Based on the financial statements for 31.12.2019, the Group cash and bank balance stood at RM383.16 mil whereas total issue shares is 477,474,000 shares. Current share price of RM0.420. Hence, total market capitalization RM200.5 mil.
That mean, even with cash and bank balance higher then the market capitalization.
A good case study for potential investors

https://www.theedgemarkets.com/article/govt-continue-megaprojects-do-not-require-additional-funding-says-muhyiddin?type=malaysia

https://www.theedgemarkets.com/article/govt-continue-megaprojects-do-not-require-additional-funding-says-muhyiddin?type=malaysia

The prior year written off via Profit and Loss will be reverse in coming Quarters which will likely to contribute positively to the results.
The written back will not effect cash flow but increase value of the group assets directly or indirectly.
Hence , a good case study for coming period

The prior year written off via P

Mudajaya impairment for the previous year which highly likely to be reverse in coming Quarter(s) in view of commencement of sales of power to Uttar Pradesh Power Corp Ltd.
The prior year written off is via P

With recent awarded contracts in ECRL and Ho Hup (RM102 mil) Gadang (RM81 mil) and Gabungan AQRS (RM37 mil) benefited from the award.
Which is the likely group that will benefit from ECRL next awards ? Not many Companies listed on Bursa Malaysia which involved in rail cum / or construction sector. Search shown that prominent names such Ekovest (infra cum construction), Mudajaya, Gamuda, Ikhmas Jaya, Crest builder, WCE, Econ pile, IJM and Jaks and etc might be possible candidates.
Timely to study on above counters to reenergize investment portfolio after recent Health care stock and banking stocks run

Based on result announced on 28.02.2020 for Q4, 2020 (Financial year ended 31.12.2019), the group cash and bank balance stood at RM11.6 mil which represents approx 10.6% with consistent dividend paid for the last two financial years ( that is 31.12.2018 and 31.12.2019) at RM0.01 sen per share.
The average revenue per year under review was above RM85 mil generated and improved margin from 7.13% to 7.95% ( YE 31.12.2018 against 31.12.2019.
With Covid 19 became imminent and part of society issues to deal with, hence those group that related to Medical supplies and manufacture will highly likely benefit from the outbreak in term of revenue and profit bearing in mind that once break even point achieved for company, the margin will likely to be handsomely rewarded in term of higher margin and absolute amount in term of profit after tax.
With this background set, the group profit for Q 1, 2020 and beyond is likely to be bright.
Right time To study on the Group.

With cash stood at RM13.3 mil over total assets of RM69.5 mil which represents approximately 19%, hence considering a cash rich group. Cash flow generated from operating activities turnaround from negative RM(0.029) mil to positive contribution of RM2.893 mil.
With the secured of two contracts announced by the company which going to contribute positively towards Quarter 4, 2020 amounting to RM6.5 mil (25.03.2020) and RM7.0 mil (07.04.2020).
With Q4, 2019 revenue stood at RM8.8 mil with losses of RM(3.1 ) mil compared to current Q4, 2020 yet to be announced (01.02.2020 to 30.04.2020) but at the peak of Covid 19 with high demand on Health care products, Hence high expectation in the group result especial the group supplies related to Health products namely PPE.
Further monitoring on the group is warranted for further evaluations.

Another area to consider is the Singapore - KL high speed rail estimated to cost RM68 billion with 60 civil works packages and more than 5000 subcontract packages will benefit construction counters which coincidentally Mudajaya vested with tremendous experience in the area with their former involvement in MRT3 and LRT3.
All this give good indication to go details analysis and evaluations on the counter for coming period to come

With news release today (28.05.2020) on Ministry to offer 1000 MW solar Quota under LSS@MenTARI programme which set the maximum bidding capacity from each developer at 50 MW which give more opportunity for industry players to participate in bidding process and each developer can make maximum 3 bids.
With the above, not many Public Listed Company have experience in the area of Solar Renewal energy and Mudajaya fall nicely in the categories. Hence highly likely to participate in the upcoming bidding considering Mudajaya expertise in the area.
Hence, high time to evaluate the counter

If look further on the Condensed Consolidated Statement of Cash Flow for Q1, 2020, the group had generated RM67.2 mil in Q1, 2020 compared to RM14.7 mil in Q1, 2019 from Cash flow from Operating Activities. This shown that the group will likely to generated even higher cash flow from operating activities in the following few Quarters considering the Renewal energy of 49 MW solar photovoltaic (PV) power plant in Perak and 10 MW PV plant in Pahang continue given full contribution in Quarters to come and no further drain from RKM in coming quarter but likely to generate Income instead as the sales of power already being sealed with Buyer.

