Sold 50k 1.04, still holding onto some hehe

Where u stay, roadside noodle and kopi 12.00?

All the worries and bad expectations over, only way is up from now..

Funny how after qtr report people come rushing in to comment(esp those never seen before), complaining why vs not shooting up. If you want to be rich overnight, try Genting casino, the stock market is for investors with a vision for the future..

KUALA LUMPUR: PublicInvest research has retained its trading buy call on VS Industry Bhd
image: https://cdn.thestar.com.my/Themes/img/chart.png

with an unchanged target price of RM1.10 in anticipation of further contract wins in the coming months.

VSI's weaker net profit of RM37.9mil in Q2FY19 brought net profit in 1HFY19 to RM77.8mil, which was broadly in line with the research house's and consensus numbers.


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The net profit included a RM2.4mil disposal of gain and a RM4.3mil foreign exchange gain.

Revenue for 2QFY19 came in at RM982.6mil underpinned by its Malaysian operations with Indoensia and China experiencing greatly diminished work orders.


"While the 7.3% sequential drop in its Malaysian-based revenue may well be seasonal, the decline warrants noting for signs of more pronounced structural weaknesses nonetheless, in line with previously-communicated softening in orders from certain key customers," said PublicInvest.

Moving forward to 2H, PublicInvest expects weaker numbers in line with previous expectations of a demand slowdown in its Malaysian operations.

However, the research house says there will be a pickup in FY20 onwards from recently secured work orders from Bissell, with a number of other new clients reportedly on the cards.

"Estimated annual contract size from its newly-secured customer, Bissell, could range between RM500m and RM1bn when fully up and running, with expected lifts to bottom line likely to be fairly promising," said PublicInvest.

"Capital expenditure requirements are not significant, with an estimated RM5m allocated for the installation of assembly lines."

PublicInvest noted that it remains wary of a lack of clarity on the group's relationship with an existing key customer, for which it does the full suite of EMS-related businesses despite having received additional orders for a particular product.

Read more at https://www.thestar.com.my/business/business-news/2019/03/27/publicinvest-maintains-trading-buy-on-vs-industry-tp-at-rm1pt10/#LIZ7zYZCBt9oPg5C.99

Exactly, very few companies in msia give warning ahead of decreased earnings. VS’s management is transparent and efficient, will go higher and higher

Exceeded my expectations.. Now I think last year VS price limit down due to profit warning is an overreaction. A lot of upside for Vs as it recovers

Wah lucky never sell at 1.04, very tempting. Tomorrow rocket, vs still profitable. Good counter. Plus dividend 1 sen is okay.

some ppl expect so much, bad qr aldy factored in lol. At most drop half or 1 sen before rocketing up

*sharks have entered the chat

Seeing the price patterns, looking like bad qr aldy factored in.

Hopefully vs filling up oil getting ready to takeoff~

idk why people taking kwap investments so seriously, they rugi most of the time

unclelimhuat we don’t need qr lah, we need contract announcement

According to the edge this week, insiders quoted “the worst is over” for karex, but there’s “a lack of investors confidence” since karex fell from RM3. Good news is: karex’s Gross Margins are still attractive at 40%. And karex is still the world’s largest condom manufacturer.

Karex is on its way to recovery. No doubt.

Possible end of day spike again? Hmm

Happy for u lol, if you can hold until contract announcement even btr.

Lighthizer, who had attended the Oval Office meetings, said negotiations had made some progress but noted that "a few very big hurdles" remained.

Small price correction, vs still has bright hope to earn contracts.

Nothing new, unclelimhuat “announcement soon” means next week ah?

Hi anonyme,
I didn't dare to get in at 0.63 last dec, I bgt at 0.8x. VS lost a big client, I'm aware of that. I know VS has great prospects in the long run, but it is a bit ambiguous for me to justify adding VS to my portfolio at 1.02/1.03 when contracts are not confirmed and I don't know how bad earnings deteriorated for the past quarter.

If qtr results drop double digits percentage I'll add more, won't buy now

A lot of sell pressure is due to VS lousy quarter, will drop a bit more when results out although already expected

Trump says China tariffs may stay for 'a substantial period of time'
By Jethro Mullen, CNN
Updated 12:10 AM EDT, Thu March 21, 2019

You know what that means

Southeast Asian manufacturers like VS are in SUPER GOOD position to benefit from US-China trade war as US manufacturers are relocating their plants out of China.

VS also confident of securing AT LEAST 2 new contracts, needless to say VS upcoming quarters are very optimistic.

My TP for VS is 1.20, nothing less than that.

