Based on 2015 annual report, export to 'Americas and European Countries' was about 43% of total sales. Not sure how many % of that went to USA. On the other hand, Homeriz has survived, grew and chunked out fat dividends without TPPA for so many years. So no reason with or without TTPA for Homeriz to suddenly go bust.
there is a chain effect that we cannot ignore... with Trump as the new president, USA may impose some tax/duty/levy on some of the commodities being imported into USA... with USA quitting TPPA, it will also limit sales growth to the US. We can see that 43% is significant... without growth on this 43%, Homeriz may not continue its growth record...
Obama in his last presidential campaign also said want to do the same thing la like renegotiate NAFTA, impose tariffs/levies, bring back jobs etc. Then in 2009 he also did impose tariffs/taxes/levies heavily on imports from China. He did succeeded in creating more jobs. But the side effect was that China imposed big taxes on other US exports as a counter. So during that time both economies suffered huge losses. That is why now u see Obama keep pushing for free trade deals like TPP etc. So give Trump time to gain some wisdom. Unless he is mad enough to fight till the death. But then again, the president only can impose heavy tariffs like these for short period of time only. For it to be a long term tariff, they need congress approval. And not everyone is mad enough to let Trump kill US economy so overall, risks is quite low for me. If they really did, then good luck to USA.
seems like now the directors are frying their own shares... they created the volume and uptrend, trying to trap small investors.. haha.. study the chart u will understand what i said... it is likely to be a trap...
Dolly_chai, don't try to be smart and pick on bully a low performer like HOMERIZ la. Mind ur own EVERGREEN and for the most part I just found out u don't know how to read financial statements and reports be it quarterly or annually one. Sad and sick case.
For HOMERIZ case, it has NO DEBTS and holding RM 57,017,000.00 CASH. Generating healthy consistent profits each quarter, very well managed. Having no debts does have its own perks.
Dolly_chai, don't "con" "con" people everywhere with ur half truth and now u are valued-added some more with gossip & rumour. You should do better than this lol.
This one can buy for healthy balance sheet, consistent profits non stop and holding lots of cash RM 57,017,000.00 impressive! It's profit margin is also consistent and high too:
Hi SuperLaber... agree with you... sad to see that the stupid government policy has caused good companies like Homeritz to suffer... seems like this labor shortage will further drag down Homeriz performance... very sad... even though not homeriz fault, but it will definitely impact their revenue and profit in a long run if this issue is not resolved....
did i say homeriz balance sheet is not healthy? I have been saying that the problem with Homeriz now is all about LABOR shortage!!! that is something very bad.. u see their last few quarter results.. it had been impacted by that issue.. can't see that? dun comment before u understand the situation and you are indeed too dumb to not get what i mean.. dun simply badmouth me and "accuse" me of things that I did not say..
further headwinds to Homeritz as indicated in their latest quarterly report:
The volume sold declined, arising from reduction of manpower stemming from the government’s decision to temporarily freeze the intake of foreign workers for all sector announced in February 2016. The shortage of foreign workers had affected the performance of the Group in Q4FY2016.
For Q4FY2016, the Group recorded a Revenue of RM33.92 million and PBT of RM5.547 million representing decreases of 11% and 38% respectively, compared with Q4FY15. The less favourable result for Q4FY2016 was attributed to the reduction in volume sold of 8% compared with Q4FY2015.
2 questions: 1) only 60 new foreign workers, how to improve productivity? 2) even with more new foreign workers, they need time to be trained to be skillful enough to manufacture furniture..
my suggestion is not to buy now as for the next 2 quarters, the revenue and profit will likely still be impacted by the shortage of foreign workers...
Buy now! Dividend annouchment next week, 3 cents dividend, current price 0.935, within two month can earn 3.2%. Buy before annouchment. The choice is yours.
ivan, after the 3 sen dividend is paid, the share price will be adjusted by -3sen.. so there is actually not too much benefit the shareholders will be getting.. only some "early" cash to receive before selling the share.. i think as long as the malaysian government policy is not changed - to allow more foreign workers.. it will still be a big problem for furniture makers like Homeriz.. no doubt it is a good company, but such policy is causing their 3 consecutive quarterly results to drop... and pls see my advice above:
1) only 60 new foreign workers, how to improve productivity? 2) even with more new foreign workers in-take, they need time to be trained to be skillful enough to manufacture furniture..
my suggestion is not to buy now as for the next 2 quarters, the revenue and profit will likely still be impacted by the shortage of foreign workers...
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....
quarks
42 posts
Posted by quarks > 2016-11-23 10:45 | Report Abuse
Based on 2015 annual report, export to 'Americas and European Countries' was about 43% of total sales. Not sure how many % of that went to USA. On the other hand, Homeriz has survived, grew and chunked out fat dividends without TPPA for so many years. So no reason with or without TTPA for Homeriz to suddenly go bust.