With the losses narrowed as mention by Punter123 which is from (RM41.6) mil (loss for the period on Q1, 2019) Vs (RM5.5) mil ( loss for period on Q1, 2020). Major contributor to the current Quarter was due to Foreign Exchange Loss of RM(11.4) mil. This mainly due to EMTN USD $40 mil and term loan in USD $70 which is mark to current exchange rates which ringgit anticipate highly unlikely to have depreciated further. Hence, the exchange losses translation highly unlikely to recurred as crude oil prices relatively higher compared to volatile situation in March and April 2020.
If not because of Forex losses, the group would have profit before Tax of RM5.9 mil.

For Mudajaya if look back the history in particular power plant has been haunting the group since inception and causing the price to depress.
With the power already being supplied to Uttah Pradesh Power Corp Ltd and further research on i3 comments shown that in July 2014 by a reputable investors if all go well it will generate “... 26% in the joint venture and its estimated profit is about RM70 mil per year for 25 years which all investors have been waiting for”
Since power supplies just being started, further assume only 20% of figure mention earlier, the profitability for the group for current year will likely be good.
Study of this counter is timely.

Based on T3 (18.05.2020) volume due today was 11.6 mil shares and til now the volume only 2.5 mil shares which shown the volume shrinking at 3.5 times with price range between RM0.315 to Rm0.320. Hence, can look from the point of accumulation took place at this level.

Based on histogram bar, the bar enter the 9 days of Red zone. Under majority circumstances and there will be likely to be a green bar. (Market norm in the past shown 4 Red histogram bar will normally return with at least 1 green histogram bar and / or with continuation of green Histogram bar). Hence with current 9 red histogram bar it is relatively good opportunity to look into this counter.

With the volume shrinking to 4.2 mil shares transacted today, it seem like accumulation being done at this level of price. In normal circumstances, potential share like Mudajaya to move forward, it need to move slowly at earlier stage. Once it break the resistance level, it will move upward at leaps and bounds and potential investors have to pay higher price for their investment.
Hence to look at Mudajaya at this juncture is consider a low risk (low Beta).
With the potential good news from it long awaited power plant impairment write back (as power already supplied to Uttah Pradesh Power corporation) and expected to generate handsome profit from power sales. Furthermore, With possible benefit from Malaysia - Singapore high speed rail restart the outlook look positive.

If look compared IFCA and Mudajaya from Pre-Covid 19 which price of IFCA was RM0.440 on 22.01..2020 and retract to low of RM0.170 on 19.05.2020 at the peak of Covid 19 with Dow Jones also badly effected)
For IFCA it had move to RM0.370 at the moment which is 84% compared to Mudajaya which is only 56%.( if compared with other counters which in similar situation ). Hence it is good chance for investors to look into Mudajaya which present a good opportunity to look into it

Health care stock like Adventa has a good prospect as dividend yield also good at 7% and PE of 7 is very low with outlook under new norm which is COVID 19 will result good prospect in particular the profitability of the company

Analyze on weekly or monthly chat of this counter shown that the price was at high of RM0.555 or 0.545 on 21.01.2020 (before CNY and Pre COVID 19) and it retrace to low of RM0.175 on 19.03.2020 (at the peak of COVID19 with Dow Jones also badly effected)
Since then it set the base higher and higher level each month end that is RM0.22 on 31.03.2020 and RM0.305 on 30.04.2020.
Current share price at RM0.315 creat a good possibility to look into this counter as it’s only 56% of it pre covid 19 price and likely to set the month end (which is around the corner) higher and higher compared to previous month based on March and April 2020 month end price movement.

