Oil palm trees are also entitled for holidays? o_o

"...palms entered into a resting phase" what does it mean by "entered into a resting phase"?

no reply yet..

Hi Pinky, I run a quick check, from 2011 to 2020, average difference is +3.1% but individual year difference could be very big, from -20.4% (2011) to 42.4% (2019).

Deduct the 20 sen to be received soon, if you buy at 3.81 it is like buying at 3.61 post dividend. Would you pay something that gives 20 sen div per year, annual EPS close to 40 sen with aggressive growth and net cash of above 80 sen per share (minus the 20 sen div) for 3.61? Maybe it is the most value for money of EMS stock in Malaysia at the moment.

Look at the white candle sticks before quarter report out, probably that explains why the price does not move as strong and fast today.

Relatively quiet...

This year AR a little bit late

Hi Supersing, I think utdplt is still better than petronm

Very happy

Hi LossAversion, I mean the one disclosed as "major customer" in the annual report.

Everything looks fine for me except the price of the forward sales / commodity future. Lets see the annual report that is soon to be released.

Hi Supersing, the stock doesn't know that you own it.

It is half by revenue. But could be far more than half in tonnage. Hmmm.....

Half of the CPO sold to related party... could this be the reason?

I'll be happy if proven wrong. But that's my worry until now.

The chances of price going too high is always greater than the chance going too low, I mean in long term. That's because the bottom of the price is somewhat limited by the production cost of the most competitive producers. If these two risks are given equal weights in forming the contract, the shareholders are going to loose big in long term.

I had a feeling the selling price won't go up substantially next quarter. I believe there's something wrong with the method of pricing in the commodity future....

Hi Ooi, I wrote already. No reply yet. That would be nice if anyone has asked and got a reply and is willing to share...

But I thing I couldn't understand. Why they continue to sign the contract at very low prices because I think they had months to do the correction since Jan 2021 and until Sep 2021 they are still selling CPO at around RM 3000. Is this incompetency of the management in this area?

Before this I was expecting 18 sen total dividend per year

Expecting 14 sen dividend annually plus 1 or 2 sen special dividend.

I guess 80 sen

Sales remain strong. Just that cost is high. The high cost will be soon transferred to the consumers.

We do not know how deep and how long the company is bound to the contract to sell the CPO at low prices.

Heavy trading today...

Hume is a seperate entity

Maybe because of considerable correction (reduce) of the gross margin to normal level of 12%+.

If Ajinomoto is priced at RM 15, HLIND should be priced about the same.

Hi zzprozaz, it is a good result as long as sales is more than 40,000 units. Anything above that is excellent. This is expected because lots of people trying to avoid the sst by buying before 1st Jan 2022. If every month can maintain 41,500 then annual EPS should be quite satisfactory.

Is FPI supplying anything to Flextronics Systems Penang?

The increase of minimum wages are always connected to very high exports. I believe government's faith and courage to increase the minimum wages mainly comes from the result of very good and sustainable export.

As a result, labor intensive and low productivity business will be flushed out over time. Service sector including restaurants and hotels will be more challenging. Leaders in the manufacturing sector that produces excellent products that help the productivity of the B40 and M40 (domestic and export) such as home appliances, motorcycles, furniture etc. will remain profitable and continue to enjoy growth because they are able to not only pass the cost to the customers but increases the price moderately as the purchasing power of the lower classes improve globally.

I'm expecting minimum 10 sen EPS for 2021 Q4

Hi Johnzhang, may I know where did you get this info
"FCPO average from Feb to Dec 2022 as at 7/2/2022 is $5,189"

To lure you selling

CPO heading to 6000

As for the number of workers, I don't have the info but I don't think 15k is the right number. The actual number could be A LOT smaller.

I believe HLIND (Hong Leong Yamaha) like many other companies that produces branded and quality products pay higher than minimum wages to retain skill and productivity. So the impact should be minimal. Also, raising of minimal income domestically means more B40 can afford motorcycles which is their favourite choice of transportation. Therefore I think the positive impact should be higher than the negative impact.

If I were FPI's customers, I would ask FPI to rush out more products to be shipped in 2nd half of Q1 2022 and Q2 2022, to secure the supply of goods. With so many travel restrictions, where can you enjoy your holidays? Use the air ticket money to buy some good audio to enjoy at home lah.

Hahaha. Maybe:
1. Majority of the people do not believe that
2. They have other information which make them believe otherwise
3. They would rather choose to verify this by themselve by viewing the next quarter report
As for me, I think FPI is still fine and picking up more orders.

I read from somewhere that Yamaha has been agressively increasing the number of motorcycle service centre in Malaysia but I couldn't recall the source of the information. Maybe someone else here could help.

"With growing demand for Yamaha's products, HLYM's capacity expansion plans were expedited to fulfil the piling orders and to meet the future growth of the business. Several new facilities have been installed and mass production commented in FY2021 to increase supply output. A new assembly line and inspection facility, equipped with the latest motorcycle evaluation technology, were installed to produce motorcycles of the highest quality." AR 2021.

Hi ZZProzaz, it is from people who works in this industry. I'm not sure what was the capacity utilisation prior to Covid 19 but I guess there has been some expansion done and in progress.

It is harmless with minimal cost especially when the earning is recovering. I think sales and profit in 2022 has a chance to outperform 2020, or achieving about the same.

Also, why would FPI invest and hold 22 hectare land just beside Wistron's factory?

But the order that Wistron gave to FPI in 2020 was not sikit-sikit. In addition, FPI's share valuation is not high, Wistron can buy the shares in the open market if she wants to rather than spending lots of money to build new plant. Could it be possible that Wistron is doing higher level assembly and this means FPI will be getting more contracted sub-assembly work?

If this trend continue there is a chance that goods to be shipped in 2022 may be touching the level of year 2020 or better.

Number of containers shipped has been increasing sharply in the past 3 months.

Hi Starship2, one more reason could be the declined of EPS in latest report QoQ. People are afraid that what happened on glove comoanies happens to plastic manufacturers. Maybe many of them are same group of investors who prefer to invest in cyclical stocks. For cyclical stock, you must learn when to run away. Unless the normal sales / demand is clear, they are very careful to put their money back to this stock.