guys, no need argue so much... i am sharing some fundamental analysis (to put money into sxckperformer's pocker now)...

his observation (purely looking at the debt and conclude that Evergreen has trouble with it) is shallow and of kindergarten class/grade. We should perform a more detailed analysis which also involves its free cash flow...

let me show him:

Based on latest balance sheet:
1) Net debt/Equity = 75.435M/1,111.168M= 0.0679 or 6.79% net debt/equity. Is this not manageable? is this not healthy? Compare with 2015, net debt has actually reduced.

Based on average FCF of latest 3 years (2013-2015) - to reflect a more accurate average value
2) Free cash flow Yield (CY = FCF/MC)
Net cash generated from operation (2013)=52.053M
Net cash generated from operation (2014) = 84.906M
net cash generated from operation (2015) = 119.913M
- average net cash from operation = 85.624M

CAPEX (2013) = 40.907M
CAPEX (2014) = 21.595M
CAPEX (2015) = 93.278M
- average CAPEX = 51.927M

Average FCF = net cash from operation - CAPEX = 33.697M

market capitalization (MC) = RM0.97 * 820.607M shares = 795.99M

Free cash flow yield (CY) = FCF/MC = 0.0423 or 4.23% (>4% which is good)

~~~~~~~~~~~~~~

if you really observe well, you can see that their net cash from operation keeps increasing, while net debt has reduced as compared to last year.

i doubt if this sxckperformer really understands fundamental/value investing well? before he comments and shows his shallow & twisted "facts", i ask him to sign up a class from KC Chong...

just like what stockmanmy did.. haha

btw, can u see how this starperformer PLP KYY? haha...

raider my friend.. good one.. haha...

did u see the sxckeperformer's comment on you?
This loser is indeed a loser... haha... let's just ignore him....

R40s, since the exercise price of warrant is only RM1.20 (in-the-money now, as compared to current share price of RM1.39)... do you think many holders will convert their warrants into mother share? I know warrant price is now RM0.53... but if the holders can't see his warrant at RM0.53 (no interested buyer), he may as well convert into mother share... then immediately sell these new mother shares and make some quick profit... this is possible, right? if this happens, more mother shares (outstanding shares) will cause more EPS dilution...

this is the major issue i am seeing... any comment on this one?

the warrant volume is not low.. it is 56Millions! vs 170M mother shares.. huge ratio!

R40s, can you share with us your view on the warrant exercise? thanks

haha... childish act to cover up his own confusion (as I actually posted in Hevea forum but he was so dumb and confused 0 thought i posted in Evegreen forum, then deleted)... pathetic.. haha...

so it is time to join the sharks...

after purposely pressing the share price down (and done accumulating), the sharks start to push the price up...

AirAsia Bhd (Buy rating with TP of RM3.45)

MIDF Research said Airasia makes a re-entry into its top 10 picks after a recent share price correction which saw a 21% drop from its high of RM3.20 reached in August 2016 stemming from the ringgit losing ground against the greenback.

However, the research house said it was not too concerned about the falling ringgit as AirAsia's unhedged exposure to US dollar for its borrowings and expenses are capped at 33% and 50% respectively.

Meanwhile, AirAsia recently recorded a cumulative nine-month (9MFY16) load factor of 89% which was a group record. Looking ahead, the fourth quarter of 2016 will be even better as October–November loads have already hit 93%.

AirAsia highlighted that it has received eight non-binding bids for full ownership in Air Aviation Capital and one for an 80% stake.

MIDF Research said it is increasingly optimistic on the potential for special dividends as the deal draws nearer to a possible conclusion.

It said that a divestment of a 70% to 80% stake in AirAsia's leasing arm could translate into proceeds of RM2.9 billion to RM3.3 billion (RM1.04 to RM1.19 per share) which could be used to pare debts, fund future expansion and be paid out as special dividends.

haha... the number of reports i read is more than the number of times this sxckperformer drinks milk (child drinks milk, right?)

