Yeelee obtained a new distributorship licence to distribute Ribena and Lucozade drinks in Peninsular Malaysia..will contribute significantly to its income
Here at Lucozade Ribena Suntory (LRS), we combine 85 years of knowledge, insight and expertise with an appetite for innovation to create some of the nation’s best-loved soft drink brands.
Formed in January 2014, when Japanese global beverage company – Suntory Beverage & Food, the world's 3rd largest soft drinks company - acquired Lucozade and Ribena, giving us access to some of the world’s best beverage insight, research, development, production and marketing.
is yeelee get all the ribena distribution rights? i find out there are a few manufacturers produce ribena drinks, aluminum canned ribena is manufactured by suntory b&f malaysia sdn bhd, plastic bottled ribena is manufactured by cocoaland industry sdn bhd, plastic bagged ribena is manufactured by leveflex (philippines company), glass bottled ribena is manufactured by MDD beverage Sdn Bhd.
i wonder to know is yeelee get all distribution rights or just the aluminum canned drink distribution rights as only the aluminum canned ribena is manufactured under suntory
the yeelee main profit and revenue is came from aerosol can, spritzer and red bull,the groceries part not contribute much. they sells spritzer and red bull very high price to the grocery shops then wholesalers....
Yee Lee Corporation may consolidate with a bullish bias after climbing above the downtrend line. Traders may buy if it breaches the MYR2.32 level, with a target price of MY2.45, followed by MYR2.60. The stock may turn sideways if it cannot breach the MYR2.32 mark in the near term. In this scenario, support may be found at MYR2.18, where traders can exit upon a breach to avoid the risk of a further correction.
Actually cooking oil price up may not add more revenue to YeeLee, because it's due to subsidize cut on the cooking oil. Previously consumer pay their portion and government pay another portion, and now it's fully paid by consumer. It just which pocket that YeeLee receive the $. And with subsidiary, no matter the market price is up or down, it's supported by government, and now it's all up to market trend and the price of its raw resources.
Furthermore with the cooking oil rise, will it impact the revenue is unknown, because people may buy less instead of more.
I mean, with the perspective of consumer, this is what i feel.
The difference is from the cash flow perspective. If wait for the government to pay for the subsidized payment will need to wait for a year. Usually they offsetting via income tax payment. Demand and supply definitely will be impacted since now the prices for 1-5kg have been increased and consumers will reluctant to buy premium oil. Rather go for packet oil which still under subsidy. Now is the time for cost efficiency since the raw material (palm oil) actually is from the own plantation subsidiary.
spaghetti932 is correct. I yagree on it. D reduce of subsidy for oil will not prompt YEELEE price to go up. But i foresee YEELEE gonna benefit from the manufacturing sector most due to the CPO price.
1. Details of corporate proposal Whether the corporate proposal involves the issuance of new type and new class of securities? N Types of corporate proposal : ESOS Details of corporate proposal : ESOS No. of shares issued under this corporate proposal : 27,500 Issue price per share ($$) : 1.5800 Par Value ($$) : 0.50 Latest issued and paid up share capital after the above corporate proposal In the following Units : 188,532,300 Currency : Malaysian Ringgit (MYR) 94,266,150.000 Listing Date : 21/11/2016 2. Details of corporate proposal Whether the corporate proposal involves the issuance of new type and new class of securities? N Types of corporate proposal : ESOS Details of corporate proposal : ESOS No. of shares issued under this corporate proposal : 50,000 Issue price per share ($$) : 1.4500 Par Value ($$) : 0.50 Latest issued and paid up share capital after the above corporate proposal In the following Units : 188,582,300 Currency : Malaysian Ringgit (MYR) 94,291,150.000 Listing Date : 21/11/2016 Remarks: You are advised to read the entire contents of the announcement or attachment. To read the entire contents of the announcement or attachment, please access the Bursa website at http://www.bursamalaysia.com
