QR bad is to be expected. Now that the new high-tech bamboo processing plant is starting operation soon and China economy is back on track plus the various diversifications, including healthcare, next year will be a better year for Kanger.
The Group has identified the following main strategies to continue to grow its businesses:-
(a) Expansion into new bamboo concession and processing plant in Jingzhou, the PRC which is currently under construction and targeted to be completed and to start operations in the third quarter of FYE 2020, in order to better manage raw material costs, as the new plant is surrounded by an estimated 18,200 metric tonnes standing stock of ready-to-harvest raw bamboo (translating to an estimated 435,000 square metres of bamboo flooring). This will be a steady source of raw material supply and key factor in the re-upscaling of our own bamboo products segment. The expansion in Jingzhou will allow the Group to focus not only on manufacturing of bamboo products but also processing of bamboo related foodstuff and bamboo eco-tourism in the near future;
(b) Expansion of the Group’s flooring products with the launching of new series of bamboo flooring products;
(c) Enhancing the Group’s flooring products to focus more on ‘green’ strand woven products;
(d) Expansion of the Group’s product portfolio to include bamboo furniture marketed under the ‘KAR-ACE’ brand;
(e) Expansion into wood flooring products by promoting Classen’s products in the PRC through the collaboration with Classen GmbH as the Group is the exclusive distributor for Classen’s products in the PRC. The COVID-19 pandemic and related lockdowns has had a significant impact on general business activity and there is always a risk of second and additional waves occurring in the future. As a result, the Group is currently in discussions with Classen on reducing the scope of the exclusivity from China-wide to perhaps focus on Guangdong province or the southern region where our main and sales offices are. The reason for this is to avoid incurring potential penalties in the future for not meeting minimum sales targets should the pandemic turn into a longer term problem.
(f) Expansion of the Group’s presence by increasing the number of appointed dealers in its sales network and number of sales and marketing channels, for both its own and third party products;
(g) Identifying candidates to be the Group’s master agents/distributors in countries such as Malaysia, Australia and New Zealand;
(h) Intensifying efforts in the adoption and building out of a comprehensive omni-channel marketing strategy which is designed to cover all points of contact with existing and potential new customers. The Group is also cooperating closely with its dealers in implementing effective Online-to-Offline marketing and delivery channels. The online platforms include JD.com, Alibaba’s Taobao and various mini-programs offered by social media networks like WeChat; and
(i) Diversification of the Group’s principal activities to include property leasing business which will provide the Group with additional income and cash flows.During the current financial quarter, the Group has fully leased out its newly completed commercial properties with a total net lettable area of 683,777 sq ft, comprising a 19-storey hotel and a 6-storey building specifically outfitted as a one-stop “Auto-City”. The initial rental income is approximately RM11.1 million per annum, with scheduled rent increases (for details, refer to Bursa Malaysia announcement dated 9 March, 2020).
@Fong Kh Most probably not mentioned because vaccine is subjected to approval by authorities. If rejected, then the agreement is off. However, in my opinion, chances of rejection by the authorities is low as Sinopharm has been working very closely with World Health Organization in the development and clinical trials of the vaccine. Hence, the vaccine is almost guaranteed to meet international standards.
Remember that the fate of China is hinging on these vaccines. The government is doing all that they can to ensure that the vaccines quality, safety and efficacy meet international standards so that they can redeem themselves via their vaccine diplomacy.
@friendship As you have noticed , kanger is very resilient. Even with bad news, price also will not move much. Maybe your titijaya is work 0.05 and below for all the lies you are spreading regarding titijaya lol
At least Titijaya is making profit and NTA is more than its current price. With or without vaccines, Titijaya is worth to buy at current price.
Unlike your kanger is dead loss making and if more losses coming then may even fall into PN17. You are such a big lier bringing your followers to section PN17. Goos job! Keep it up.
@friendhsip I only share facts from published news articles unlike you spreading lies , grandfather stories and baseless fairytales in your titijaya forum. Pity all your followers blindly listening to your lies lolol
As for me i dont think i will need a lawyer for advice lol. Nobody ask to go all in, just invest a little within your means. Think what is the potential of the % downside if it really goes south? Say 50% down to less than 0.09? But what if.....think and imagine what is the % upside if any of these news ie bamboo business + gloves + vaccines becomes a reality and big? Probably more than RM1? So i think i will invest some with this hope of upside.
@friendship enough with your tititjaya vaccine deal fantasies lol they will only be distributing medical equipments. Don’t be so delusional. Continue hoping until 2050 also there will be no vaccine deal for titijaya kekeke ...
The QR is the 3rd one. Means from August to November business. For sure it will be a loss. How do you even sell bamboo flooring during a peak of pandemic. The QR that we are waiting for is the Q4(end of Feb 2021). By that time the new bamboo RnD factory and vaccines (high chances in early 2021) will start operating. However, I did not expect that Administrative expenses are Rm 5.5 mil. That's what makes it loss so much.
In a bourse filing, the group said its wholly-owned Titijaya Resources Sdn Bhd (TRSB) had inked the strategic collaboration agreement with Sinopharm Medical Equipment QuanZhou Co. Ltd (SMEQ), which is part of Sinopharm China National Medical Device Company, whose holding company is China National Pharmaceutical Group Corp (Sinopharm Group).
"Sinopharm Group is a large healthcare group directly under the State-owned Assets Supervision and Administration Commission (SASAC) of the State Council, with a full chain in the industry covering R&D (research and development), manufacturing, logistics and distribution, retail chains, healthcare, engineering services, exhibitions and conferences, international business and financial services," said Titijaya.
Theorytically is very simple, price drop below the last resistence 0.145, take all out n grab it at 0.10, simple as that, but before 0.145 resistance, by the chart, 0.175 is a very strong support. All this no need to call lawyer or any other professional to verity on it, yr own brain and trading plan can do it. Any way the negative QR will turn into profit when bamboo flooring appear in the market, smile
For titijaya supporter, by fooling and barking here, gwa suspected u are the looser stuck at 0.76 last time n try to get help from ppls to bring u back to the ground, hihihi, smile
I only see they have RM32m cash with another RM90m in receivables against bank borrowings of RM18m and payables of RM29m. That's all I need to know. Company make money or lose money is not as important as cash flow.
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....
Shootup
3,248 posts
Posted by Shootup > 2020-11-30 18:18 | Report Abuse
No qr