haha.. i have proved that i have never deleted any post here.. in fact, it is the psycho who was confused, as I actually posted that in Hevea forum... and i never deleted there... and more importantly, I am fully aware of Evergreen producing RTA (i know evergreen 100times more than u, come on), so i did not say anything in my comment that Evergreen does not make RTA... wow.. what a made-up story to accuse me.. pathetic idixt... so pls do not accuse me with ur childish act.. all the while I mentioned Evergreen's RTA business is only about 5% of its total revenue, so i said it is not fair to deem Evergreen as a "furniture" stock... dumb fellow is not sharp/purposely ignore my statement?

ok, this is my last clarification for such stupid and childish accusation that is false...
i started to feel silly if i keep repeating the same words to clarify..

ok, done.. that's all...

u r right Evergreen5101, until today, he is still manipulating the statements to compare with those furniture companies who do not require much capex (machineries, etc)... he is a shallow person... he does not understand the industry as a whole..

My sincere request to Raider and Evergreen5101/FreeAsABird, pls.. from now on, let's just let him bark on his own.. the more we replied.. the more excited he gets... this is called "Fan Jin" (cantonese : mean/despicable)... haha...

and he has not even answered my question...

let's all stop here.. dun spam the forum anymore with this argument as he will never be able to answer (he knows the answer but has no balls to answer)

haha... thanks Evergreen5101 aka FreeAsABird for defending me...
unfortunately some idixt is too idixtic to think I am you... haha...
from the way/style of writing, it is extremely easy to differentiate between FreeAsABird and me.. haha..
and worse is - you have told him who you are, yet, he still thinks "you" are me.. how pathetic he is.. again, it is proven that this idixt is a stubborn one-way thinking idixt.. haha...

wow... another 1,300,000 of warrant had been exercised.. wth... the EPS is being diluted like there is no tomorrow... someone can comment on this?

wow.. SUCCESS is now 2.30... thanks to the fund managers...

admin, can u stop a dog who keeps barking? haha.. mankind already decided not to debate with no-ballsss dog (as IT keeps running away from human question).... but IT is really dogging human being non-stop.. haha

idixt sxckperformer keeps promoting Hevea at Evergreen forum, then defame Evergreen at Hevea forum, with manipulated statements and unfair comparison... when i pointed out how biased and misleading he is, he has no ballsss to even answer my simple question..

now asked me not to talk about evergreen here.. who started this war?
and why this hypocrite has double standard.. oh my gxd.. feel sad for his parents... never taught him properly...

while small fish sold their shares, the directors kept buying at 0.395... haha...

SUCCESS price is moving up steadily after its successful turnaround on the SEB / process equipment segment... buy more today... a really much undervalued share...

raider, pls stop..i have decided to stop arguing with idiot too, thanks to advice from Kingsley Looi.. there is no end and no point to argue with this pondan as he has not even answered my question... yes, asked me which part did he lie or manipulate... readers here can see it clearly.. he is biased and did not do fair comparison..

let's all stop here... it is time wasting to argue with coward who divert from my simple question

guys, can someone advise what is the approved total ESOS shares quantity?
It seems like the ESOS shares have been exercised very frequently!

thank you all.. ad enjoy ur investing journey.. cheers

joerakmo, u r a very fair person... and ur comment is wise..
in fact, i did not beat him up in the first place.. this idixt started this baseless attack in the beginning (you can see from the history of chat)...

in fact, i never mentioned Hevea is worse than Evergreen... both have their strengths but this idixt keeps manipulating "so-called" facts to defame Evergreen... he is super biased...

ok, i will stop here.. arguing with a pondan / no-bxlls fellow is useles..
he has not even answered my question until now..
whereas I slammed his face hard with my justification on why he manipulated the so-called facts

joerakmo, u r a wise man... we share the same view... happy investing...