https://www.theedgemarkets.com/article/ecrls-section-association-wants-govt-give-priority-bumiputera-local-contractors?type=malaysia

With Jerry Kuo emerged as major shareholder in Nov, 2019 with 27.52% at average price of RM0.3866 per share.
Mr. Jerry Kuo has managed to turn around all the companies he bought into without any exception so far according to report dated 25.11.2020.
He has vast experience in Shipping, logistics, departmental stores, hospitality, financial services and real estate development and latest is construction which is the missing link in his portfolio of industry (Mudajaya fit nicely in).
He would make like to make Mudajaya Great again and restore it to it former glory.
With the synergy created from his portfolio of company Mudajaya will likely on collaboration contract regionally in particular waste and renewable energy.
This will make Mudajaya good investment for small investors with great backing from substantially shareholder

With the power sales, reversal of impairment is a matter of timing ( based on report approximately RM185 mil) and likely in 2020 especially in Q1 2020 or Q2, 2020 for the 900 MW which being ink in Feb 2020 as the projection for the project will be positive in particular profitability and cash flow for short to medium term as well as long term.

As mention in in earlier chatting on segment reporting in Note 8 on construction contract segment which shown segment achieve Profit after Tax of RM7.6 mil for Q4, 2019 whereas in Q4, 2018 Loss after Tax of RM(22.8) mil. If this is not indicative turnaround, what else ?
As investors in Bursa Malaysia certain level of risk need to consider in order to have appropriate return. (Risk and return theory)
Furthermore, majority of companies listed on Bursa their price was based on future prospect provided the past not that detriment to company.
In Mudajaya case, the Power Generated already being supplied to Uttah Pradesh Power Corporation.

Just chatting on Tax issues, if there is any tax evasion issues under S140 Income Tax Act, 1967, the time limit Given to Director General is virtually huge and time frame can exceed statute bar of 5 years under S91(3) of Income Tax Act ( kindly read details) in order to close tax file for that reasons is unlikely as need to have proper justification to IRB. Furthermore, Tax refund amount RM14.1 is considered relatively huge in this circumstance. Seem highly unlikely have tax issue(s) on the subject under this circumstance.

In the segment reporting note 8, the segment in the construction contract on Q4, 2018 was RM4 mil and whereas Q4, 2019 was RM11.5 mil. How can the total income tax expense of RM11.5 (for Construction contract) or RM12.9 mil (for all sectors) due to tax audit ?
Further in the same segment reporting, construction contract segment achieved profit after tax of RM7.6 mil in Q4, 2019 whereas in Q4, 2018 Loss after tax of (RM22.8)mil. This indicate a turnaround of the company in Q4, 2019

Based on Note 18, the tax required to paid to IRB is for YA 2012 and 2013 was likely due to Composite assessment . Furthermore, in the cash flow, tax refunded amounting to RM14.1 mil.
With tax refunded, do you think likely any tax issues ?

In Nov 2019, Jerry Kuo (Taiwanese Business Tycoon) emerged as major shareholder of Mudajaya (27.52%) and acquired the block at RM0.3866.
Mr. Jerry Kuo is known to be able to turn around all the companies he bought just to name one First Steamship Co Ltd. (share price double in Span of two years and managed to settled the company bank loan of US$300 mil )
He is also chairman of a few Taiwanese listed companies such as Grand Ocean Retail Group Ltd, Taiwan Environmental Scientific Co Ltd and Director of Hong Kong stock Exchange Listed satellite television producer Sandmartin International Holdings Ltd.
with so many companies in various area, it will create synergies for Mudajaya and this is also his first venture into South East Asia.

With Covid 19 still ongoing, expect Health sector continues to have good prospect especially cash position of this company stood at approx RM0.260 per share and strong balance sheet as well as good profit and dividend yield of 7%

Seem like overall outlook of this counter is good with 3 positive news that is possibility of revive of Malaysia to Singapore high speed rail restart and possibly write back of Impairment to total of exceeding few hundred mil (if based on financial statements 39.5 mil for 2019 and 145.5 mil in 2018 totaling to RM185 mil).
The group started to pay tax at the last financial year ended 31.12.2019 which mean the group turnaround from loss to profit. Likely in Quarter 1, 2020 as income from various stream for the Group will likely to materialized.

