results.

SATS is somewhat like Sheng Siong

  • Cost control measures helped boost their bottomline
  • Low debt (no debt for Sheng Siong)
  • Excellent free cash flow (gushing with cash!)

So, would I buy more of SATS with this set of goods result?

Its important to buy good businesses. Its equally important to buy good businesses at good prices with sufficient margin of buffer.

May-15 Oct-15
Share price $3.19 $3.98
Share price % change 25%