Bimb Research Highlights

Author: kltrader   |   Latest post: Wed, 13 Jan 2021, 5:49 PM


SKP Resources - A record high quarter

Author:   |    Publish date:

  • Overview. SKP reported a record breaking quarterly net profit of RM44.1m (+77% yoy) for 2QFY21 mainly due to substantial orders from existing key customers. On qoq basis, net profit spiked by 339% owing to higher revenue, different product mix, and better cost management. Overall, profit margin improved to 6.1% (+3.6 ppts qoq, 1 ppts yoy).
  • Key highlights. Printed circuit board (PCB) segment contributed positively during the quarter and the company also utilized capacity productively by working on new products. SKP expects to expand Printed Circuit Board Assembly (PCBA), injection moulding and engineering capabilities to cope with additional orders from existing and new customers.
  • Against estimates: Inline. The 1HFY21 net profit of RM54.1m (+25% yoy) made up 45% of consensus full year forecast.
  • Outlook. We believe demand for EMS products will grow on better prospect from the change in brand-owner to hire-contract manufacturer and only focusing on product design, development, and marketer; widely adapted by Western brands. SKP’s multiple capacity expansions are expected to materialize from a widened product portfolio and expectation of securing more orders from key customers in the near-term. SKP continued to command solid fundamentals with a better net cash position of RM39.8m or 3 sen net cash/ share as at 1HFY21

Source: BIMB Securities Research - 20 Nov 2020

Share this
Labels: SKPRES

Related Stocks

Chart Stock Name Last Change Volume 
SKPRES 2.12 -0.12 (5.36%) 3,386,000 

  Be the first to like this.

I3 Messenger
Individual or Group chat with anyone on I3investor
MQ Trader
Perform Technical & Fundamental Analysis on Stocks
MQ Affiliate
Earn rewards by referring your friends

209  692  606  1007 

Top 10 Active Counters
 DNEX 0.295+0.035 
 XOX-WC 0.02+0.015 
 QES 0.36-0.02 
 DNEX-WD 0.06+0.015 
 LUSTER 0.195+0.01 
 BIOHLDG 0.305+0.005 
 SAPNRG 0.120.00 
 XOX 0.090.00 
 GLOTEC 0.51+0.06 
 VIZIONE 0.23-0.04 


1. The Equity Market Index Benchmark in Malaysia CMS
2. Trading Scenarios of Derivatives Bursa Derivatives Education Series
3. Derivatives 101 Bursa Derivatives Education Series
4. Why Trade FKLI? Bursa Derivatives Education Series
5. MQ Trader - Introduction to MQ Trader Affiliate Program MQ Trader Announcement!