hi kingsley looi.. ok, noted on your comment.. i will stop arguing with this idixt sxckperformer.. there is no end to argue with him as until today, he still could not find his bxlls to answer my questions (in contrary, I already explained why his so-called "facts" are all manipulated).. investors here can see it.. i wont argue anymore... coz arguing with a pondan is really useless.. u r right...

unless he really answers my simple question, i won't entertain him anymore...

haha... many ppl do not think in a deeper way...
Duterte can ban online gambling today, what is the next step he may do?

Just think:
The reason why Duterte wants to ban online gambling is because this can be illegally accessed by under-aged children..

Same thing may apply to club house where control is not as strict as casinos.. in 2008, Cambodia banned gambling in all club houses due to this reason...

come on loser sxckperformer, dun repeat your same old grandma story which is misleading and twisted... can u even lump evergreen under "furniture stock"... answer me... why dun u categorize Airasia as furniture stock too...

Ricky Yeo, a very good value investor did raise this out too:

These are the fixed assets extracted from the reports. When you look at plant, machineries & equipments (PPE), Hevea needs around RM170 mil of PPE to generate RM503 mil of revenue, or 2.95x. In contrast, Homeritz can generate RM146 mil of revenue with only RM4 mil worth of PPE. That's 32.95x.

Is that because Hevea is inferior? No, it is simply because they are in a different business. For a particleboard manufacturer like Hevea, the amount of machineries they need to chip, flake, dry, mat forming, hot pressing, sanding, sizing, laminating, to turn timber into particleboard are a lot.

In comparison, the machineries you need to turn particleboard into an upholstered sofa is very little. Sanding, polishing and some cutting tools should do the work. In saying that, the workmanship needed to turn the sofa into a high-end quality product will translate into higher expenses too. Pohuat & Latitude would have more similiarities to Homeritz than Hevea, while Hevea's business is more similar to Mieco.

basically Ricky is comparing Hevea with Homeriz..

But similar thing applies here.. why?

Hevea has 60% (huge portion) of revenue in RTA furniture so it requires less capex for machineries etc as compared to evergreen (only 5% RTA, mainly on MDF at current stage).

But, the management invested in capex (for advanced machines) to reduce labor cost and dependency on foreign worker..) see how Homeriz is facing now.. lack of labor and cause revenue and profit down...

so, if Evergreen's RTA business is also 60%... u will probably see they dun need so much capex... but at current stage, he is comparing apple with orange.. see how misleading he is...

haha... u see how this loser and joker keeps manipulating facts.. let me show him Ricky Yeo's analysis again on how these furniture makers require much lesser capex for their business...

http://klse.i3investor.com/blogs/JTYeo/96888.jsp

and he just ignored it.. and keeps telling his old grandmother story (on the same thing, which is misleading and manipulated)...

come on la.. u have not even answered my question:

is evergreen a furniture stock at current stage? is it fair to compare its capex intensive business with "pure/mainly" furniture makers which are less capex intensive?

u all can see it right?

this coward sxckperfomer still dares not answer my question until today (in contrary, I responded to all of his misleading and manipulated "facts"):

How pathetic he is... i pity his parents, really...

yes, guys, let's just ignore this joker sxckeperformer... how sick of him...

let me make one last blow to him on his idixtic and biased comments (for his personal agenda i guess, if not why spend so much time here... quite obvious, he missed the boat and is trying to pull down the evergreen share price - but who is he? does he have such influence.. haha.. )..


1) Debt of Evergreen (which is manageable and reasonable for the industry it is involved in) - he keeps saying that Hevea has zero debt but Evergreen has debt.. I have told him that Hevea is more like a furniture company as its 60% sales are from RTA (ready to assemble furniture) which are less capex intensive. Where as currently Evergreen manufactures 80% of raw MDF so it is more capex intensive in terms of the machineries and maintenance. They are not in the exact industries so you just can't compare directly.. he has not even answered my question on this one.. Yes, evergreen will target to build more RTA (current 5% of total revenue), but their main focus is still MDF at current stage. So, until one day when Evergreen has its RTA sales reach 50-60% of total revenue, then only it is fair to directly compare with Hevea on the debt/net cash...