Based on article, the Indian associate company had inked and supply power to Uttah Pradesh Power Corp Ltd from the coal power plant. With the sales, the associate will derived income and with that income stream, the impairment previously carried out will likely be reverse according to international accounting standard as the projection of cash flow from the project is way beyond positive in this scenario.
With Impairment write back huge amount, the group will have good prospect

Health care counters still on limelight, this counter with low PE, good profitability on full year result and good dividend yield. The Group balance sheet is clean and cash and cash equivalents of RM40.1 mil (approx 40% of total assets) which consider cash rich. Consider good counter.

With Sin Chew Daily today news stated the possibility of Malaysia-Singapore high speed rail restart, this might boost construction counters like Mudajaya

If margin of 20% profit will be RM17.6 mil. This is consider good prospect for the group profitability outlook.
Furthermore, with Dato as chairman of the group and his know how and connection in business world, the group seem like having a good prospect in securing more projects in the near term.
Investors can look into this counter as their portfolio.

In January 2020, Minetec announced it has secured upgrade work for Cheras Kajang Expressway with contract sum of approx RM28 mil.
Subsequently in April , 2020, the group being awarded contract on pipeline laying Project In Hulu Grik in Perak. If assumed estimate base on KKB the piping standard of contract of around rm50 mil to RM100 mil and further assume the piping project for Minetec at low end of rm30 mil.
With current school project of RM30 mil and Cheras Kajang expressway upgrade for RM28 mil and assume pipeline laying project of RM30 mil. This resulted in RM88 mil total value of contract secured in 5 months.
Based on profit margin of 15% to 20%, profit derived will be RM13.2 mil (15% margin )

The volume for today trade approximately 6.2 mil shares compared to T3 volume of 60.6 mil dated 12.05.2020. This is merely 11% of T3 volume and with this level of volume shrinking seem like accumulation has take place.

With the company Profit before Tax of RM23.3 mil and PE ratio of 7 as at 31.12.2020 and cash and cash equivalent of RM40.1 mil which is approximately 40% of Total Assets and dividend yield of 7% as well as related to COVID 19 stock which is glove industry. Investors consideration to include in their portfolio for this counter as other in the industry was with very high PE compared to this group

With KPower awarded Nepal hydropower plant job for RM208 mil on 14.05.2020 and SCIB expect to secure contracts from serbadk about RM550 mil for Malaysia and RM820 mil for Middle East covering period May 2020 to May 2023 based on 20.04.2020.
With huge projects in hand in Serbadk, will Minetec benefit from it as Dato Awang is also Co-founder of Sebadk ?

For the Glove industry, Adventa is extremely Low PE of 7 compared others such as comfort (41), carpels (85), ruberex (45), Topglov (68) and Harta (75). With current Covid 19 situation, this counter is another that would suitable for investors to look into as their short to medium term investment. Furthermore, dividend yield of RM0.07 per share which represent around 7% is considered good for this small cap stock.

With the group service concession assets stood at RM318.8 mil and Total Non Current Assets of RM476.3 mil (represents 67% of Total Non Current Assets ) and Current Assets of RM851.5 mil ( cash and cash equivalent of RM301.8 mil represents 35% of current assets) and total assets of RM1,327.8 mil. As the industry Mudajaya in, required huge capital outlay and anticipate sales of power for it 550 MW to PT India which will generate substantial income.
Hence, previous impairment on financial Assets of RM28 mil and impairment loss of investment In associate of RM39.5 mil for 2019 and 145.5 mil in 2018 will lightly be reversed in 2020 possibly in Q1 which will give positive impact to the group. Furthermore, the paid up capital of 605.4 mil shares, this will give handsome reversal to NTA of the Group.

