GURUFOCUS.COM » STOCK LIST » Real Estate » Real Estate » Chagala Group Ltd (LSE:CHGG) » Definitions » Net-Net Working Capital

Chagala Group (LSE:CHGG) Net-Net Working Capital : $-0.85 (As of Jun. 2018)


View and export this data going back to . Start your Free Trial

What is Chagala Group Net-Net Working Capital?

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full. In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. This is a conservative way of estimating the company's value.

Chagala Group's Net-Net Working Capital for the quarter that ended in Jun. 2018 was $-0.85.

The industry rank for Chagala Group's Net-Net Working Capital or its related term are showing as below:

LSE:CHGG's Price-to-Net-Net-Working-Capital is not ranked *
in the Real Estate industry.
Industry Median: 4.455
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Chagala Group Net-Net Working Capital Historical Data

The historical data trend for Chagala Group's Net-Net Working Capital can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Chagala Group Net-Net Working Capital Chart

Chagala Group Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
Net-Net Working Capital
Get a 7-Day Free Trial Premium Member Only Premium Member Only -1.72 -1.34 -1.02 -0.96 -0.91

Chagala Group Semi-Annual Data
Jun09 Dec09 Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18
Net-Net Working Capital Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -1.06 -0.96 -0.89 -0.91 -0.85

Competitive Comparison of Chagala Group's Net-Net Working Capital

For the Real Estate - Development subindustry, Chagala Group's Price-to-Net-Net-Working-Capital, along with its competitors' market caps and Price-to-Net-Net-Working-Capital data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Chagala Group's Price-to-Net-Net-Working-Capital Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Chagala Group's Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where Chagala Group's Price-to-Net-Net-Working-Capital falls into.



Chagala Group Net-Net Working Capital Calculation

Chagala Group's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Dec. 2017 is calculated as

Net-Net Working Capital(A: Dec. 2017 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(1.781+0.75 * 2.371+0.5 * 1.359-21.596
-0-1.844)/21.159
=-0.91

Chagala Group's Net-Net Working Capital (NNWC) per share for the quarter that ended in Jun. 2018 is calculated as

Net-Net Working Capital(Q: Jun. 2018 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(1.51+0.75 * 1.995+0.5 * 1.258-19.809
-0-1.708)/21.159
=-0.85

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full.

In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. In "Security Analysis", preferred stock is dubbed "an imperfect creditorship position" that is best placed on the balance sheet alongside funded debt.

This is a conservative way of estimating the company's value.


Chagala Group  (LSE:CHGG) Net-Net Working Capital Explanation

One research study, covering the years 1970 through 1983 showed that portfolios picked at the beginning of each year, and held for one year, returned 29.4 percent, on average, over the 13-year period, compared to 11.5 percent for the S&P 500 Index. Other studies of Graham's strategy produced similar results.

Benjamin Graham looked for companies whose market values were less than two-thirds of their net-net value. They are collected under our Net-Net screener.


Chagala Group Net-Net Working Capital Related Terms

Thank you for viewing the detailed overview of Chagala Group's Net-Net Working Capital provided by GuruFocus.com. Please click on the following links to see related term pages.


Chagala Group (LSE:CHGG) Business Description

Traded in Other Exchanges
N/A
Address
44 Wyndham Street Central, Wyndham Place, 26th Floor, Hong Kong, HKG
Chagala Group Ltd is a service and facility provider to the oil and gas industry. Business activity of the group is functioned through Room and Rent Operations, and Food and Beverages Operations segments. The company provides residential and business accommodation, associated catering, leisure, transport, warehousing, and logistics support to companies involved in extracting oil and gas from Kazakhstan's Caspian region. Chagala derives most of the revenue from Room and Rent Operations segment and rest from the other.