based on its nature of business which majority to export and customize rubber horst, their business will spur with the slowly grow momentum from Europe and US market. Coming result shall be satisfactory.
Mondrian Investment still own 18,699,200 units of shares. Long way to go, if they intend to dispose all the shares, it will be RM1.00 per unit? Let's pray it sells more!
I don't see the benefit for share split . Same earning and profit . Eps and and divident will be dilute . 2 ringgit stock become 1.5 not much difference
2014, share just split, now share split again.. 2016, Wellcal facing lost in whole year.. but still paid RM0.023 dividend.. EPS not improved much and since 2016... Wellcal price at RM2++ is overvalue, reasonable price should be around 1.4 to 1.5 share split will cause par value more lower and market will float with more Wellcal share.. purpose of Wellcal management to do this exercise is to get more money from public.
martensite, you know , as an Amateur trader, i can't brain your logic behind your statement.
- Sharesplit = float more share = get more money from public ? - 2016 wellcall facing lost ???? - now sharesplit ? Where is the announcement - paid RM 0.023 dividend only ?
I have studied alot of its news and annual reports, it is indeed one of the top company among industry field in terms of ROE, gearing, cash flow, margin and etc. Thats why the PE is higher compared to its peers.
Still expensive, there will be times a company share price will drop to 5% dividend yield. Until then only buy. Now waiting next dividend and quarter result announcement.
Revenue slight increased to RM39 mil vs previous quarter RM38 mil. Dividend payout slightly increased (RM7.7 mil vs RM7.6 mil previous corresponding qtr). Slow and steady, continue to park some fund here for safe haven and dividend income.
The main cost of production of the hose produced by Wellcall is rubber. The higher the rubber cost, the larger the negative impact to Wellcall, but I believe they able to mitigate / pass down the cost to the customer (I have reason for that. Wellcall doesn't produce ordinary hose, but they produce custom hose that suit each customer's demand, and they collect 50% of the deposit from the customer EVEN before start to manufacture the order)
While oil, apparently Wellcall expanded into the O&G sector by providing industrial hose to them. The slowdown of O&G segment affects their O&G hose expansion plan.
Good result for this quarter. The management targeted 20% increase of revenue, and they can do it. YoY basis :
Revenue : 43.615m vs 32.3m (+35%) PAT : 12.751m vs 9.125m (+40%) NP : 9.87m vs 7.838m (+26%) EPS : 1.98 vs 1.573 (ex-bonus) Div : 1.55 vs 1.5333 (ex-bonus)
The reason why their NP cannot grow in line with PAT because of they pay higher tax this quarter (23% instead of the 14% )
All the oil and gas Companies on earth, should be earning good money. Let's replace some old rubber hoses while we can. or Let's expand our operations!
good share with high FCF and high dividend payout due to the high FCF. Moat is there, as Wellcall was able to react and customize the hose required by the customer. Factory 3 also is in the pipeline.
The only thing I will do is buy when dip for more dividend / higher dividend yield (as lower cost = high yield)
Tq, volume coming today. Co left with USD loan now, settlement within 4 years. Future dividend hehehe... Factory 3 is ready not in the pipeline. Last time ready but global demand weaken, Mgt use it for maintenance and upgrade of machinery. Now with the oil industry started to be crazy, hahaha.... I dunno
We still need to see the increase in capex of the O&G industry first. With the short lifespan of the hose (3 month need to replace 1 time) , Factory 3 will shine with the 70% production boost.
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