DNEX: EXPECTING TURBO IN NEXT QUARTER REPORT

A GLIMPSE

Annual Report 2016: The Group’s profit after taxes increased eight folds to RM132.2 million and posted 87 per cent growth in revenue at RM178.5 million. With zero gearing we have a stronger balance sheet with RM72.3 million cash in hand.

EXISTING JOB (Still Intact)

: Dagang Net Technologies Sdn Bhd (“Dagang Net”), was awarded with another two year extension until 24 September 2018 to exclusively operate the National Single Window (“NSW”) for Trade  facilitation System for the Royal Malaysian Customs Department.

: The NSW for Trade Facilitation, currently the main generator of revenue of the Group’s IT and e-Services division, is expected to be replaced by uCustoms where Dagang Net has been appointed as one of two service providers. In the year under review, key developments include the completion of design and development works of the Integration Module for ASEAN Single Window (“ASW”). DNeX, through Dagang Net also manages operations and maintenance of the Integration Module.

: DNeX is working with GeTS Asia Pte Ltd of Singapore and Tiffa Edi Services Co Ltd of Thailand in efforts to explore opportunities in cross border services for the transport and logistics community in the region.

: DNeX Oilfield Services Sdn Bhd (“DOSB”): In 2Q 2016, DNeX’s 80 per cent owned subsidiary, DOSB received a three year contract from PETRONAS Carigali Sdn Bhd for Umbrella Contract

: DNeX Petroleum Sdn Bhd,  In the second quarter 2016 (“2Q 2016”), DNeX through wholly-owned subsidiary company acquired a 30 per cent of enlarged issued share capital in Ping Petroleum Limited (“Ping”). Through the acquisition, DNeX has 15 per cent effective equity interest in producing Anasuria cluster, a fully operating oilfield in the North Sea, UK cluster for a total consideration of USD10.0 million. The Anasuria cluster is owned equally by Ping and Hibiscus Petroleum Berhad. Along with the completion of OGPC acquisition, the new Energy business is able to contribute a new stream of revenue to DNeX in addition to synergistic business within the Group.

: DNEX RFID Sdn Bhd:  Business-to-Consumer segment through its Global Halal Exchange (“GHX”) eMarketplace GHX has launched its physical outlet – GHX Showcase - as part of marketing efforts that combines both online and offline strategies to extend its reach to both customers and merchants.

: The introduction of MOVE, a new ride-hailing application for taxi available for customers looking for fixed fare and  reliable taxi service.

: The Group’s Cyber Security Services, which is ISO/IEC 27001 : 2013 Information Security Management System certified, continued to provide services to several financial institutions and agencies.

NEW CONTRACT FOR FIRST QUARTER 2017

: Januari 2017: DNeX Oilfield Services Sdn Bhd (“DOSB”) - managed to secure two work orders from the said contract (PETRONAS Carigali Sdn Bhd for Umbrella Contract for the Provision of Directional Drilling/Measurement While Drilling/Logging While Drilling Equipment and Services) worth about RM7.3 million.

: February 2017: DNeX, through subsidiary company MyCall Gateway Sdn Bhd, has been appointed as the Service Provider for the provision of eWork Permit System to provide consultancy, advice and services as the Technology Partner and Solution Provider for the rehiring programme of illegal foreign workers involving foreign workers without permits from 15 countries under the purview of the Ministry of Home Affairs of Malaysia.

: DNeX RFID Sdn Bhd has been awarded two total subcontracts:

i. the first being the entire works to implement the Vehicle Entry Permit (“VEP”) and Road Charges (“RC”) System Project, Worth about RM45.2 million, the first subcontract involves the supply and installation of relevant IT and non-IT hardware, application system development, software as well as networking.

ii. second being the total subcontract to operate and manage the VEP and RC System Project. worth RM104.3 million, is for DNeX RFID to operate and manage the VEP and RC System Project for a total of five years.

Both project involving foreign-registered vehicles entering Malaysia via Johor namely Kompleks Sultan Abu Bakar in Tanjung Kupang and Bangunan Sultan Iskandar in Johor Baru.

!!!HOT FROM OVEN AND PROMISING FUTURE!!

: 27 April 2017: Ping Petroleum Limited, Dnex's Associate Company Receives Approval received approval from the Oil and Gas Authority of the United Kingdom For Farm Out Agreement.

Under the farm out agreement, Ping UK that is currently co-operating the Anasuria cluster of producing fields in the UK sector of the North Sea, will farm in and co-invest with Summit in two oil and gas assets located in the UK Central North Sea (“Project”). Ping UK will have a 50 per cent working interest in the Avalon oilfield development located at licence area 21/6b. Ping UK will also participate with a 20 per cent working interest in the Ranger exploration well located at licence area 15/16d.

: Previously DNeX was working with GeTS Asia Pte Ltd of Singapore and Tiffa Edi Services Co Ltd of Thailand in efforts to explore opportunities in cross border services for the transport and logistics community in the region.

Now its become crystal clear and fruitfull because Vehicle Entry Permit (“VEP”) and Road Charges (“RC”) System Project for Vehicles from Thailand will be implemented and subjected to the road charge (RC) soon after the cabinet approved the payment collection such as the one being implemented at the Malaysia-Singapore border. Transport Minister Liow Tiong Lai said negotiations were being carried out with the relevant parties, particularly the Finance Ministry and the government of states that are the gateway to Thailand, namely Perlis, Kedah, Perak and Kelantan. The fee to be imposed will be RM20. For every state that collects from their borders, we will return RM5 to the state government concerned such as practised in Johor.

Based on track record, crude oil above than USD40 and future earnings..im expecting turbo in the next quarter report 2017.

Ur money..u choose

Source:

http://dnex.listedcompany.com/newsroom.html

http://www.theedgemarkets.com