investoroem. my mistake in QR announcement...Hope it GP returns to 14% level...

Profit dropped is within expectation....Its margin will improve in next quarter.

MAsteel is the limelight among the steel counters after proving sustainable profit margin and revenue growth...

Risk is getting higher for Ssteel after going through Anjoo & MAsteel GP....delay in QR announcement...@@

Where are those smart people keep talking bad of this counter?...lol

lostwayinvestor. Puncak cannot survive in long term without Triplc.....Where got so much money to pay director fee more than 25 million a year.

If this is the case then we have to keep all our money in FD. lol

The company keeps selling its treasury shares in small quantity for what....err

Hang Seng index up from 26k to 29k points from 1 July until now. Logically, N2N Hong Kong subsidiary would be doing well unless they are unable to sustain their clients level.

lostwayinvestor. Good to buy on dip for this cash cow generating earnings from the CA at low forward PER.

Bleak prospect in near term due to appreciation of input costs....wait for another 2 QR announcement.

Not that bad...price is recovering before announcing QR.

Bought some due to low PER. Somemore, its concessions asset has started contributing sizable profit in coming quarters.

VenFx bro. I won't be here if the company doesn't has a potential (base on my bias view) to deliver a better QR. We are in the same boat. lol.

Expect to post better QR in the absent of ESOS expenses RM 4.4 million suffered last year.

Expect to deliver better QR besides exchange gain about RM 2 million due to weakness of USD against RM by 1.7%.

Nobody care about CIT.....so much fun enjoying the rally. It seems that grace period has been ended and going to reflect in this QR announcement. HY was probably enjoying balance of unabsorbed tax losses RM 1.1 billion in year 2014. Anyway, PER is not that high after taken into account CIT. lol

JayC Why no tax?
11/11/2017 22:53

Expect Canone, KianJoo and Johortin would be encountering similar shrinking margin in their operations unless the have other profitable divisions to cover the shortfall.

It's a norm for canning industry facing margin shrinking while steel prices heading north. However, it's a good buy when the prices of steel dropping cause they just keep quiet or share the lower cost with customers at slower pace.

Expect margin squeezing in next 2 quarters. It’s not easy to fully pass the higher input costs to their big customers...CanOne, KianJoo, Johortin, Vina...

Opportunity to buy while looking forward better earnings for next 2 quarters. This is the cheapest counter in poultry Industry in term of PER.

Fully agreed. No easy way out during the learning stage until barriers are broken then you can relax.....lol

Posted by KLCI King > Oct 10, 2017 04:44 PM | Report Abuse

Re-invention, think ahead & always adapt to the new changes, this is the only way to be relevant and therefore making money.

Talk is easy, do is alway tough, OTB is doing very good in business.

Winners are those fought hard & losers are those taking easy ways out

Thanks leoting in supplying additional information of Alliance Steel....would be joining rebar market next year.

You see OTB is still doing good business as a Remiser. There’s a huge difference between Professional and Amateur. Lol

The QR announced was merely an Unaudited Accounts. Normally, the management would consult the opinion of the external auditor before making a formal announcement QR to the public. Next 2 months is a the crucial period for Hiaptek before publishing Annual Report 2017. Better pray the QR has been 'approved' by the auditor before it was released yesterday. We are not sure why impairment (RM 392 million loan to JV ) is not fully reflected in the final quarter since the Eastern Steel operation was halt more than one year.
If nothing happen after releasing AR 2017 then we can enjoy the party for next 10 months....waiting HaipTek management to work with new partner to restart production of Eastern Steel... lolz

Professor. Please ignore my words. I am just a farmer passing by Hiaptek....lolz

Investor9999. You are right. Total outstanding amount of debt due by JV not less than RM 392 million as at 31 Jul 2017...I didn't notice until you pointed out the Current Trade Receivable in AR 2016.



Investor 9999 Company based on 2016 Annual Report has an advance of RM 279.6 mil as long term loan to Eastern Steel Sdn Bhd (its joint control investment) and another RM 247.3 mil sitting in current debtors. The 2 advances total RM527 mil.

There is no way Eastern Steel has paid a single sen given it is having going concern financial position. No provision or impairment of theses advance had been made at 31 July 2016 audited account. Worst still continue charging interest income of RM29 mil still being recognised

Question we need to ask is how much of both the advances had been impaired or need not impaire going forward if on liquidation it is not sufficiently back up by asset.

From Q4 17 report, based on my analysis, out of the long term advance of RM279 mil to Eastern Steel, as at 31 July balance o/s is RM 91 mil. Probably different of RM188 mil must had been impaired causing the share of losses of equity of investee company to ballon to RM 205.3 million loss (2016 loss was RM 99 mil) . Is the balance of RM 91 mil collectable???? We need to ask???

How about the current debtors of RM247.3 mil outstanding from Easter Steel from 31 July 2016 reported in the 2016 Annual Report. Has Hiaptek make provision for impairment???, I am sure non as I cannot see any impairment from Q4 2017 Report.

Thus there is total outstanding of RM 338 mil owing by Easter Steel still in doubt.

Worst still, as Hiaptek continue charging interest to eastern Steel for FY 2017 of RM 29 million (FY 2016 RM24.2 mil) as this income reduce the loss by RM 29 mil knowingly it cannot correct.

BE CAREFUL OF MORE IMPAIRMENT TO COME AFTER THE AUDIT FOR 2017

Maybe David Lim who wrote a coverage on Hiaptek can enlighthen us further
29/09/2017 09:57

Balance amount of debt due by Eastern Steel to Hiaptek is much more than RM 91 million. If I am not mistaken, the outstanding due by JV is RM 392 million. Better pray for Eastern Steel to resume operation without delay....

