Yup, citing higher cost of raw material and operation cost. The higher cost didn't include the recent hike of electricity tariff and adjustment on working hour. Futhermore EU recently review the single use plastic and target to reduce by 5% by 2030 base on 2018 consumption (more or less something like that). It operating environment is getting more challenging.
As analysts covering BP Plastics and Thong Guan, we need to underscore that these companies' stretch films are 100 per cent recyclable, and a substantial part of the raw materials for their stretch films are sourced from recyclable products," CGS-CIMB Research further noted.
Thong Guan's production facilities in Peninsular Malaysia are also completely powered by solar energy, making the company one of the biggest users of this renewable energy in Malaysia.
Yes, it is a new line. Still standing strong and recover abit from today's drop. I shall wait for next Q result. That will be interesting because if past results down due to increase of operation cost, then electricity and labour will put more pressure to it.
No gloves plsss........ Heard that latest OPR will remain the same but like i say, Jan-March results might see some weakness due to increase in operating cost. So, there might be some opportunity to buy on weakness.
Scientex lastest QR reported lower revenue from their packaging business due to reduction in demand and cited higher operation cost. I think next QR will be more challenging as hike in electricity and labor cost.
As we approach the third month of the new 2023 year, the Group has experienced a steady accumulation of orders for its plastic products in tandem with the gradual increase of plastic prices since January 2023. These orders are anticipated to increase the sales volume for financial year 2023. In addition, the Group is optimistic about the full operations of its three new European blown film lines and 2 newly commissioned premium stretch films lines.
I actually posted this few months back on the ESOS. Resharing now
Anyway i found this info in the Annual report. Might have miss it when it read it the 1st time. Can refer to page 73 of the annual report. (Link Below). TGUAN approved 28.6M of ESOS shares at the price at RM1.13 for 5 years (2019-2024). Lets say if all are fully exercise, then TGUAN number of shareholding (NOSH) is about 410M. Not great but not a big concern as it 7% increase in NOSH and future earning will be diluted by 7%
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....
Posted by PuaQW91 > 1 month ago | Report Abuse
Drop again today Tenaga XD