Highlights
KLSE: ESCERAM (0100)       ES CERAMICS TECHNOLOGY BHD ACE : Industrial Products
Last Price Today's Change   Day's Range   Trading Volume
0.155   0.00 (0.00%)  0.00 - 0.00  0
Analyze this stock with MQ Trader system

Overview

Market Cap: 34 Million
NOSH: 219 Million
Avg Volume (4 weeks):54,694
4 Weeks Range:0.155 - 0.18
4 Weeks Price Volatility (%):
86.11%
52 Weeks Range:0.105 - 0.215
52 Weeks Price Volatility (%):
72.09%
Average Price Target: 0.37
Price Target Upside/Downside: +0.215

Financial Highlight

Latest Quarter | Ann. Date 31-May-2019 [#4]  |  31-Jul-2019
Next QR | Est. Ann. Date: 31-Aug-2019  |  29-Oct-2019
T4Q P/E | EY: 43.14  |  2.32%
T4Q DY | Payout %: 3.87%  |  156.88%
T4Q NAPS | P/NAPS: 0.25  |  0.62
T4Q NP Margin | ROE: 2.42%  |  1.53%

Headlines

Date Subject
17-Aug-2019 ES Ceramics Technology Berhad (KLSE) #RTable - CashRich Series - YAPSS

Business Background

ES Ceramics Technology Bhd is an investment holding company. Through its holding, the company manufactures and distributes ceramic hand formers. Its products offerings include examination formers, surgical formers, household formers, and breatings bag and balloon. Its formers are for continuous industrial use under heavy-duty conditions, to withstand the complex processes involving heat and chemicals to produce gloves. ES Ceramics operates geographically in Malaysia and Thailand and earns the majority of the revenue from Thailand.
Trade this stock and win a FREE I3investor T-shirt after 5 trades. Find out more.

  14 people like this.
 
lkoky Three consecutive QR down, not a good sign.
26/10/2017 7:58 AM
Sami_Value al-fatihah
26/10/2017 8:04 AM
jack2 http://tefd.theedgemarkets.com/2017/TEP/20171026q8b033.pdf
26/10/2017 8:17 AM
jack2 cash rich and low price would be attractive takeover
target by Top Gloves
26/10/2017 9:04 AM
fullcreammilk The Edge's article (link above) summed up the important points of the AGM conversation with the board. Also, when asked about possible acquisition by Top Glove, the CEO said "we have nothing on the table now".
26/10/2017 9:23 AM
Rowie Obviously he can't comment as he is bound by bursa rules.
TG will announce the deals soon. If Esceram is one of them then is a good deal cos this is a well managed company with good mgt.
26/10/2017 9:39 AM
Rowie Its ripe for a takeover
26/10/2017 9:42 AM
jack2 true, if there is any material information, cant be announced even during agm
need prior board approval, then Bursa announcement

as long as the business is profitable and cashflow is good, this is just a storm in teacup
opportunities for the hawks
26/10/2017 10:13 AM
Rowie vultures & insiders too
If i'm not mistaken TG says announcements by end of the month & mentioned listed companies too in the glove business. So not long wait, just monitor price action by insiders
26/10/2017 10:21 AM
vxpoison KUALA LUMPUR: ES Ceramics Technology Bhd, which reported its first drop in annual net profit in six years for its financial year ended May 31, 2017 (FY17), is looking at developing new ceramic formers for other dipping industries to reduce its reliance on the glove-making market.

“We want to further diversify our portfolio to include complementary new products within the dipping industry,” its chief executive officer Wong Fook Lin told reporters after the group’s annual general meeting yesterday.

This came amid declining utilisation in ES Ceramics’ Thai factory, said Wong, who did not provide an exact percentage but said that it is “rather low” at the moment.

The decline, he said, is in tandem with the decline in the group’s order book over the last few months. “Price competition among glove producers is stiff in the marketplace today. Some of our customers have taken a stand not to participate in the price war and, hence, [they] lose out on sales.”

“Their clients are also taking a wait-and-see approach [on prices before placing new orders]. All these pose an environment that is very difficult for us to operate in,” he added.

ES Ceramics saw its net profit drop 28.8% year-on-year (y-o-y) to RM6.33 million in FY17, despite revenue rising 11.06% to RM33.27 million. It attributed the lower profit margin to higher energy and material costs, as well as more competitive pricing of its products.

