I think Comfort net profit margin will rise higher than 9.5% due to these reasons;
1. latex cost down in Apr-Jul average RM573 from Feb-Apr RM723 that is a decrease of 20% given raw materials stock holding of 3 months
2. their operating overheads would remain relatively stable as cost control is part of the management focus point, in fact it gradually decreased over previous quarters trend
3. higher sale volume from production capacity expansion and sustained high market demand as generally reflected by other glove counter quarterly reports
These three factors is sufficient to overcome the impairment of USD exchange rate during this period.
This has created big supply impact to industry that use coal as main energy for production and Vinly glove is one of them. Vinly glove price has increase almost 40% within 6 months time due to supply shortage and buyers has switch to nitrile glove as replacement.
So glove bull run is just started and the bull will keep running until the crackdown is over. Msia glove factories is running at full cap but still cannot support the shortage. Due to the shortage, international buyers are willing to offer good pricing for glove.
So big 4+1 big bosses are laughing to the bank.....
Rubberex not mine factory wor.. Hahahaha....& why u always look down on rubberex? I just came back to look see you in Comfort after few round profit in the Tech section.
How had you been riko? still kaki kong kaki song here? up also win down also win right?
Hahahahaha.... Anyway, back to the topic, I am paying some attention to glove section again since there's an outbreak in Korea. But I will wait for Comfort to RETRACE to the best entry price probably somewhere around MA200.
Oh yeah riko... Can you ask Comfort boss if he will R&D some new glove like what Harta did lately since you sleep next to Comfort factory checking their containers everyday. We will appreciate your input on this part... Go make yourself useful tomorrow..
You should check in on some of those fields below.
Title
Category
Comment
Confirmation
Click Confirm to delete this Forum Thread and all the associated comments.
Report Abuse
Please Sign In to report this post as abuse.
Market Buzz
No result.
Featured Posts
MQ Trader
Introducing MY's First IPO Fund for Sophisticated Investors!
MQ Chat
New Update. Discover investment communities that resonate with your ideas
MQ Trader
M & A Value Partners IPO Equity Fund has been launched - Targeted 13% Return p.a
Latest Videos
0:17
New IPO: Building management systems (BMS), solar thermal systems and energy-saving services provider, Solar District Cooling Bhd aims to list on the Ace Market!
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....
riko
2,727 posts
Posted by riko > 2017-11-16 16:11 | Report Abuse
bai bai ... abcd...abcd...abcd...abcd...
where are you ... come to help...