Idw to reveal much but 0.44-0.46 is actually not bad of an entry price kikiki

collect enough already anot, train starting soon..

so many counters down today, just wait for rebound loh since gamblers all shaken up

This counter worth at least 1.20. As long as u buy below 1.00 you're okay

herd mentality gets u nowhere...

Highlights
V.S. Industry Bhd (VSI) has inked a three-year master supply agreement with Bissell International Trading Company B.V. to manufacture certain homecare products on a box-build basis. The contract also comes with an option to extend the deal in one year increments after the initial term.
Bissell is a well-known family-owned homecare solutions provider based in Michigan, U.S., which was established in 1876. Ranked as one of the leading brands in the homecare small appliances category, its homecare product portfolio include vacuums, sweepers, carpet-cleaning machines, steam and hard floor cleaners, pet cleaning products as well as cleaning formulas. Bissell’s products are also sold in various countries including North and South America, Europe, Middle East, Taiwan, Japan and China. Its manufacturing facilities, meanwhile, are located in Mexico and China.
As the first turnkey EMS supplier to Bissell in Southeast Asia, VSI is responsible for the manufacturing, assembly, packaging, labelling and testing of the products before it is exported to the latter in the U.S.
Although there is no fixed contract value, Bissell is expected to provide a rolling forecast containing the volume estimates (for about six-to-twelve months’ forward) to VSI. Subsequently, the actual contract sum will be determined based on a per order basis.
Prospects
As promised, the group has announced the entry of a new customer in the form of Bissell – a well-known homecare products manufacturer in the U.S. At the current juncture, turnover from Bissell is forecast at RM150.0 mln and RM700.0 mln in 2019 and 2020 respectively. The increased revenue is expected to cushion the lower revenue contribution from an existing customer amid weaker demand for selected home cleaning devices. Going forward, we are positive that VSI will receive more orders from Bissell to eventually reach RM1.0 bln in orders by 2021. Bottomline margins could also see improvements due to VSI‘s flexibility of as a turnkey supplier in sourcing more competitively-priced raw materials.

Over the near-term, however, we expect a weaker FY19, dragged down by high restructuring costs as the group restructures its business amid the significant slowdown in China and loss of orders from key customers.

VSIG (VSI’s China subsidiary) has issued a profit warning of a preliminary net loss up to RMB25.0 mln in 1HFY19 (vs. net profit RMB5.0 mln in 1HFY18). The solemn performance were mainly attributed to the significant drop in orders by about RMB160.0 mln and the deconsolidation of results from a disposed subsidiary in China, in-tandem with the disposal of the latter in December 2017.

However, not all is gloomy for the group as we foresee a gradual recovery from FY20 onwards, on the back of higher orders from existing and new customers looking to diversify their operations away from China due to inflated cost.

Valuation and Recommendation
We left our FY19 and FY20 forecast largely unchanged after taking into account weaker performance from China and increased orders from new (i.e.: Bissell) and existing customers to arrive at a net profit of RM135.9 mln (-2.0%) and RM161.7 mln (-0.4%) respectively, while revenue is expected to be at RM3.88 bln (+5.8%) and RM3.85 bln (- 2.5%) in FY19 and FY20 respectively.

WE REITERATE OUR BUY CALL FOR VSI WITH AN UNCHANGED TARGET PRICE OF RM1.20 BY ASCRIBING TO A UNCHANGED TARGET PER OF 16.0X TO ITS REVISED FY19 EPS OF 7.5 SEN, AS WE REMAIN SANGUINE ON VSI’S LONG-TERM GROWTH OUTLOOK, DESPITE THE MINOR STUMBLE LAST YEAR DUE TO THE UNEXPECTED LOSS OF ORDERS FROM A KEY ASSEMBLY CUSTOMER AS ITS PRODUCTS REACHED ITS PRODUCT CYCLE MATURITY.

THE TARGET PER REMAINS AT A PREMIUM TO ITS CLOSEST COMPETITOR, SKP RESOURCES BHD, MAINLY ON THE GROUP’S LEADING POSITION IN MALAYSIA’S EMS INDUSTRY THAT IS STRENGTHENED BY ITS WIDE ARRAY OF SUPPLY CHAIN SERVICES AND SOLID EARNINGS TRACK-RECORD.

Source: Mplus Research - 7 Mar 2019

SAPNRG's debt still gigantic, those banks happily dump their rights issue shares to you facts

uncle quietly collecting without you knowing LOL

SAPURA is an elephant, how can boom so easily. Take profit 1st lah

take profit first ;)