While emphasising that the global market demand for rubber gloves has seen single-digit growth y-o-y over the last few years, Wong is not expecting a significant rebound in the group’s performance for FY18.

“It does not help that key glove makers have been expanding so aggressively over the years,” he said.

“There is a price competition because some players are hungry. Why? Maybe they have increased capacity, but utilisation has not caught up.

“The market environment will be challenging, [at least] until all this excess capacity is taken up or normalises,” he added.

On its part, ES Ceramics has diversified from producing moulds for different glove types — examination, household, industrial and specialty — to include breathing bags and balloons as well. Wong did not reveal the latest products that ES Ceramics is looking to include in its list, noting that discussion is still at its infancy stage.

“We are talking to local and overseas customers who are not alien to us,” said Wong. “While this may not significantly impact our top line, this may help improve our utilisation rate and thus margins.”

The ACE Market-listed company has put some plans on the back-burner such as its intention to diversify into product packaging or the chemical sector and its planned transfer to the Main Market as it tackles hiccups in the adoption of automation — a company agenda since 2015 — to reduce operating costs.

The real issue in implementing automation, Wong said, is human capital. “We do not have the advantage of some manufacturers who can purchase turnkey machinery [to adopt automation]. Our machinery needs to be modified and tested. For that, we need engineers.

“But some engineers are from fields that are relevant to our operations, and some are inexperienced. We have been hiring and firing, that has caused our staff costs to increase slightly, but that will stabilise when the right team is established to speed up the adoption,” he added.

“Right now, our factories are not applying automation at a significant level,” said Wong. The group is currently focusing on less critical parts of the manufacturing line to allow for more room for modifications.

“The first objective is to make sure automation can work before it is being applied across the board. Only then can we look at improving quality,” he said, without giving a timeline for the adoption to be meaningful to ES Ceramics’ financial performance.

As at end-FY17, the group’s cash and bank balances stood at RM23.69 million — up 8.96% from RM21.74 million in FY16 — with relatively no borrowings. On that note, Wong assured shareholders that the cash pile provides the company with much-needed flexibility to stand by for the aforementioned activities.

“When the need and opportunity arises, we can have an edge over our competitors if there is sufficient ammunition and room to gear up the company in order to take action,” he said.
26/10/2017 1:47 PM
Artemis "While emphasising that the global market demand for rubber gloves has seen single-digit growth y-o-y over the last few years, Wong is not expecting a significant rebound in the group’s performance for FY18." Gloomy outlook by the management themselves. If TopGlove wants to acquire a former manufacturer, i think companies like Mediseram will be a better target than ESCeramics...
26/10/2017 3:03 PM
jack2 the CEO Wong shud work harder and think out of the box to get more business. ESC is a smallish company that can easily turn around with handful of big contracts from the big gloves companies etc
26/10/2017 3:59 PM
Rowie perhaps he is not a big risk taker, he is slowly growing the company
look at the annual report....40-50 million shares are held by Investment Funds
his break may come if there is a takeover otherwise slow & steady.
yes i agree the ceo must secure bigger contracts & rub shoulders with the big glove makers
26/10/2017 4:11 PM
Goldchia MH Ohmidofuk
22/11/2017 10:23 PM
vxpoison 8 million transacted volume first half but only less than 2% buy rate. what is going on with ESCERAM?
07/12/2017 2:18 PM
keong90 what is the reason buying rate so low but it still had price up?
07/12/2017 10:31 PM
vxpoison changing hand!
07/12/2017 10:36 PM
nikicheong This is just cross trades or between the same fund house (like RHB to RHB fund).
07/12/2017 10:44 PM
Sebastian Power niki, how you think this counter? Share your views just like CWG
08/12/2017 6:24 PM
CharlesT Wait for RHB funds to dispose all first
16/12/2017 7:31 AM
nikicheong @Sebastian, I "incorrectly" bought ES Ceramics in March at 0.465, sold in October at 0.370.

