Aiiyaah ! Are you a newbie ? Unless the market crash , there's no RM 1 substance lah . Get your facts right and not simply mumblings . .....now the price still holding RM 1.6+..
GEORGE TOWN: Penang, famed for its slew of electrical and electronics (E&E) companies, is seeing its manufacturing players slowly but surely making their inroads into the aviation sector.
According to investPenang’s website, Penang’s competitive advantage to thrive in the aerospace industry is due to the leveraging impact from the state’s matured E&E industry.
Undoubtedly, the most well-known Bursa Malaysia-listed company that is involved in aerospace manufacturing in Penang is SAM Engineering & Equipment (M) Bhd.
SAM Engineering, whose ultimate controlling shareholder is Temasek Holdings (Private) Ltd with an indirect stake of 70.14%, manufactures aircraft components in its Bayan Lepas plant, in particular aero engine fan cases.
Last month, International Trade and Industry Minister Datuk Seri Mustapa Mohamed paid a visit to SAM Engineering’s facility, SAM Precision (M) Sdn Bhd.
He noted that SAM Engineering had announced that it will be spending more than RM100 million over the next two years for expansion, including the diversification project to manufacture thrust reverser machined parts for the aerospace industry, the first of its kind in Malaysia.
“Currently, SAM Precision manufactures precision tools for the electronics industry, and the diversification project will create an additional 133 quality job opportunities for Malaysians,” he said.
In its annual report for the financial year ended March 31, 2016 (FY16), SAM Engineering said it has won long-term contracts to supply Airbus A320neo nacelle beams and prismatic parts for A350, Boeing 787 and Bombardier C-Series aircraft.
The group achieved a record revenue of RM620 million for FY16, 37% higher than the FY15 figure of RM451.52 million. Net profit, meanwhile, jumped 82% to RM63.09 million from RM34.63 million.
For the first quarter of FY17 (1QFY17), the group reported a 25.7% drop in net profit to RM9.84 million from RM13.25 million a year earlier due to lower profit contribution from its equipment manufacturing division, which produces semiconductor front-end products, and its aerospace segment.
Revenue fell 5.7% to RM127.18 million from RM134.46 million in 1QFY16.
Another Penang-based company that is growing its aerospace segment is Kobay Technology Bhd. It is mainly involved in the manufacturing of precision machined components which contributes 66% of its revenue.
“Kobay Technology via its subsidiaries, started to venture into the aerospace business in year 2010. Over the period, the group has grown from a tier 4 supplier to becoming a tier 2 supplier today to major aircraft manufacturers,” a company spokesman told The Edge Financial Daily.
“Currently the aerospace segment contributes close to 20% of the group revenue, and the contribution is on an increasing trend,” he said.
The group’s products are applied for in-flight systems and structures of aircraft, as well as engine components. The group’s customers are aircraft components producers that supply to Boeing and Airbus aircraft.
Kobay Technology plans to set aside RM10 million or more in capital expenditure over the next two years to grow its aircraft business, depending on customer demands and requirements, said the spokesman.
For its full financial year ended June 30, 2016 (FY16), Kobay Technology’s net profit fell 59.7% to RM4.29 million, from RM10.64 million for FY15, due to a drop in its metal fabrication segment as a result of the decline in crude oil prices.
However, the group’s aerospace and life science products, which fall under its precision metal components segment, saw an upsurge in incoming orders.
Revenue for FY16 was also lower by 8% to RM104.75 million, from RM113.92 million a year earlier.
today market 322 of 1656 gainers 19.5%, ....... 440 of 1656 Losers 26.5% .... 406 of 1656 unchange 24.5% ..... 488 of 1656 untraded ...29.5% WHAT DO YOU think of the market ??????????????
aerospace business is good...but why previously published news that want to increase the property revenue to 50% in total...to invest or not to invest in this counter...but price moved a lot...
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....
Nick889988
6 posts
Posted by Nick889988 > 2016-01-11 21:26 | Report Abuse
Rosmah, Kobay still got future ? IV for this counter ?