Wellcall qtr report out, shows that most of the geographical segment revenue drop especially for USA / Canada site.. Local revenue also drop.. will it be recover back for next quarter?
Short term view, quite a huge portion of revenue is from Oil & Gas sectors, share price might not shoot in the short term. But long term i think it's still a great stock to own!
For the current nine (9) months ended 30 June 2016, the Group recorded revenue of RM102.167 million, representing a decrease of RM17.678 million or approximately 14.75% from RM119.845million achieved in the corresponding preiod of the preceding financial year. The export market contributed approximately 90.41% to the Group's revenue. The export market registered a decline of 13.41% while local market a decrease of 25.60% compared to the corresponding preiod of the preceding financial year. The overall decline in revenue is mainly attributable to the poor demand brought about by the slower recovery of global demand for industrial rubber hose. The Group recorded a profit before taxation ("PBT") of RM30.644 million for the nine (9) months ended 30 June 2016 compared to PBT of RM37.074 million recorded in the corresponding period ended 30 June 2015, representing a decrease of RM6.430 million or 17.34%. The decrease in PBT was mainly brought about by lower sales volume coupled with the strengthening of foreign exchange rates for Ringgit against the US Dollar. However, despite a lower revenue recorded, the gross profit margin improved from 34.8% in correponding period of the preceding financial year ended 30 June 2015 to 38.4% in the current nine (9) months ended 30 June 2016 brought about by lower raw material cos
still managed to maintain their dividend payout. With the weaker ringgit plus the utility of new factory shall improved their turnover and profit coming quarter.
Went to see the new factory, too bad it is forbidden to take photo. Saw a lorry transporting stock out from the new factory. Clean and new from the outlook of all the plants.
Is in Ipoh, Perak. in the industry area, there is an office like HQ, I think opposite that office is the plant. and the new office is a little further inside of that area. Now, they put the Co name there. However, outsiders are not allowed to enter or take photo.
Not at all, their sell mainly are cash sales. Receive money only manufactures, there are little forex differences. US want to make themselves great again, wont benefit Wellcall? Would like to collect at RM1.50. (blow water)
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 2938 views | 2 d ago
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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....
Kau Hau Jian
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Posted by Kau Hau Jian > 2016-08-26 13:36 | Report Abuse
Wellcal Analysis:
http://klse.i3investor.com/servlets/stk/7231.jsp