I have no strong opinion on ES Ceramics. I think there are better buys out there honestly speaking.
16/12/2017 2:03 PM
proxxymax Artemis, can't find Mediceram is listed in BUrsa, any idea how are they doing compare to ESCERAM? Same same? Better? Worse? Then we know how is the hand former players all doing.
20/12/2017 10:18 AM
BillyK ringgit strengthened, cost of import materials will be lowered
expect profit margin to increase
08/01/2018 8:21 AM
nikicheong Quite bad wor.

http://www.bursamalaysia.com/market/listed-companies/company-announcements/5671313
22/01/2018 6:53 PM
Choivo Capital This is starting to look attractive again.

If the automation ever gets off, considering how hard it is to set it up. Thats a nice edge,
23/01/2018 2:49 PM
Sami_Value continuous profit drops & margin compression, kinda risky until the cloudy sky clear

this one if one deployed dump dump hold on FA investing since early 2017, the underwear also got stripe by now
23/01/2018 3:23 PM
BillyK looks like bad results already been factored in the price already
may looks attractive if biz turnaround
small cap co, turnaround is not that difficult
23/01/2018 4:28 PM
Andersonlim Third time buy back. Buy some in 0.24. Wish me good luck
23/01/2018 9:03 PM
TrippleZ Sorry. I'll wait below 20sen.
23/01/2018 9:37 PM
BillyK buy and keep
earning weakness already priced in
24/01/2018 9:50 AM
Simonlee22a As i know glove market demand is speaking up now, Top Glove and Hartalega keep increasing their capacity and this is showing the market trend still very promising..really don’t understand why this company have low sales, and I heard one of the foreign hand former company in Indonesia name Mark doing very excellent, they keep expanding every year according to the published news..I think to invest and earn some profit ..
24/01/2018 1:29 PM
Simonlee22a http://www.thejakartapost.com/news/2017/07/13/mark-dynamics-eyes-double-digit-growth-after-going-public.html
24/01/2018 1:32 PM
BillyK opportunity to buy
once the co got it biz strategy right and with few big clients
wont see such price
24/01/2018 2:33 PM
deepseafisherman Shrewdinvestor, refer back to my post on Nov 2016, now you know what is hard landing, still cannot understand ?
24/01/2018 8:10 PM
NickLai this stock is syndicate played. I have tested buying at 125k units at 30cents. Whenever you want to sell lower, the buying amount would automatically reduced drastically after 3 seconds. Forcing you to sell at a very much lower price if you are desperate.

The same goes for the selling amount which will increase instantly once you put a sell call for it. It seems like the buying and selling is computer automated by syndicates / proxies. I have tested a few times and the results is the same.

Somewhat I am so fed up with this stock, I sold off at 24 and 23 cents with a 20+ percent loss.

Beware, do not invest in this stock. It is computer automated. You will definitely lost in this game. You might earn in one instant, but you will loss more than you earn if you continue investing in this stock.
29/01/2018 3:44 PM
NickLai Chongker is okay. But if the whole stock is solely managed by chongker, u would not want to invest in it.
30/01/2018 10:10 AM
ran777rpt Stock Alliance is here again to con. Beware. Before election he is trying to sell his stock to take his money
21/03/2018 3:49 PM
Faiza how come can offer ESOS up to 30% shares and at discount. Just reject esos
why not buy from the market
06/04/2018 3:24 PM
Lim Tek Wai What happened to this counter? :(
09/04/2018 4:11 PM
paris88 Major shareholders are selling. Such as high ESOS issue will diluted the share price. Sell NOW!!!!
11/04/2018 2:23 PM
Faiza simple, just reject the 30% esos
get them to buy from the market, its cheap cheap now
reject during egm
11/04/2018 3:04 PM
Faiza last one year was not performing, yet reward themselves with 30% esos, LOL
lets all together with institutional funds, reject their esos during egm
13/04/2018 5:14 PM
SAStockAlliance https://klse.i3investor.com/blogs/stockalliance/173909.jsp
Esceram by SA
13/09/2018 10:36 PM
commonsense 2Q19 marks another disappointing quarter for Es Ceramics shareholders with profit of only RM46k from a revenue of RM7.4mil. The profit margin squeeze since FY18 was mainly attributed to the increasing cost of LPG and raw materials which are not expected to come down anytime soon. Investors will need to be prepared for the company to continue posting mediocre results for the rest of FY19.