For the Tax expenses of RM12.9 mil if u look at note18 income tax expense of the Quarter 4 announcement, the note stated that it resulted from subsidiary imposed by Inland revenue board in relation to year of assessment 2012 and 2013 (likely due to additional assessment via composite assessment) which result it corporate tax above statutory rate of 24%.
This further shown via group cash flow that tax paid only RM4.85 mil and tax refunded RM14.1 mil.
Hence, on positive note that the group highly unlikely got any major tax issue from that particular subsidiary.
With paying tax position that can interpreted the company has turnaround and good candidate for investing in this counter

The the bottom of Crude Oil Price adjusted higher each time and currently stay above USD$27 per barrel. Production cut by OPEC plus which expect to exceed level of demand shrinking will cause stock level to continue to decrease over next few weeks. This will push the price to a level closer to USD$30 per barrel I the near term and allow most oil major to have comfortable price range. Hence Uzma being oil related counter expect to perform well as based on financial indicators such as EPS, profitability analysis and cash position of the group

The counter has rebounded and strongly support by investors with Dato AD keep on purchase company shares in open market and this show that the high confident level by Dato on this counter. With recent secured of contract by Serbadk of RM7.7 billion in April 2020 and with Dato as part of the team, highly anticipate for Minetec to secure contracts via his connection as at today since inception by Dato only two small contracts being awarded to Minetec.

With MCO Bursa Malaysia has granted Extention til 30.06.2020 for Annual Report 31.12.2019 to be issued.
At the same time Quarter 1, 2020 is also expected to be announced.
Anticipate the write back of impairment for its Associate company of 26% RKM which is NIL value on the book of the group as its has achieved commercial operation Date and produced power to supply to PTC India for the 550 MW project. The write back will have extreme huge Positive Impact to the company Profit and loss statement and increased earning for the company.
Investors can consider to look into this counter

Based on Annual Report as At 30.06.2020 the financial statement last shown Cash And cash Equivalents of RM63.6 mil compared to RM60.1. This has shown stead build up of the company cash position couple with Positive Net Cash Generated from operating activities of RM11.8 mil and net outflow of cash from investing activities amounting to RM78.9 mil ( majority of the amount is for purchase of Property plant and equipment (PPE) of RM355.6 mil offset by proceed of disposal of PPE of RM302.8 mil) while net cash used in Financing activities of RM83.0 mil.
The used cash to acquired PPE is considered good for the Group especially CAPEX highly likely able to generate cash for the group in near term.

Volume due on T3 (08.05.2020) was 7.38 million shares and T2 of 5.68 million shares (12.05.2020). This has shown that volume is relatively small for this counter from today onward on due volume. Hence highly probable this counter will move north and investors can consider based on low PE of 6 and solid contract in hand.

With volume shrinking to 9.58 million shares which is 56% of volume of T3 and considering yesterday record high volume on our Bursa Malaysia. It is highly likely that the accumulation or absorption being carried out by investors on the earlier volume traded.
Furthermore, Nymex crude oil closed above USD$25.60 had shown that the price of crude will likely consolidate at above USD$25. Hence it is good for investors to look into this counter

With today rebound seem like this counter going to test next resistance of RM0.625 (17.04.2020) in the near term

With Nymex crude oil stay above US$25.56 per barrel which set the base of higher level every round of rebound and the volume of the counter shrinking to 5.68 million shares trade as at yesterday (12.05.2020) compared to previous T3 volume of 19.89 million shares (05.05.2020) represent 28.5% of the volume. This show accumulation by certain investors on this counter. Furthermore, based on theory of the red candle already extremely close to reversal level of the pricing. Hence a good chance for investors to look into the counter

With the existing contracts especially in specialize oil and gas sector from Various oil Majors, the outlook for the company is expected to be good.
The share price of this counter was around 95 sen to 97 sen at beginning of the year and with current share price of 58 sen the company PE was relatively low.
Furthermore, the volume for T3 was 19.89 mil (05.05.2020), T2 of 16.98 mil (06.05.2020) and T1 of 7.38 mil (08.05.2029) which is shrinking at good rate.
Hence, this look like a good accumulation and good counter to look into for portfolio