Current year to-date vs. preceding year to-date The Group registered a higher revenue of RM765.34 million for the period ended 30 September 2016 as compared to RM561.14 million a year ago. Correspondingly, the Group's profit before tax increased by 56.2% to RM41.98 million against RM26.88 million a year ago. All divisions performed better in the current period. YEE LEE CORPORATION BHD. (Company No. 13585-A) 14. 15. 16. NOTES TO THE CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS Profit before tax is arrived at (crediting)/charging:- 30/09/15 RM'000 RM'000 Interest income (281) (818) (432) Interest expense 1,366 4,264 3,759 Depreciation of property, plant and equipment 3,146 9,260 8,443 Provision for and write off of receivables 104 490 492 Provision for and write off of inventories 371 1,062 1,402 Loss/(Gain) on disposal of property, plant and equipment 2 (20) 18 Gain on disposal of assets held for sale - - (228) Property, plant and equipment written off 1 3 25 146 (Gain)/Loss on foreign exchange (375) 1,317 (3,381) (Gain)/Loss on derivatives - - - Exceptional items - - - - 9 months ended Trading division The trading division achieved a substantial increase in profit before tax from RM6.57 million a year ago to RM14.94 million on the back of remarkable sales growth of 48.9%. The impressive result was contributed from higher sales of Campbell products, bottled water and Red Bull energy drinks. 5 30/09/16 (173) Plantation division The plantation division recorded a lower loss before tax of RM0.48 million in the current period as compared to RM0.75 million a year ago. The lower loss was due to profit generated from sales of timber logs arising from clearing of land for our new oil palm plantation project in Sabah. Although the tea plantation has not turnaround, the loss has been reduced as compared to a year ago as a result of increase in sales. The palm oil plantation's profitability was also affected by its replanting project. RM'000 (2,879) MATERIAL CHANGES IN THE QUARTERLY RESULTS COMPARED TO THE RESULTS OF THE PRECEDING QUARTER Despite the decrease in revenue by 6.5%, the Group recorded a higher profit before tax of RM13.49 million in this quarter as compared to RM12.69 million in the preceding quarter. The improvement in the Group's profitability was mainly due to higher sales of aerosol cans and palm oil mill able to turnaround in this quarter with better OER and higher fresh fruit bunches ("FFB") processed offsetting the lower sales of consumer products in trading division. 138 2,972 - - - 1,251 CURRENT YEAR PROSPECTS With the recent removal of palm based cooking oil subsidy scheme, except 1kg poly bag effective 1 November 2016, the Group is now able to compete in an open market without quantity quota restriction and with reasonable profit margin. Despite challenging, the Board views this as an opportunity for the Group to increase its market share with its long established cooking oil brands. The tightening of quality control on FFB had shown positive sign of improvement in our palm oil mill's OER. Together with improvement on production processes to enhance its OER, the palm oil mill is expected to remain profitable in the remaining quarter. Facing with the cautious consumer spending behaviour arising from the increasing cost of living, our trading division has adopted a more aggressive marketing strategy with creative marketing campaigns and innovative products to drive sales growth. The trading division had successfully secured the distributorship of the well known brands "Ribena" and "Lucozade" range of products in September 2016. With expansion of warehouse and logistics, this division will continue to secure for more profitable product distributorships to further enhance its products portfolio and profitability. Barring any unforeseen and adverse circumstances, the Board believes that the Group will continue to remain profitable for the financial year ending 31 December 2016.
"the Board views this as an opportunity for the Group to increase its market share with its long established cooking oil brands." confidence management :) Q4 report should be better with CPO price rises
The fact that Yeelee is trading at current valuation is criminal. This is a profitable, well managed and stable business. How the hell is the company trading at less than NTA? Although Yeelee ROE is low, it is still in the high teens. With Ribena distributorship kicking in and liberalization of cooking oil market, I think Yeelee deserves to trade at RM 3 at least. Investors must be patient with this counter.
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....
optimus9199
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Posted by optimus9199 > 2016-09-24 00:10 | Report Abuse
Yeelee obtained a new distributorship licence to distribute Ribena and Lucozade drinks in Peninsular Malaysia..will contribute significantly to its income