Investment in JV - RM 55 million (AR 2016)
+ Non Current Trade Receivable due by JV - RM 280 million (AR 2016)
+ Current Trade Receivable due by JV - RM 247 million (AR 2016)
= Total due by JV - RM 582 million ( as at 31 Jul 2016)
+ Advance to JV during FY 2017 - RM 55 million
- Payment of Interest from JV - RM 29 million
- Impairment provided in FY 2017 - RM 215 million
= Final Outstanding balance due by JV - RM 392 million (as at 31 Jul 2017)

Hiaptek may have to make another impairment of RM 91 million if the company is unable to resume operations of Eastern Steel by end of FY 2018.

Mycron....Not much hope unless our government imposes anti dumping on importing stainless products that are currently competing with Mycron.....pending investigation results by the government.

Hiaptek received about RM 7 million plus Financial Income from Jointly Controlled Entity each quarter for the past 12 months. This amount should be excluded in computing EPS sincere Eastern Steel is obviously unable to pay cash
in settling with Hiaptek. It is merely an accounting entry in charging interest received for the loan. Somemore, Hiaptek keeps pumping money into Eastern Steel quarterly as we can see in the cash flow statements.

The remaining RM 91 million should be written off completely to avoid any impairment shocking investors in future.

Tangling of investment in JV amounting to RM 91 million. I thought the company would have fully impaired its investment JV this quarter. What a pity!

Apparently, Najib is portrayed as a laughing stock in the world by offering such a promise to a biggest develop country. He knew this would had happened before announcing his promises. He doesn't care much....what important is he knows what he wanted from US in return for a short and mid term. As said before, dont under estimate our PM's ability and his mentality as a politician. Lolz

I'm nothing but a small potato. Why I have care who am I in the eyes of others since I don't depend on them to make money in KLSE ...lolz ...

It's simply too easy to engage a service at small cost to do diligent test....but some are happily willing to be an innocent or ignorance and believing in sweet words....haha

Power power......Better check their latest site physical construction progress before punting lor....You don't have fly to Hanoi and take cab to Hai Duong to check personally nowadays. It's so easy now.....to make some new friends in Facebook station in Hai Duong. Get them to help taking some pictures and pay them a little fees for kopi.....lolz

That's the way to manipulate returns by telling the whole world later that he is a god in punting..lol

It's certainly that Impairment Losses in portfolio has been provided before getting such a low average purchase prices as stated now.

Nothing wrong for people to worship of past track records.....errrr....What's the track records for Jaks in power plant business?

Check the pictures snapped on 22 Jul 17 and google earth of the power plant site under
Nhà Máy Nhiệt Điện Hải Dương .....you would know the progrsss. How many years to go to complete the construction?....lol

LTA has presented basically in layman term. Layman don't need to know accounting jargon to understand the Balance sheet and Cash ie... Gearing ratio, Quick ratio... lolz

It's a digital society now. We are not living in the cave like what had happened in 80s and 90s.. Don't think people are so gullible nowadays (except involving in ponzy game business). People are able to scout for plenty of information on internet before making a decision.

Making money in the stock market is the 2nd priority for the Oldman. He thinks he can make money without Bee. KoonBee KooBee.....without Bee, oldman is nothing more than having plenty of money donate back to market....lol

I believe the management would be able to deliver what they have promised judging from the past track records for the last few years.

Turnover
2017 - 537m
2016 - 620m
2015 - 452m
2014 - 453m
2013 - 383m

PBT
2017 - 55m
2016 - 63m
2015 - 40m
2014 - 32m
2013 - 20m

leekh5555. Thanks for the updated information.

Not that bad for buying a company at price RM 7.4 which is able to generate net profit RM 100 million per year...future PER 7.4x only so not really high. lolz

Big talk. Lol....the company spent RM 90 million for new machinery in last 6 months. Double digits growth is on track while fulfilling 3.5 billion orders secured.

It depends how far you want to see its future potential. I believe double digit revenue growth will be kicking in 1st Qtr 2018. Right now, I just close my eyes...ignoring temporary up and down of the share prices.

The results was somewhat out of market expectation after delivering a stagnant EPS. In fact, the company has delivered higher PBT 2.4m compared to corresponding quarter of the preceding year. PAT remained was due to higher tax incurred 3.5m. Bear in mind, No additional revenue is generated from the new plant since the new machinery has not started putting into operation. On top of that, reinvestment allowance of new machines is not recognized until now. I would expect the company would enjoy much lower taxation as tax incentive kicking in. Bottom line will be improving starting next quarter given higher margin of the products, reinvestment allowance couple with additional revenue and profit from the new plant. Opportunity to accumulate more at this time....

GP Margin
30 Jun 17 - 19.0m (14.2%)
31 Mar 17 - 27.0m (17.3%)
31 Dec 16 - 21.5m (16.2%)
30 Sep 16 - 15.1m (12.4%)
30 Jun 16 - 15.7m (12.3%)
31 Mar 16 - 23.1m (14.3%)

PBT
30 Jun 17 - 13.2m
31 Mar 17 - 21.4m
31 Dec 16 - 15.2m
30 Sep 16 - 7.9m
30 Jun 16 - 10.8m
31 Mar 16 - 17.9m

Turnover
30 Jun 17 - 133m
31 Mar 17 - 156m
31 Dec 16 - 133m
30 Sep 16 - 122m
30 Jun 16 - 127m
31 Mar 16 - 162m

The company has been doing quite well but the bosses are very cunning....