A few years ago, Prlexus invested in upstream production of yarn. Until today, this segment is still loss making. Not only is it loss making, it is not even selling raw materials to it's own apparel segment. If you look at inter-segment sales in Q4, inter segment sales of yarn is just RM1m from RM347m apparels revenue. It's bloody pathetic. It's like as if their own apparel division rejects the quality of internally produced yarn. Maybe you want to look into this problem first before jumping on the covid wagon.
Since ProLexus is Pro-Active it even expanded to China. It ventured as far as USA to secure Contract Manufacturing for Nike, Disney, Gap and others
For every one failure there are others which succeeded
Take IcapBiz TTB for example. He succeeded with Padini but failed in Parkson yet ICapBiz share price is still above Rm1.00 (Ipo fund was Rm1.00 par value)
The very fact that TTB gets paid Rm3 Millions to Rm6 Millions managing only 16 stocks in ICapbiz portfolio makes him wary of buying shares in KLSE
But the Big Question is
WHY TAN TENG BOO TOOK UP MORE THAN 1.5 MILLION SHARES OF PROLEXUS?
DID HE SEE SOMETHING IN PROLEXUS THAT THE REST MISSED?
To proactively deal with challenges caused by the virus, Prolexus Bhd has expanded our product range into PPE through the launch of the ProXmask90V, ” he said.
Read again
To "proactively" deal with challenges caused by the virus
While many are just starting to set up Face Mask manufactures or go China to find Jv or imports ProXmask already sold successfully its 1st generation ProXmask
Calvin look at your own photo people going out wearing face mask produce by Scgm. Any companies like Scgm, Notion and Prolexus venture into face mask should enjoy good business.
I'm new here. But checking on Lazada, their ProXmask™90V is reusable up to 20 Washes, selling at RM88/2pcs per pack. If you use 20 times, each usage also cost you RM2.2 (which is higher than the normal disposable mask). Also, is there any scientific proven for their Anti-Microbial function?
i think their sport garment business will be affected as well cause people do not really have chance to spend and trying not to spend so much on the expansive items as well.
so i can't really see where is prolexus growth coming from.
Appreciate if any sifu here can help to clarrify and point it out if im wrong..
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
calvintaneng
56,628 posts
Posted by calvintaneng > 2020-05-06 16:37 | Report Abuse
Engine starting like comfort, supermax and adventa!!