2) Debt of Evergreen - again, let's discuss if the debt is bad or actually good for evergreen. We know that many business raise loans to expand. We have to examine whether their profit margin is higher than the interest they need to pay for the loan. Last year (2015 full year), evergreen net profit margin is 9.1%. This year (up to 9 months), due to forex loss, the net profit margin dropped to 7.3%. But this is still higher than the bank interest rate that they are paying for... example, if you earn RM10 additional but you pay RM5 for interest, u still get additional (net RM5) for the expansion... so why not to expand if you have net profit from there?

3) Dividend - he is again very biased and misleading here.. 2013-14 were bad years for Evergreen, we all know and admit that. This was due to the intense competition of MDF makers within ASEAN (as 2006-08 were good years and many new MDF makers ventured into this business can caused over-supply) However, as mentioned by Evergreen management, many small and incompetitive MDF players have been washed out (go bankrupt) during the bad years of 2012-2014 due to losses.. but evergreen as the biggest MDF player in ASEAN with strong footing and experience has weathered thru the storm and grow bigger now.. in fact, they ate up the market shares of those closed-shop small factories,.. so from 2013-14, we cannot expect evergreen to pay dividends during tough years.. why I said he is biased? When Hevea was in deep financial woes during 2009-2010, why did sxckperformer not question: why Hevea did not pay out dividend during tat time? see? he is manipulating his words...

4) Dividend - in latest AGM, Evergreen management has approved to give out at least 40% of net profit to shareholders... so, with the expansion plan almost done (will require less capex, and have more cash)... we can expect more dividend to come.. we invest in the future of Evergreem.. but this joker keeps talking about the past.. and he totally kept quiet about Hevea's past on the bad years.. and when raider said Hevea almost went bankrupt.. what did this sxckperformer say? Trump went bankrupt 3 times but now is a US president.. haha.. funny right? we know it is not end of day for bankruptcy, but we dislike his biased view on evergreen.. Hevea's past was bad, but it is ok.. Evergreen's past was bad, but it is not OK.. see it?

sxckperformer.. see.. i wasted so much time to explain to some idixt like u.. quickly thank me la.. coz i "put money in ur pocket" d...

is evergreen a furniture stock at current stage? is it fair to compare its capex intensive business with "pure/mainly" furniture makers which are less capex intensive?

i have slammed you hard with my justifiable answers but you have yet to answer my simple question in Evergreen forum.. come on, if you have bxlls pls act like a man... dun divert topic and answer my question... dun run away like a pondan...

basically Ricky is comparing Hevea with Homeriz..

But similar thing applies here.. why?

Hevea has 60% (huge portion) of revenue in RTA furniture so it requires less capex for machineries etc as compared to evergreen (only 5% RTA, mainly on MDF at current stage).

But, the management invested in capex (for advanced machines) to reduce labor cost and dependency on foreign worker..) see how Homeriz is facing now.. lack of labor and cause revenue and profit down...

so, if Evergreen's RTA business is also 60%... u will probably see they dun need so much capex... but at current stage, he is comparing apple with orange.. see how misleading he is...

come on loser sxckperformer, dun repeat your same old grandma story which is misleading and twisted... can u even lump evergreen under "furniture stock"... answer me... why dun u categorize Airasia as furniture stock too...

Ricky Yeo, a very good value investor did raise this out too:

These are the fixed assets extracted from the reports. When you look at plant, machineries & equipments (PPE), Hevea needs around RM170 mil of PPE to generate RM503 mil of revenue, or 2.95x. In contrast, Homeritz can generate RM146 mil of revenue with only RM4 mil worth of PPE. That's 32.95x.

Is that because Hevea is inferior? No, it is simply because they are in a different business. For a particleboard manufacturer like Hevea, the amount of machineries they need to chip, flake, dry, mat forming, hot pressing, sanding, sizing, laminating, to turn timber into particleboard are a lot.

