Thank you very much wiki123 for the infor. That is why i would like to know the % of F&B users that will switch back to using vinyl. Is it significant and what % of sales will be affected?

Unless foreign funds start buying again,the share price for now will be flat.Baring any major development.

Wait for the foreign funds to return,they have just exited from Malaysia.

The report mention above stated that the sector core earning has contracted by 4% but it is better to look at the ringgit,rubber and fuel prices and ask,are they coming down or not. All the big 4 companies vary vastly in sizes and therefore efficiency and productivity are significantly different as well.
Flaw in using 5 year forward mean P.E. for Supermax because over the last 2 years Supermax has been trading at a discounted P.E.due to ceo court case.
Sales back log cleared by increased glove production and improved productivity due to new plants.
Price sensitive food and beverage customers accounted for how many % in terms of turnover,not specified by the above report. How significant? Not mention. When will they switch? Price of new vinyl glove compared to natural rubber glove difference,not mention.
Min.wage,have to wait until 1 trillion debts reduced to at least 500 billion,therefore not any time soon. Foreign workers to be reduced by 2m,the government is concentrating on illegal workers.Affect plantation stocks where it is labour intensive. Rubber glove companies are already using automation and reducing dependency on labour.
China new vinyl glove price,if it resume,will be at a higher price than before as new machines were introduced. Cannot and wrong to assume that price of China vinyl glove will remain the same as before the crack down by the Chinese government.

https://klse.i3investor.com/blogs/hwangdbs/159202.jsp

https://eresearchsystem.bursamalaysia.com/eResearch/webdownload.pub?id=20824

Stay calm pindan, you are contributing and providing a lot of infor. for Supermax investors. For us long term investors there is nothing to worry about. If you tell everyone to shut up,you will be talking to yourself here in this forum.

Who works during public holidays,a lot of down time. Have to compare working days,affect productivity.

In his personal capacity he may campaign for BN,donates to DAP,vote for PAS and holds Tun's hand now. It's a free country,Malaysia boleh lah. So long as Supermax profit and share price keep going up to the benefit of Supermax's investors,I shall not complain.

Chinese New Year,long holidays for Stantly & Co.

Chinese New Year,Federal Territory holidays in Feb, New Year and Thaipusam holidays in Jan. Unfair to compare 3qtr to 2qtr without taking into account all these holidays.

After stripping out the exchange loss,the reduction in revenue,compared to the 2nd.qtr.,was only 0.83%. Therefore,it is more or less the same as the last qtr. Oil price is going back down to 70 dollar,ringgit will remain weak.

Foreign currency loss was 6.052m.

Revenue less than last qtr. b'cos of the appreciation of the ringgit. Cannot complain,only 8.845m less than last qtr. Still very good results. Ringgit has depreciated after the election. I don't think the ringgit will appreciate any time soon.

By the end of this year EPS will be around 19.5. P.E. will be price oft the share divided by eps. Price of the share at the end of the accounting year 30.6.18,any suggestions. The question now is what should be the PE of Supermax,after answering this,you will have an idea what the share price will be.

PE now 20.83,so much lower than the other glove companies. The coming final qtr.4 should be much better than last year. Compared to the previous year profit,it looks like this year profit will increase by 80%,assuming net profit of 33.5m for the 4th qtr. Total net profit for this year being 132.7m. Last year profit was only 70.2m. Last year 4th qtr. net profit was affected by disallowed expenses bcos of the contact lens business. The future is bright for Supermax.

Revenue should be the same as last qtr.if not even higher as revenue of glove companies have increased. I don't see why this is not the case for Supermax. Tax paid would not be much higher than last qtr,if it is lower than last qtr, EPS of 5.5 can easily be achieved. Compared to previous year qtr, profit should be higher by around 35 to 40% assuming revenue is the same as last qtr. and profit margin of around 9%. At the present P.E.23.39,it is still a lot cheaper than the other 3 companies,Topglove,Harta and Kossan. Only a few days left before the qtr.result is out.Don't take my words for it,lets wait for the actual results. Highly anticipated by everyone.

