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***Important***Blogger is not wrote any recommendation & suggestion. All is personal opinion and reader should take their own risk in investment decision.
Share Capital
Market cap: RM225mil
Total Shares: 450mil shares
Industry CARG
2019-2021 industry CAGR: 3.8%
Competitors PAT%
Ataims: -0.5%
VS industry Berhad: 6%
EG Industries Berhad: 1.3%
Delloyd Electronics (M) Sdn Bhd: 10.7%
Others: loss to 9.6%
Market cap: RM225mil
Total Shares: 450mil shares
Industry CARG
2019-2021 industry CAGR: 3.8%
Competitors PAT%
Ataims: -0.5%
VS industry Berhad: 6%
EG Industries Berhad: 1.3%
Delloyd Electronics (M) Sdn Bhd: 10.7%
Others: loss to 9.6%
Business (FYE 2022)
Automotive electronics manufacturing services.
Revenue: 95% (Perodua – main customer)
Automotive electronics manufacturing services.
Revenue: 95% (Perodua – main customer)
Fundamental
1.Market: Ace Market
2.Price: RM0.50
3.P/E: 16.7 @ RM0.03
4.ROE(Pro Forma III): 10.88%
5.ROE: 14.41%(FYE2022), 14.03%(FYE2021), 13.46%(FYE2020), 29.85%(FYE2019)
6.NA after IPO: RM0.28
7.Total debt to current asset after IPO: 0.37 (Debt:37.779mil, Non-Current Asset: 60.555mil, Current asset: 101.007mil)
8.Dividend policy: no formal dividend policy.
9. Shariah starus: Shariah compliant.
1.Market: Ace Market
2.Price: RM0.50
3.P/E: 16.7 @ RM0.03
4.ROE(Pro Forma III): 10.88%
5.ROE: 14.41%(FYE2022), 14.03%(FYE2021), 13.46%(FYE2020), 29.85%(FYE2019)
6.NA after IPO: RM0.28
7.Total debt to current asset after IPO: 0.37 (Debt:37.779mil, Non-Current Asset: 60.555mil, Current asset: 101.007mil)
8.Dividend policy: no formal dividend policy.
9. Shariah starus: Shariah compliant.
Past Financial Performance (Revenue, Earning Per shares, PAT%)
2022 (FYE 31Mar): RM133.051 mil (Eps: 0.030),PAT: 10.1%
2021 (FYE 31Mar): RM129.869 mil (Eps: 0.027),PAT: 9.4%
2020 (FYE 31Mar): RM130.732 mil (Eps: 0.024),PAT: 8.3%
2019 (FYE 31Mar): RM126.542 mil (Eps: 0.051),PAT: 18.1%
Major customer (2022)
1. Perodua manufacturing: 51.4%
2. Perodua Global Manufacturing: 37.6%
3. Perodua Sales: 6%
4. HIL Industries: 1.9%
5. Sipro Plastic: 1.6%
***total 98.5%
2022 (FYE 31Mar): RM133.051 mil (Eps: 0.030),PAT: 10.1%
2021 (FYE 31Mar): RM129.869 mil (Eps: 0.027),PAT: 9.4%
2020 (FYE 31Mar): RM130.732 mil (Eps: 0.024),PAT: 8.3%
2019 (FYE 31Mar): RM126.542 mil (Eps: 0.051),PAT: 18.1%
Major customer (2022)
1. Perodua manufacturing: 51.4%
2. Perodua Global Manufacturing: 37.6%
3. Perodua Sales: 6%
4. HIL Industries: 1.9%
5. Sipro Plastic: 1.6%
***total 98.5%
Major Sharesholders
Iskandar Holdings: 72% (Direct)
Mirzan Bin Mahathir: 72% (Indirect)
Iskandar Holdings: 72% (Direct)
Mirzan Bin Mahathir: 72% (Indirect)
Directors & Key Management Remuneration for FYE2023 (from Revenue & other income 2022)
Total director remuneration: RM0.962mil
key management remuneration: RM1.156 mil – 1.450mil
total (max): RM2.412 mil or 9.83%
Total director remuneration: RM0.962mil
key management remuneration: RM1.156 mil – 1.450mil
total (max): RM2.412 mil or 9.83%
Use of funds
1. R&D – new product development: 20.7%
2. To expand R&D office space, raw material storage and ancillary facilities: 19.3%
3. Purchase of new process equipment: 8.9%
4. Working capital requirement: 11.4%
5. Repayment bank borrowing: 29.6%
6. Listing Expenses: 10.1%
1. R&D – new product development: 20.7%
2. To expand R&D office space, raw material storage and ancillary facilities: 19.3%
3. Purchase of new process equipment: 8.9%
4. Working capital requirement: 11.4%
5. Repayment bank borrowing: 29.6%
6. Listing Expenses: 10.1%
Conclusions (Blogger is not wrote any recommendation & suggestion. All is personal opinion and reader should take their own risk in investment decision)
Refer to above SWOT analysis. Overall is a high risky business model as over focus on single customer (Perodua, 95% of company revenue). Sumore their industry itself is very competitive industry.
Refer to above SWOT analysis. Overall is a high risky business model as over focus on single customer (Perodua, 95% of company revenue). Sumore their industry itself is very competitive industry.
*Valuation is only personal opinion & view. Perception & forecast will change if any new quarter result release. Reader take their own risk & should do own homework to follow up every quarter result to adjust forecast of fundamental value of the company.