In comparison, the machineries you need to turn particleboard into an upholstered sofa is very little. Sanding, polishing and some cutting tools should do the work. In saying that, the workmanship needed to turn the sofa into a high-end quality product will translate into higher expenses too. Pohuat & Latitude would have more similiarities to Homeritz than Hevea, while Hevea's business is more similar to Mieco.

haha... u see how this loser and joker keeps manipulating facts.. let me show him Ricky Yeo's analysis again on how these furniture makers require much lesser capex for their business...

http://klse.i3investor.com/blogs/JTYeo/96888.jsp

and he just ignored it.. and keeps telling his old grandmother story (on the same thing, which is misleading and manipulated)...

come on la.. u have not even answered my question:

is evergreen a furniture stock at current stage? is it fair to compare its capex intensive business with "pure/mainly" furniture makers which are less capex intensive?

and coward cum no-bxlls sxckperformer.. i have answered all ur questions with a great slam on your face.. but u have not even answered my simple question:

is evergreen a furniture stock at current stage? is it fair to compare its capex intensive business with "pure/mainly" furniture makers which are less capex intensive?

yes, guys, let's just ignore this joker sxckeperformer...


1) Debt of Evergreen (which is manageable and reasonable for the industry it is involved in) - he keeps saying that Hevea has zero debt but Evergreen has debt.. I have told him that Hevea is more like a furniture company as its 60% sales are from RTA (ready to assemble furniture) which are less capex intensive. Where as currently Evergreen manufactures 80% of raw MDF so it is more capex intensive in terms of the machineries and maintenance. They are not in the exact industries so you just can't compare directly.. he has not even answered my question on this one.. Yes, evergreen will target to build more RTA (current 5% of total revenue), but their main focus is still MDF at current stage. So, until one day when Evergreen has its RTA sales reach 50-60% of total revenue, then only it is fair to directly compare with Hevea on the debt/net cash...

2) Debt of Evergreen - again, let's discuss if the debt is bad or actually good for evergreen. We know that many business raise loans to expand. We have to examine whether their profit margin is higher than the interest they need to pay for the loan. Last year (2015 full year), evergreen net profit margin is 9.1%. This year (up to 9 months), due to forex loss, the net profit margin dropped to 7.3%. But this is still higher than the bank interest rate that they are paying for... example, if you earn RM10 additional but you pay RM5 for interest, u still get additional (net RM5) for the expansion... so why not to expand if you have net profit from there?

3) Dividend - he is again very biased and misleading here.. 2013-14 were bad years for Evergreen, we all know and admit that. This was due to the intense competition of MDF makers within ASEAN (as 2006-08 were good years and many new MDF makers ventured into this business can caused over-supply) However, as mentioned by Evergreen management, many small and incompetitive MDF players have been washed out (go bankrupt) during the bad years of 2012-2014 due to losses.. but evergreen as the biggest MDF player in ASEAN with strong footing and experience has weathered thru the storm and grow bigger now.. in fact, they ate up the market shares of those closed-shop small factories,.. so from 2013-14, we cannot expect evergreen to pay dividends during tough years.. why I said he is biased? When Hevea was in deep financial woes during 2009-2010, why did sxckperformer not question: why Hevea did not pay out dividend during tat time? see? he is manipulating his words...

4) Dividend - in latest AGM, Evergreen management has approved to give out at least 40% of net profit to shareholders... so, with the expansion plan almost done (will require less capex, and have more cash)... we can expect more dividend to come.. we invest in the future of Evergreem.. but this joker keeps talking about the past.. and he totally kept quiet about Hevea's past on the bad years.. and when raider said Hevea almost went bankrupt.. what did this sxckperformer say? Trump went bankrupt 3 times but now is a US president.. haha.. funny right? we know it is not end of day for bankruptcy, but we dislike his biased view on evergreen.. Hevea's past was bad, but it is ok.. Evergreen's past was bad, but it is not OK.. see it?

