MSB GLOBAL GROUP BERHAD

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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.

Open to apply: 21/03/2025
Close to apply: 04/04/2025
Balloting: 08/04/2025
Listing date: 15/04/2025

Share Capital    
Market cap: RM122 mil
Total Shares:  610 mil shares
1st day listing tradable shares: 249.546 mil shares

Industry CARG      
1. New Passenger and Commercial Vehicles Registered in Malaysia, 2019-2024: 6.21%
2. Historical Value and Growth Forecast for the Wholesale and Retail Sales of Automotive Parts and Components in Malaysia, 2022-2029f: 10.13%
Industry competitors comparison (net profit%)
1. MSB: 12.93%
2. Teng Sun Auto Supply Sdn Bhd: 18.4%
3. Jyunsei Auto Parts Sdn Bhd: 9.7%
4. Tampoi Enterprise Sdn Bhd: 8.0%
5. Evergrown Enterprise Sdn Bhd: 5.7%
6. Cathay Motor (M) Sdn Bhd: 3.9%
7. Sun Eng Hup Auto (M) Sdn Bhd: 3.6%
8. Others: losses to 3.0%

Business (FPE 2024)    
Marketing, trading and distribution of aftermarket automotive parts, components, automotive lubricants and fluids. Also involved in the trading of other products such as outdoor telecommunication cabinets and related electrical items. 
Revenue by Geo 
1. Malaysia: 95.95%
2. Singapore: 4.05%
Revenue by Segments
1. Aftermarket automotive parts and components: 64.43% (Driveshaft, wheel hub assembly, suspension parts, others): 61.34%
2. Marketing, trading and distribution of in-house branded products, and trading and distribution of other third-party branded products: 2.31%
3. Automotive lubricants and fluids: 34.46%
4. Trading of other products: 1.89%

Fundamental    
1.Market: Ace Market
2.Price: RM0.20
3.Forecast P/E: 12.12
4.ROE(Pro forma):  15.5%
5.ROE: 17.65%(FPE2024),  23.48%(FYE2023),  49.46%(FYE2022), 28%(FYE2021)
6.Net asset per shares: RM0.11
7.Total debt to current asset:  0.186 (Debt: 11.703mil, Non-Current Asset: 13.613mil, Current asset: 62.913mil)
8.Dividend policy:  Didn’t have formal dividend policy.
9. Shariah status: Shariah 

Past Financial Performance (Revenue, Earning Per shares, PAT%)  
2024 (FPE 30Sep, 9mths): RM51.098 mil (Eps: 0.0124), PAT: 14.76%
2023 (FYE 31Dec): RM63.871 mil (Eps: 0.0135), PAT: 12.93%
2022 (FYE 31Dec): RM63.470 mil (Eps: 0.0310), PAT: 29.75%
2021 (FYE 31Dec): RM46.848 mil (Eps: 0.0177), PAT: 23.04%

Major customer (FPE2024)     
1. Win Soon Auto Supplies Sdn Bhd: 13.26%
2. Chico Auto Supply Sdn Bhd: 5.51%
3. TikTok Shop (Malaysia) Sdn Bhd: 4.62%
4. Chin Hoe Motor Supply Sdn Bhd: 4.58%
5. Geb Auto Supply (M) Sdn Bhd: 4.35%
***total 32.31%

Major Sharesholders   
1. Datuk Ow Kee Foo, aged 62: 40.39% (direct), 3.05%(indirect)
2. Ow Chen Lun, aged 28: 6.09% (direct)
3. Lai Swee Ping: 4.70% (direct), 4.77% (indirect)
4. Datin Yong Mui Kim, aged 59 : 3.05% (direct)
5. Wong Nyok Yune, aged 56: 4.77% (direct)
6. Lee Li Lian, aged 58: 7.06% (direct)

Directors & Key Management Remuneration for FYE2024     
(from Revenue & other income 2023)
Total director remuneration: RM1.6838 mil
key management remuneration: RM0.35 mil – RM0.55 mil
total (max): RM2.2338 mil or 10.66%

Use of funds

Conclusions (Blogger is not wrote any recommendation & suggestion. All is personal opinion and reader should take their own risk in investment decision)

Overall is high risk investment, but with low to middle grow opportunities. 

*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.