FNF #1

Topics discussed in tonight’s FNF:

• PPP Converter, Purchasing Power Parity Converter adjusts your currency to foreign currency based on what you can purchase in the respective countries
• For example, RM 1000 in Malaysia will require USD 734 in USA to maintain similar purchasing power
• PPP Converter Link :  https://chrislross.com/PPPConverter/
• Logitech has reported great earnings in the current quarterly report with impressive expansion in gross profit margins
• Logitech continue to gain market share in their gaming segment (gaming growing faster than expected)
• Logitech faces supply disruption with one of their semiconductor suppliers facing a serious incident which initiated a closure of their facilities
• SAL revenue reflect the resurgence in air cargo market with revenue growing 30% year-over-year (YoY)
• SAL continues to spend on CAPEX for Zones, terminal expansion, and Jeddah Islamic Port
• In agriculture, Brazil and Latin America continues to struggle as fuel and fertilizer prices squeeze farmer’s profitability 
• AGCO’s (North America) NA sales was higher and gained market share across many products in that region this quarter
• AGCO’s (Latin America) LATAM sales were lower this quarter
• Brazil farmers expected to get subsidized by the government which could lift up demand in ag equipment
• Great and seemingly healthy labor demand with staffing industry growing sequentially 
• Kforce’s permanent hire/direct hire showed resilient growth
• Coal usage cannot be as simple as stop using coal due to emissions because there is two sides to the coin
• Coal is an economic energy solution for emerging economies and raises the living standards of people
• Therefore a balance of coal consumption is needed, not a total cutoff due to carbon emissions
• In a coal paper in 2012, which back in 2012 had 1.4 billion people in zero electricity, they estimated that by 2030, 1.2 billion people will still be in zero electricity
• However, fast-forward to today, we see that 2024’s population in zero electricity is lower than their ‘estimate’ only at 657 million people
• SAL monopoly power might tempt them to charge high prices for their air cargo services, however looking at their terminal handling charges, they seem to be inline with other airport and service providers
• This is important because if regulation for airport operation loosens, allowing entrants to flood in, SAL’s market share would most likely be eroded very quick, however this is not the case as they charge modestly