A reader wrote to me asking for my thoughts regarding some questions about Far East Orchard (FEO). I am vested in FEO at a price of $1.52, a position I initiated back in August 2017. Since then, its share price has been largely flat, trading between a range of $1.46 to $1.59. 

Third Quarter Results
FEO's 3rd quarter results were largely disappointing, with revenue down 20.7% and net profit falling by 74.2% year on year. The decline in revenue was due to the completion of some lease agreements in Australia and New Zealand, and weaker performance of assets in Perth.

As for FEO's falling profits, if we were to eliminate the effect of the contributions from joint ventures, the decline would be less drastic. For Q3, share of profits from joint ventures was $7.4 million, compared to $1.6 million this year. These profits were mainly from FEO's progressive recognition of profits from their...