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***Disclaimer***Blogger is not wrote any recommendation & suggestion. All is personal opinion and reader should take their own risk in investment decision.
Close to apply: 25 Sep 2024
Balloting: 27 Sep 2024
Listing date: 08 Oct 2024
Share Capital
Market cap: RM80.48 mil
Total Shares: 402.386 mil shares
Industry CARG
TIV of the automotive industry in Malaysia (2017-2023): 5.6%
Manufacturing sales value of metal parts and accessories for motor vehicles, 2017 – 2023: 9.7%
Industry competitors comparison (net profit%)
1. KHPT: 7.57%
2. EP Manufacturing Berhad: 0.08%
3. Y&L Metal Technology Sdn Bhd: 17.97%
4. United Vehicles Industries Sdn Bhd: 6.84%
5. Others: losses to 2.84%
Business (FPE 2024)
Manufacturing and sale of automotive parts and components, comprising body parts, seat structures and other parts (i.e. engine parts and absorber parts).
Revenue by segment
1. Body parts: 56.54%
2. Seats structures: 40.55%
3. Other parts: 2.91%
4. Dies solution services: -
Fundamental
1.Market: Ace Market
2.Price: RM0.20
3.Forecast P/E: 17.54 (we use our own calculation for PE)
4.ROE(Pro forma): 8.98%
5.ROE: 16.96%(FYE2023), 31.32%(FYE2022), 0.66%(FYE2021)
6.Net asset: 0.13
7.Total debt to current asset: 0.817 (Debt: 21.613mil, Non-Current Asset: 32.570mil, Current asset: 33.34mil)
8.Dividend policy: 10% of PAT% dividend policy.
9. Shariah status: Yes
Past Financial Performance (Revenue, Earning Per shares, PAT%)
2024 (FPE 30Jun, 6 mths): RM52.323 mil (Eps: 0.0057), PAT: 4.4%
2023 (FYE 31Dec): RM114.082 mil (Eps: 0.0138), PAT: 4.85% (OPR 3.00%)
2022 (FYE 31Dec): RM116.246 mil (Eps: 0.0219), PAT: 7.57% (OPR 1.75% – 2.75%)
2021 (FYE 31Dec): RM58.965 mil (Eps: 0.0004), PAT: 0.26% (OPR 1.75%)
***revenue able to rise double from 2021 -2022 is because 2020-2021 OPR is very low, during this period, sales of car is skyrocketed (lower OPR, lower loan installment, will boost the car sale & boost company sales)
***the next coming reduce interest rate should be within this year end.
Major customer (FPE2024)
1. Customer Group A: 36.93%
2. PHN Industry Sdn Bhd: 24.64%
3. Autokeen Sdn Bhd: 17.35%
4. Ingress Technologies Sdn Bhd: 11.16%
5. Sapura Machining Corporation Sdn Bhd: 1.78%
***total 91.86%
Major Sharesholders
1. Datin Eloise : 55.62% (direct), 3.65% (indirect)
2. Tiu Kuang Hong: 4.23% (direct)
3. Ivy See: 3.65% (direct), 55.62% (direct)
Directors & Key Management Remuneration for FYE2024
(from Revenue & other income FYE2023)
Total director remuneration: RM0.871 mil
key management remuneration: RM0.54 mil – RM0.69 mil
total (max): RM1.561 mil or 11%
Use of funds
1. Purchase of press machines: 11.046 mil, 50.83%
2. Purchase of automation equipment: 4.5 mil, 20.71%
3. Renovation of TPG Factory: 0.452 mil, 2.08%
4. Purchase of one overhead crane: 0.368 mil, 1.7%
5. Working capital: 0.705 mil, 3.24%
6. Estimated listing expenses: 4.658 mil, 21.44%
Conclusions (Blogger is not wrote any recommendation & suggestion. All is personal opinion and reader should take their own risk in investment decision)
Overall is mid-risk and mid-range of investment.
*Valuation is only personal opinion & view. Perception & forecast will change if any new quarter result release. Reader take their own risk & should do own homework to follow up every quarter result to adjust forecast of fundamental value of the company.
Overall is mid-risk and mid-range of investment.
*Valuation is only personal opinion & view. Perception & forecast will change if any new quarter result release. Reader take their own risk & should do own homework to follow up every quarter result to adjust forecast of fundamental value of the company.