Noble Group Financial Performance Presentation FY16
“However, profitability was significantly impacts by working capital constraints as we managed for liquidity, inhibiting the business’ ability to enhance margins by monetizing the embedded optionality in the franchise”
The U.S oil liquids business has operated at a loss $23M during Q4-2016.
Now caught in-between, with losingpositions the trader frames it as “it’s because of liquidity constraints” as it tries to sell this U.S oil liquids unit to Sinopec.
This is the also company who has burned $900 millions in OPERATING CASH-FLOWS in 2016 but printed an accounting profit… only figure.
The Transit Time on Colonial Pipeline, if you go from one end to the other (Houston to New York) is about16days.
Most of ship voyages in Asia are less than 10days but apparently this is too much for Noble Group.
At an average of 10 days shipment and at with a cost of the goods sold(COGS) of $48.58BFY16, the average inventory in transit recorded by Noble would have to be atleast $1.256B , problem is that the audited number is only $2.6M FY16.
FY2015 the average transit time of Noble was3.5 days.
FY2016 The averagetransittime of Noble, is now 0,019 days. It either implies that Noble has used hyper sonic missiles or that the corporation has a COGS inflated by 10 to 15 times in 2016.
IfNoble, has always self-proclaimed itself as a corporation of +1000 employees working on busy trade floors, evenmoredoubttheirrevenues.
Yet, none of the evidences suggest that this operation possesses the normal footprint associated to one of the largest commodity trader.
They have gone from cargoes put in the speed boats with the Elmans… to the Mach 5 speed with captain William Randall.