I think Q3 will be strong. Looking at Div of 1.5c for whole year. Those who bought at 28 to 30 should do well. This is a very boring stock ,not going to make you rich quick but will not cause major upset. 40c is a real possibility if shipping remains a big issue. Cheap China import a thing of the past. Local market exceptional with the rural motorcycle owners doing their bike and helmet s make over . Go check out the price of the small cans , they cost twice as much as the large cans . Anchor has a lion share of this segment.
Hi YDPChairman, from my research amongst those DIY shop retailers, most of them said that more peoples like Samurai Brand. DPI is an established and old brand.. What's your thought abt samurai?
Samurai Brand gt better quality but low volume , 2 1/2 can of Anchor equal to 1 Samurai, Samurai is more expensive bcs they gt variety of colours but who really cares that much since most paint are primary on basic colour like black, white or blue color.
Hi Papayashot , Samurai understands the consumers better than DPI whereas DPI is probably a better manufacturer. Sexy vs steady. Samurai is double the size of DPI but overtime, DPI will catch up.
Samurai is popular amongst Malay and DPI is popular amongst Chinese, based on what I know. Some expert users said samurai is just "branding", and DPI outperforms Samurai in quality. Probably Samurai quite aggresive in online marketing, as compared to DPI as DPI just started market their products online. Those oldies might aware on the existence of DPI, but not those youngsters.
But, Peter Chai is a very experienced guy in paint industry. Hopefully he knows ways to address the challenges ahead. And, the new factory is under tender process, construction work not started yet right?
Anyway, what is the email address of their Investor Relation? Can't find from their website le...
Papayashot phase 1 of factory expansion should be ready year end to produce clean aerosol products . This will give DPI another market segment such as household sprays . Samurai has fancy looking packaging will appeal to young people. Dpi has pretty strong R&D producing matching colours for popular brands of motorcycles. Both will benefit from the new normal, namely reduced chinese competition. Those looking for quick money should buy furniture, disc drive and glove manufacturers. This alongside with NTPM are one of the most boring stocks in town.
Hi YDPChairman, factory expansion ready for Phase 1?
I tot they only tender the project? Pls correct me if I am mistaken. True, but the emergence of samurai paint should not be overlooked. Young ppl is our next generation and it is important to win their hearts.. Unless DPI got some secret weapon where Samurai does not have.
Not sure what's going on here. Very high turnover as a percentage of free float. It's like 10 to 20% free float traded last few days . At this rate stock can be cornered . Punters in late can get hit. Trade with caution once hit 40c
The construction haven't even start yet lol, they are still in tender process as they expected this QR they will finally get a main con to start working on the building
They announced their IPO fund will be fully used by 2023/2024, currently only thing they did is some marketing expenses and upgrade on their original machines
the Group anticipates to commence the tender process to appoint a contractor within the third quarter of 2020. The construction of the New Building is expected to take approximately 18 months. The commissioning of the new machinery and its subsequent trial runs will take a few more months thereafter.
I think it profit mainly due to the low oil price during covid-19, competition not only from small player in Malaysia but also from Thailand & China, the company Malaysia market share is year on year decrease. Furthermore, no point to build a new factory while you still have spare capacity. Is over price with 30x PE.
Hi papayashot, you may compare it turnover you, now much increase in turnover, if they have full capacity, just after listing they will start expansion plan. If you compare 2020 oil price
I am back in the game for the 5th time started from 16 , then 20, 26, 30 now 40. The only stock which I have never lost money but if I had stayed put, up 150% . No idea about capacity. Only thing I know company has remained profitable . If annual profit is 12m , PE is still under 20, not too bad
The management speak clearly that they do not have any interest in the moment to convert to main market as they are focusing in on businesses development. For the moment the company is still heading to a good direction:
- They started their construction this month on their new factory. - The management mentioned they been buying lots of raw material during low prices in MCO period, they are confident that the rise of oil price will only have little effect on them. - No bonus issue as they see no benefit for the development of company, they will continue providing dividend as usual. - Mentioned that they are still actively searching for M&A and have several potential choices but due to restriction in travelling to other country, they will have to wait
Reference is made to the news article titled "’Nice, little, solid' DPI Holdings looking to get bigger" appearing in The Edge dated 22 March 2021.
The Board of Directors of DPIH ("The Board") wishes to clarify that DPIH is exploring on the possibility of potential joint ventures and/or mergers and acquisitions in overseas markets.
The Board will release the necessary announcements in a timely manner to Bursa Malaysia Securities Berhad (“Bursa Securities”) should there be any material information in relation to the new venture and/or mergers and acquisitions which falls under the ACE Market Listing Requirements of Bursa Securities. The Board will also seek the necessary shareholders' approval, if required, once the merger and acquisitions is confirmed by the Company.
DPIH had been steadily adding 3-5mil free cash flow for the last few qr, if they could still keep it up in the future, they will have totally no problem in JV/Acquisition/Expanding since they could technically fund their whole operation without getting a single penny from the bank and still giving dividend. If this is not a good business, i don't know what is.
Venture into Australia “Over the past 30 years, we have been exporting our products to other countries such as Japan and Indonesia. But to us, that’s not enough. We need to expand our product portfolio and we need to have a direct presence in the foreign markets,” he stresses, adding that DPI is looking to acquire an aerosol product maker in Australia.
“We have been talking with them for a couple of years, but nothing has materialised, partly due to the pandemic. Hopefully, when travel restrictions are lifted, I can finalise the last few conditions with them. Ideally, we hope to team up with them, but we intend to get a 75% stake,” Chai says. He adds that DPI wishes to complete the acquisition of the Australian company, which has an annual revenue of A$6 million to A$7 million (about RM20 million), sometime this year.
“What we like about this company is that their profit margin is quite good. We hope to manufacture their products in Malaysia, and sell (them) through their sales and distribution networks. By doing that, we could help them save some operation and labour costs and improve their margins further.
Venture into Japan In May, DPI will also be setting up a JV company in Japan, in which it will own an 80% stake. The remaining 20% of DPI Japan will be held by its Japanese partner, which has 38 years of experience in the aerosol industry.
“Our plan is to use the JV company as a vehicle to acquire some companies and businesses in Japan. For now, we are eyeing small- and medium-sized, family-owned aerosol companies, which have their own niche and speciality products,” Chai says.
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Posted by VTrade > 2021-02-15 18:36 | Report Abuse
Everyone so happy