T+3 today

The consumers do not have to pay the 6%.Products become 6% cheaper. Cost of doing business will come down by about 2 per cent. GST refunds take time to be refunded. Better cash flow for companies. That is the impact GST has on business.

GST 0% Next month.

Good results from Harta

My point is,it does not matter to him as to the price of the wa. He may well be buying up all the wa because it is a cheaper way to increase his holding in Osk. He will convert no matter what because Osk is very undervalue. He will never sell the wa.

What he said is not false in the AGM.but it will also increase his share holding in Osk as well. Can easily borrow from RHB IF not enough.Don't underestimate his financial standing.Chicken rice seller does not employ tax consultant,he has plenty of consultants working for him.

Paying 1.20 to convert half the wa that was issued to him is like buying 178,288,582 mother share in the open market. Total wa issued was 356,577,165. We know more than half belongs to him. I am using half as an example. WA zero but he will still convert. Pay 1.20 ringgit for something that is worth more than 2.00 ringgit, why not. The warrant was given to him free anyway.Just imagine buying 10m shares every trading day for at least 18 days. What do you think will happen to the mother share price.

I am GheeKong but using my nick nickname Highfive Bread. WA is of no value to everybody but him. A small premium to pay to gain more Osk's share because to him Osk is worth a lot more than the share price now. By converting the wa to the mother share,it is just the same as buying a lot of the mother share in the open market as it will also push the mother share price up. He will indeed pay a lot more for the mother share by buying directly in the open market. Osk is worth more than 2 ringgit to him you know. Don't believe me,you can try buying 10m of the mother share in the open market and see if you can just buy it without the share price moving up at all. So be careful. After the WA has expired,it will be a different story for Osk share price. As of now Osk is very undervalue.

Bought at 2.36 but sold at 2.92.but will buy again after the election. now wait first.

Agreed.. Bought at 2.36. Will hold.

As a long term investor,I am still sticking to Supermx.Revenue has increased for all the glove companies like Topglove,Harta,Kossan,Comfort and Rubberax. I expect 3qtr. net profit to increase by 40% or more,and 4qtr by more than 200%,at least,compared to last year. Revenue for the 3rd.and 4th.qtr. should be around the 330m mark. Net profit margin is normally around 9 to10 percent.Last year 3rd.qtr.revenue was 308.22m and the 4qtr. was 312.58m. Net profit was 19.75m and 8.34m respectively. Just have a look at the 1st.and 2nd.qtr. profit of 2018 and make your comparison. Took the opportunity to buy Supermx over the last few days,average buying price was 2.61. Will keep it until end of August,18. If you think that I am wrong,please let me know the reasons. I would like to know.

http://www.themalaymailonline.com/money/article/malaysias-rubber-glove-exports-to-hit-rm20b-by-2020

KC is being very cautious in his advice to newbies as they do not have the experience to jump into the deep end. The percentage of them succeeding in making money from borrowed money is slim. Didn't want anyone to be in debts, that is all. A lot of people can do it but of course there are those who cannot. At the end of the day be aware of your capabilities and your chances of succeeding. No one can stop you but be warned of the consequences of your failure. Think twice before you act.

Like OSK,if TA don't reward it's shareholders,the share price won't move at all. Hope TA management has much more consideration to it's shareholders than OSK.

Judge for yourself. I am a nobody.

KUALA LUMPUR: Kenanga Research maintained outperform on PIE Industrial Bhd
image: https://cdn.thestar.com.my/Themes/img/chart.png

with an unchanged target price of RM2.10, underpinned by better earnings visibility in 2018.

The research firm said the counter's undemanding valuation with price-earnings of 11.4x vis-a-vis its EMS peers' 14x price-earnings offers an attractive entry level.

It said the group's core net profit was impacted by forex exchange and high material costs despite achieving record revenue in FY17.

"For FY18/FY19, we have conservatively assumed RM3.90/USD as the new base case. Based on our sensitivity analysis, every 1% fluctuations in the USD from our new base case assumption of RM3.90/USD will impact Fwd. NP by c.2%.