sxckperformer.. see.. i wasted so much time to explain to some idixt like u.. quickly thank me la.. coz i "put money in ur pocket" d...

Kingsley Looi, what is ur problem?

and coward cum no-bxlls sxckperformer.. i have answered all ur questions with a great slam on your face.. but u have not even answered my simple question:

is evergreen a furniture stock at current stage? is it fair to compare its capex intensive business with "pure/mainly" furniture makers which are less capex intensive?

sxckperformer keeps saying i did not point out his misleading statements...
i have reasoned it out many times but he chose to ignore... how pathetic he is..

again:
yes, guys, let's just ignore this joker sxckeperformer... he is still not ware of how disgusting and not-welcomed he is in this forum... how sick of him...

let me make one last blow to him on his idixtic and biased comments (for his personal agenda i guess, if not why spend so much time here... quite obvious, he missed the boat and is trying to pull down the share price - but who is he? does he have such influence.. haha.. )..


1) Debt of Evergreen (which is manageable and reasonable for the industry it is involved in) - he keeps saying that Hevea has zero debt but Evergreen has debt.. I have told him that Hevea is more like a furniture company as its 60% sales are from RTA (ready to assemble furniture) which are less capex intensive. Where as currently Evergreen manufactures 80% of raw MDF so it is more capex intensive in terms of the machineries and maintenance. They are not in the exact industries so you just can't compare directly.. he has not even answered my question on this one.. Yes, evergreen will target to build more RTA (current 5% of total revenue), but their main focus is still MDF at current stage. So, until one day when Evergreen has its RTA sales reach 50-60% of total revenue, then only it is fair to directly compare with Hevea on the debt/net cash...

2) Debt of Evergreen - again, let's discuss if the debt is bad or actually good for evergreen. We know that many business raise loans to expand. We have to examine whether their profit margin is higher than the interest they need to pay for the loan. Last year (2015 full year), evergreen net profit margin is 9.1%. This year (up to 9 months), due to forex loss, the net profit margin dropped to 7.3%. But this is still higher than the bank interest rate that they are paying for... example, if you earn RM10 additional but you pay RM5 for interest, u still get additional (net RM5) for the expansion... so why not to expand if you have net profit from there?

3) Dividend - he is again very biased and misleading here.. 2013-14 were bad years for Evergreen, we all know and admit that. This was due to the intense competition of MDF makers within ASEAN (as 2006-08 were good years and many new MDF makers ventured into this business can caused over-supply) However, as mentioned by Evergreen management, many small and incompetitive MDF players have been washed out (go bankrupt) during the bad years of 2012-2014 due to losses.. but evergreen as the biggest MDF player in ASEAN with strong footing and experience has weathered thru the storm and grow bigger now.. in fact, they ate up the market shares of those closed-shop small factories,.. so from 2013-14, we cannot expect evergreen to pay dividends during tough years.. why I said he is biased? When Hevea was in deep financial woes during 2009-2010, why did sxckperformer not question: why Hevea did not pay out dividend during tat time? see? he is manipulating his words...

4) Dividend - in latest AGM, Evergreen management has approved to give out at least 40% of net profit to shareholders... so, with the expansion plan almost done (will require less capex, and have more cash)... we can expect more dividend to come.. we invest in the future of Evergreem.. but this joker keeps talking about the past.. and he totally kept quiet about Hevea's past on the bad years.. and when raider said Hevea almost went bankrupt.. what did this sxckperformer say? Trump went bankrupt 3 times but now is a US president.. haha.. funny right? we know it is not end of day for bankruptcy, but we dislike his biased view on evergreen.. Hevea's past was bad, but it is ok.. Evergreen's past was bad, but it is not OK.. see it?

sxckperformer.. see.. i wasted so much time to explain to some idixt like u.. quickly thank me la.. coz i "put money in ur pocket" d...

