Silverlake Axis

[thor666]

I think for silverlake it goes beyond this deal. what shareholder also need to worry about is the depreciating RM. Nearly all their assets and revenue/profit/dividend is in rm but share price is in S$. Surely this has to be factored in.

Reported currency might not be necessary the transaction currency of the company. IIRC, the company transaction currencies are mainly in SGD/USD, albeit the reported currency is RM.

(not vested)

How can billing/transaction not in RM when contract won is in RM;

Silverlake Secures Two New Software Upgrading Contracts
Totaling Approximately RM40.0 Million

Hi jacmar, I was piqued by your question so I did a search on silverlake sgx announcements all the way until 2010. To put it in a nutshell, silverlake wins contracts with multiple type of currencies depending on customer location and possibly negotiation factors. The announcement you highlighted mentions the word "approximately", likely for the purpose of considering currency exchange fluctuations. (the latter customer was based in brunei, for purposes and intents, it could be in Sgd since singapore and brunei have a currency peg)

In addition, I checked silverlake ar2014, point 31 on page 130, it does show sensitivty analysis of sgd, myr ,thb, usd amd jpy. So likely these are the currencies which silverlake wins its deals in.

For purposes of interest, I reckon a weak ringgit is positive for silverlake overseas ventures and neutral for local deals. The bulk of their cost would be on personnel costs, having strengthen of usd would mean more profits for the company, assuming their core personnel costs remains in malaysia (ringgit).

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