What I really appreciate is that SUNVIEW dares to accept the challenges for whatever it takes to succeed. The MOU signed between HUAWEI is good example. Nobody knows whether it will succeed to sign the definitive agreement later but it's no harm trying !
It is sometimes not advisable to sign the definitive agreement in a hurry as lots of feasible studies need to be done. It will be very embarrassing if the definitive agreement signed in a haste and nullified in one or two months.
valuebuy8888, Thank you for taking the initiatives to dig out the figures from the IPO prospectus and gave an estimation of the profits for the coming two quarters. Even though there may be some big variances comparing to the actual figures but is alright as the figures are estimations/forecasts.
I do anticipate that there will be a big jump in profitability due to substantial increase in revenue volume almost by 3.6 folds comparing with the past quarter but I don't really know exactly how much will be the actual profits for the coming quarters.
You have made a wonderful attempt. Thumbs up for you ! ! !
These are my visions on the prospects of Solar Energy or Sunshine Energy/ Clean Energy :
1 ) Commercial and manufacturing industries ----------------------------------- More and more commercial enterprises and manufacturing industries will be converting from electricity to solar energy to save cost.
2 )Government buildings,/ office departments -------------------------------------- For cost savings purposes, most the government buildings and offices / schools and other institutions will gradually converted to solar energy or dual energies in case of blackout. Just imagine the numbers of government properties available.
3 Tenaga Nasional ---------------------------- Tenaga Nasional will roll out large scale projects as they too need to convert most of energy into solar as a result some of the solar energy companies will be awarded the contracts and SUNVIEW could be one of the likely candidates.
More and more residential houses may also install with solar energy and most likely government may help subsidize some the lower or middle income groups to do so.
In other words, I foresee a very bright future for solar industries and SUNVIEW is my best choice.
Coming next 2q outstanding order of 400m+ may recognize in stages, more likely ~150m in Dec q, balance ~250M in Mar q. PAT also also should go up slowly from 4% to 9%. Worst case scenario maintain 4% margin in Dec q also also will generate about 150 x 4%=6m pat. This is almost double vs Sept q. Then March q ~ 250 x 5%= 12.5m, this is also double Q to Q. Just hold tight to see the result to see how reliable is the management. So far q1 vs q2 already double in term of revenue & PAT. With 6m profit Sunview should become big brother of solar industry. Solarvest with higher paid up capital (667m vs 468m) & profit 5m/q already touched RM1.10+. Hopefuly very soon after result Sunview will break RM 1 & become TAIKO!!!
Remember that those 4 main items just my visions (hope and imaginations) .
Everything will have to be done systematically and in stages Those things related to our Government "might" only be done until our Government have the sufficient funds to do so.
Of course it is up to our Government to prioritize the facilities and social welfares according to its order of urgencies and importance if any of my visions become a reality.
Mr. Chon99.......or perhaps I should maybe address you as Ms.Chon99, as you appear to be more polite and gentile in comparison to some others on i3 :) . No offence intended if I've got it wrong.
Anyway, onto business...........I have spent a few hours going through the IPO details (filtering out all the repetitive crap) and came to the conclusion that it doesn't vary too much, if at all, to some other names in the Malaysian solar industry. I didn't expect there to be any glaring differences, so I wasn't surprised with the information they provided.
One item that did jump out at me though (and it has been mentioned briefly in here before) was their order book at the time of the IPO publication. The IPO cites an order book of Rm558 million (that's fine), however a delivery of Rm513 million by FYE23. Let's be clear on that, they expect to deliver Rm513 million by the end of March 2023.
With that in mind, their current 6 month revenue is at Rm110 million (rounded), so implies that for the remaining 2 quarters they will deliver Rm403 million. That is quite an anticipated hike in revenue by anyone's standards. The last quarterly delivered revenue of Rm79 million, so to achieve the IPO forecast for FY23 it would mean that the next quarter should post another 100% increase over the last quarter, then the following quarter to deliver around 50% on top the the 100% for the upcoming quarter. That would be impressive growth!
With the quarterly due by the end of the month you don't have long to wait to see how their performance matches up to their forecasts.
Let's assume they deliver on the IPO forecast, so you now need to decide on a net profit margin to estimate an annualised EPS on that revenue. For safety I still anticipate profit margins to be at the lower end for most of the players in the solar industry. That may change as the industry grows and you get the benefit of scale, however for now I remain doveish on profit margins.
I'll look out for their quarterly in the coming week and see what they have delivered, particularly the revenue top line.
NO CAUSE OF ALARM ! ---------------------------------- This is just a gentle reminder.
Sorry I nearly forget to mention.
From the last quarter report ( 30-06-2022 ----30-09-2022) it was pointed out that there was an estimated listing expenses of RM3.6 million to be paid within 1 month from sometimes in September 2022. So the said sum could be disbursed sometimes in October 2022.
In other words, the profits for quarter from 31-10-2022 ---31-12-2022 will be offsetted by bout RM3. 60 Million showing a much lower profit or even a loss.
Of course I am more than happy if the financial results come out more than what I expected.
If not because of the listing expenses, the profit as at 31- 12-2022 will be much better.
This is only a one-off expenses, not a loss at all.
So, we can expect much better results from January 2023 onwards.
LIKEWISE DON'T SIMPLY ADVISE OTHERS TO BUY OR SELL BECAUSE IT IS A SERIOUS OFFENCE AND COULD BE FINED UP TO FEW HUNDRED THOUSAND RINGGIT AND COULD BE EVEN FINED UP TO A MILLION UNLESS ONE IS QUALIFIED AND HAS THE LICENCE FROM THE MALAYSIAN GOVERNMENT TO DO SO.
That's why you dare to value a stock to the ridiculous low level which could lead to panic selling causing people losing their "hard earned' money and lost confidence in the stock/stocks.
Really appreciate that you have put in so much of efforts in your researches.
More and more people will realize the importance of solar energy.
Sooner or later more and more companies/commercial enterprises would be converting their energy resources from electricity into solar as a cost saving measure.
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....
valuebuy8888
66 posts
Posted by valuebuy8888 > 2023-02-17 15:31 | Report Abuse
Sell or buy? Please make your own decision!!