According to evergreen's latest quarterly report, higher log price caused it's profit decreased. and today ta ann announced Q2 result shown higher profit margin. so I think higher log price will benefit to fajar timber business.
According to the Construction Industry Development Board (“CIDB”), the Malaysian construction industry is expected to grow by 8% in volume to RM170 billion this year, underpinned by ongoing mega infrastructure projects. In 2016, the construction sector grew by 7.4% to RM166.4 billion, up 8.2% from RM140 billion in 2015. With the spillover of major projects announced, the Group believes that the project pipeline and sentiments ahead will be more positive in the coming quarters, and the Group is poised to participate in any of these construction projects. The Group will continue to bid for jobs that have promising and exciting growth potential in order to replenish its order book and to enhance its future earnings. Moving forward, the Property Development segment is expected to bring more contribution to the Group. The Group’s maiden project, Rica Residence Sentul, a 39- storey serviced apartment project with a GDV of RM280 million is located in Jalan Kovil Hilir, Sentul, Kuala Lumpur. The project is within walking distance to the KTM Sentul Station and Sentul West Station of the future Mass Rapid Transit Line 2 linking Sungai Buloh and Putrajaya. In view of the strategic location, the response from the public is encouraging and 70% of the units have been taken up as of to-date. The Group has adopted robust marketing efforts through improved products, widened sales networks to ensure that all potential markets are tapped into, as well as optimising opportunities for growth. This project has been officially launched on 3 August 2017. As for its projects in Puchong and Malacca, these will be launched upon improvement of the market situation. The Group will continue to strive for excellence with an emphasis on delivering excellent customer services. The Group believes that there will still be a demand for properties in prime locations with accessibility to good amenities, at attractive pricing. On the oversea development, the Group has launched its second project called Paragon, Melbourne. The Paragon, with its prime location in the heart of the Melbourne Central Business District (“CBD”) has received overwhelming response from the public, achieving 85% take up rate as of to-date. Another segment which has generated significant revenue to the Group is the logging and timber trading segment. This segment will continue to generate significant contribution to the Group’s revenue, on the back of stable average prices of timber products. The Group will continue to explore more business opportunities and is committed to continue capitalising its strengths to generate sustainable revenue from its existing or new businesses.
New IPO: The onshore and offshore support services provider for the O&G industry, Steel Hawk Bhd aims to list on the Ace Market!
MQ Trader 3388 views | 3 d ago
0:17
New IPO: The largest mini-market player and a leading groceries retailer in Malaysia, 99 Speed Mart Retail Holdings Bhd aims to list on the Main 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....
bleuerouge
3,221 posts
Posted by bleuerouge > 2017-08-18 09:27 | Report Abuse
market sentiment due to riot in US, DJI down, I guess.