"After a series of hiccups over the past few quarters, i.e. components shortages, limited labour resources, and client’s technical glitches on new system adoption alongside stringent impairment policy, the group is set to sail a smoother 2018 with the above issues now being resolved."

Kenanga Research said management noted that order visibility and hit rates are better due to the consistent delivery of good products quality and advanced manufacturing capabilities that appeal to customers with more advanced products.

The group is expected to secure voluminous contracts in the industrial printing and production as well as medical segment.

"As these two contracts involve more complicated manufacturing processes, we believe that the margins
should be higher and hence, should be able to help the group to weather through the weaker dollar (or stronger ringgit) environment.

"Based on our estimates, should these two contracts be secured timely mass production should be seen in 3Q18 onwards with full earnings contribution in FY19. All in, this should comfortably support our 2-year revenue/CNP CAGR of 17%/23%."


Read more at https://www.thestar.com.my/business/business-news/2018/03/06/kenanga-maintains-outperform-on-pie-industrial/#GGs5wKStoh7vB6WR.99

Sales revenue drop due to change in billing major customer. This customer change their payment policy.

Share split so 5 times 5cents = still 25cents

The above article was by Kenanga on 26/2/18.

While record-high sales were within expectations, CNP missed owing to weaker USD and high material prices, which led us to cut our FY18E CNP by 19%. That said, we remain hopeful on the group’s mid-term prospect, premised on the existing and new orders from MNC clients. We see better value proposition following the recent share price correction, with its forward PER only trading at 12.2x vis-à-vis its EMS peers’ 14.0x PER. Maintain OP with a lower TP of RM2.10.

Record-high revenue; but bottom-line impacted by broad-based dampeners. Despite record-high revenue in 4Q, the group’s CNP was not spared the adverse forex impact and high material costs. Note that the USD/MYR swing during the quarter was high, from RM4.23/USD to RM4.05/USD while raw materials (copper +7% QoQ and other components) were mostly purchased during the strong USD period. As a result, FY17 CNP only made up 74%/79% of our/consensus earnings estimates. Note that CNP has been adjusted for; (i) net addition of receivables impairment amounting to RM5.4m, (ii) net reversal of inventories written down of RM11.1m, and (iii) other immaterial items. Absence of DPS was expected in this quarter. The group typically declared dividends after 4Q results; which we believe the pay-out for FY17 will be maintained at least 40% and above.

YoY, FY17 revenue improved by 17% driven by its lion’s share manufacturing segment (+16%). While the strong quantum of growth can be partly attributed to the low base in FY16, one should take note that the absolute sales were at record high, thanks to the continuing orders loading (for both EMS activities & raw wire and cable products) from existing customers. While adjusted EBIT grew 19% on slight margin uptick of 1.3ppts from continuous yielding improvement, CNP grew only by 10% on higher effective tax rate of 24.3% (vs 21.1% in FY16). QoQ,

despite the higher loadings in 4Q17 which saw its revenue improving by 16% alongside the core EBIT improvement of 12%, while core NP dropped by 38% on much higher taxation of RM7.4m (vs. last quarter’s RM0.7m).

Resilient sales in FY18; however forex and raw material costs are not in favour. From our last meeting, management noted that the orders visibility and hit rates are better; with decent orders loadings (for both EMS activities + raw wire and cable products) grabbed from other global competitors. Meanwhile, two out of the four new projects, being the manufacturing of industrial electronics parts (OEM) and ODM project with a renowned MNC should continue to see traction. On the other hand for costing, nearly 85% revenue of the group is denoted in USD, with natural forex hedging from raw materials purchases (mainly in USD) which constitute about c.60% of total costs. Based on our sensitivity analysis, every 1% fluctuations in the USD and raw materials from our new base case assumption of RM3.90/USD (from previously RM4.10/USD) will impact our Fwd. NPs by c.2%. All in, as we believe the group faces difficulty in passing the overall cost hike to customers, we see cost pressure continuing to suppress profitability, leading us to cut our FY18E CNP by 19% despite minor changes on the sales drivers. We expect recovery in FY19E CNP (+18%) with the assumptions of new contracts being secured on similar margins assumption.