Even if the company managed to somehow deliver a profit of RM2mil in FY19 (average 3Q & 4Q results will need to be around RM750k per quarter), at the current share price, the company would already been valued at a high of 19x PE which is normally given to those companies with at least double digit profit growth.

If you are looking to diversify your portfolio outside of Es Ceramic (due to its earnings uncertainties and relatively high valuation) I would recommend you to look at MBMR.

MBMR is a direct proxy to Perodua via its 22.6% interest in the company. Valuation is cheap at only 6.9x PE (based on target FY18 profit of RM145mil. 9m profit is already RM106mil). PB is low at only 0.7x BV. 4Q18 results is expected to be higher than 3Q18 and last year's 4Q17.

FY19 growth will be driven by the still high demand of the new Myvi and the newly launched SUV Aruz and also the newly revamp Alza in 2H19. The recent announcement of closure and potential disposal of the loss-making alloy wheel manufacturing business alone is expected to boost the company’s profit by an additional RM20mil. I am projecting a profit to shareholder of RM170 mil for FY19 which at the current price values MBMR at only 5.9x PE.

Please go through the analyst reports (https://klse.i3investor.com/servlets/stk/pt/5983.jsp) and do your own analysis before making any decisions. There are 8 analysts in total covering the stock with most of them having a TP of above RM3 (all have a buy rating). The average TP for the 8 analysts is around RM3.50.

Good luck.
30/01/2019 3:39 AM
dhiazahra Post removed. Why?
30/01/2019 3:49 AM
commonsense Hi dhiazahra,

Actually Es Ceramics customers are mostly the gloves companies which means their sales are mostly focused on some big clients like Top Gloves, Supermaxx, Kossan and Hartalega. And smaller revenue might come from the smaller gloves manufacturer like Ruberexx.

Even though, the company might be the largest former gloves manufacturer in Malaysia in terms of capacity, they actually do not command a big percentage of the total market share as the industry is really segmented with a lot of other former gloves manufacturers like Ceramtec (German based company which has a subsidiary in Malaysia), Shinko Ceramic, Vaytec etc. The most premium of which the big gloves manufacturers are willing to pay are actually products from Ceramtec due to its perceived higher quality.

This might be the reason to why the company is not able to pass the increase cost of production to its customers hence the lower profit margins since FY18.

Regards.
30/01/2019 4:17 AM
chanph Suddenly big volume coming in after so long, something big coming?
06/04/2019 8:02 AM
G00Shen big volume and sink 8%. bad thing coming
06/04/2019 9:24 AM
chanph Hard to say, more like accumulation, qtr this month
06/04/2019 9:19 PM
BillyK More like cut loss
No point holdg to it if there is better choice
06/04/2019 9:25 PM


 

372  286  577  736 

ActiveGainersLosers
Top 10 Active Counters
 NameLastChange 
 MNC-PA 0.040.00 
 ARMADA 0.3150.00 
 KNM 0.395+0.015 
 VSOLAR 0.095-0.005 
 OPCOM 0.705+0.075 
 KNM-WB 0.1950.00 
 KOMARK 0.36+0.01 
 MNC-WA 0.0150.00 
 GPACKET-WB 0.2650.00 
 FPGROUP 0.405+0.02 

TOP ARTICLES

1. OPCOM (0035) OPTIMAL OPTIC COMPANY : THE SUPER-STOCK OF THE DIGITAL ECONOMY, Calvin Tan Research THE INVESTMENT APPROACH OF CALVIN TAN
2. Dayang: Investors' Dilemma - Koon Yew Yin Koon Yew Yin's Blog
3. What is the thing happen with Boustead and how do we capture the oppurtunity Stevent Hee
4. 《《 这只股走了一大轮,是什么原因导致这一路的上涨呢? 》》 StockBuddy
5. Mplus Market Pulse - 18 Sept 2019 M+ Online Research Articles
6. LONDON BISCUITS BERHAD - Slapped with Several Writ of Summons and Statement of Claim PublicInvest Research
7. 油价昨日彪涨,还能买入吗?By投资有理 投资有理·于你
8. 中东局势混乱国际油价是否会继续往上移?? 大马股市在油气(Oil & Gas)板块有没有较低风险的隐形黑马吗?(Part 2) Ten Ninety
Partners & Brokers