Maintain OUTPERFORM with a lower TP of RM2.10 (15.0x FY18E PER), from RM2.65. We see better value proposition following the overdone share price correction, with its Forward PER only trading at 12.2x, a 14% discount to its closest EMS peers which is trading at 14.0x PER. Moreover, the group also offers relatively higher NP margin, more advanced manufacturing capabilities as well as having strong parentage support from Foxconn Technology Group. Maintain OUTPERFORM.

Sorry Uptrending,started following Pie in 2007.

Started following Pie in 2009

Another thing is Pie has to pay gst up front too. That is the real business world,every thing is not according to the book. Unprofessional indeed. Agreed.

Uptrending,Pie has no choice but to bill the client according to the client payment policy. Pie has no choice as its own policy will account for impairment after a certain period. Yes,it is unprofessional.

PIE has to record sales revenue according to the major client's new payment policy,it cannot bookin sales as before as it will result in impairment cost again,if it were to do as before. Sales Revenue is a better indication of its performance. PBT has gone up even though sales has gone down by 10m but has to pay more in taxes. It will takes another qtr. for things to normalize . There is a 10% penalty for getting its tax payment wrong. A lot of investors don't know this. Tax planning is important in a business. I am not surprise if it has carried forward some sales to this qtr. As long as the next qtr. sales is good then I will not be complaining. PIE is targeting a Billion in sales revenue and I am waiting for this. This qtr. is a better indication of the company prospect. I will have a better judgement after this year as to carry on holding PIE shares or not.

Taken into account in this coming qtr. Tax planning. Paying too much tax already.

Supermax bought back a lot of shares. Where did all this cash comes from? Sales revenue.

Still holding 29k PIE. Was holding 40k but sold 11k at 2.30 to buy into Supermax at 2.00 ringgit. Bought 15k Supermax. Others are: Ambank bought at 4.32 but sold at 4.80 already last month. And Maybank bought at 9 but still keeping until 10.50 before considering selling.

It's like Manchester City losing 2-0 to Yeovil Town FC in the first half. It's not end of the game,wait for the second half. Or it's a 4 mile race and the favorite horse is the last one to come out of the box. It's just the beginning of the race. Long way to go. Trading short term is like asking me to fight the world heavy boxer,no way I can win. Wait for him to get old n sick then I can kick his butt. Fundamental triump in the long run.

You are correct,that is why I don't fight it. I am not smart enough to anyway.

Over the years I only invest in fundamentally sound companies and just wait. Ignoring the short term volatility. PIE is aiming to achieve 1billion in revenue and looking at their sales revenue over the past few years,it has steadily increased. Before the share split,when it was 2.70,donkey years ago,I started buying even when it was slowly moving down. Kept on buying at 2.60,2.50,2.40 and 2.30 until my remiser told me to stop chasing the share. Finally sold it at 4.36 b'cos I have to move to another country. But PIE share price steadily continue to move up. Bought MMSV back in 2015 when it was around 77 cents but MMSV drop back to around 55 cents after I have bought it. Did not panic and manage to sell MMSV at 1.80. It will take at least 2 years for the the good results to filter through to the share price. You cannot beat the speculators in the short run. PIE has invested in new plant n machinery,no debts,and sales n profits has increased if not for the small bleap last qtr. I look at a bigger picture over a longer time period. I am getting dividend from PIE every year so I just sit tight n wait. I am not smart enough to be a day or short term trader. It is just a waiting game when you have chosen a fundamentally good company. I am not advising anyone to buy PIE,do your own research. It is your money therefore the decision is yours to choose, to buy or not to buy or vice versa.

Bought at 2.30 but not panicking. Holding long term. At least hold until March,2019. maybe longer.

Profit was down b'cos of the impairment loss. If you were to add this back to the profit then it was up by another 11.2 mil. Which is very much higher than the same qtr. last year. Ceo told shareholders that the impairment loss will be recovered by year end. If it is not true then he is giving misleading information.