in terms of your misleading info on debt of evergreen, i will show you proof:

refer to latest Q3 report:
2016 cash and cash equivalents = RM141,018,000
2015 cash and cash equivalents = RM116,571,000

2016 long term borrowing = RM108,952,000
2016 short term borrowing = RM107,633,000
2015 long term borrowing = RM37,229,00
2015 short term borrowing = RM161,479,000

compare yourself:
net debt (minus cash) of 2016 as of sept 30th = RM75,567,000
net debt (minus cash) of 2015 as of sept 30th = RM82,137,000

in fact, evergreen has reduced their net debt in 2016 compared to 2015... so, confirmed you are misleading

sxckperformer... see how biased he is.. he only mentioned about the increase in long-term debt.. but did not mention the huge decrease in short-term debt:

2016 short term borrowing = RM107,633,000
2015 short term borrowing = RM161,479,000

basically Ricky is comparing Hevea with Homeriz..

But similar thing applies here.. why?

Hevea has 60% (huge portion) of revenue in RTA furniture so it requires less capex for machineries etc as compared to evergreen (only 5% RTA, mainly on MDF at current stage).

But, the management invested in capex (for advanced machines) to reduce labor cost and dependency on foreign worker..) see how Homeriz is facing now.. lack of labor and cause revenue and profit down...

so, if Evergreen's RTA business is also 60%... u will probably see they dun need so much capex... but at current stage, he is comparing apple with orange.. see how misleading he is...

come on loser sxckperformer, dun repeat your same old grandma story which is misleading and twisted... can u even lump evergreen under "furniture stock"... answer me... why dun u categorize Airasia as furniture stock too...

Ricky Yeo, a very good value investor did raise this out too:

These are the fixed assets extracted from the reports. When you look at plant, machineries & equipments (PPE), Hevea needs around RM170 mil of PPE to generate RM503 mil of revenue, or 2.95x. In contrast, Homeritz can generate RM146 mil of revenue with only RM4 mil worth of PPE. That's 32.95x.

Is that because Hevea is inferior? No, it is simply because they are in a different business. For a particleboard manufacturer like Hevea, the amount of machineries they need to chip, flake, dry, mat forming, hot pressing, sanding, sizing, laminating, to turn timber into particleboard are a lot.

In comparison, the machineries you need to turn particleboard into an upholstered sofa is very little. Sanding, polishing and some cutting tools should do the work. In saying that, the workmanship needed to turn the sofa into a high-end quality product will translate into higher expenses too. Pohuat & Latitude would have more similiarities to Homeritz than Hevea, while Hevea's business is more similar to Mieco.

haha... u see how this loser and joker keeps manipulating facts.. let me show him Ricky Yeo's analysis again on how these furniture makers require much lesser capex for their business...

http://klse.i3investor.com/blogs/JTYeo/96888.jsp

and he just ignored it.. and keeps telling his old grandmother story (on the same thing, which is misleading and manipulated)...

come on la.. u have not even answered my question:

is evergreen a furniture stock at current stage? is it fair to compare its capex intensive business with "pure/mainly" furniture makers which are less capex intensive?

sxckperformer.. pls scroll up this forum and see...
did i say Homeriz is not a good company?
I am saying it is not a good timing to buy now...
dun manipulate my words... idixt

u all can see it right?

this coward sxckperfomer still dares not answer my question until today (in contrary, I responded to all of his misleading and manipulated "facts"):

How pathetic he is... i pity his parents, really...

yes, guys, let's just ignore this joker sxckeperformer... he is still not ware of how disgusting and not-welcomed he is in this forum... how sick of him...

let me make one last blow to him on his idixtic and biased comments (for his personal agenda i guess, if not why spend so much time here... quite obvious, he missed the boat and is trying to pull down the share price - but who is he? does he have such influence.. haha.. )..


1) Debt of Evergreen (which is manageable and reasonable for the industry it is involved in) - he keeps saying that Hevea has zero debt but Evergreen has debt.. I have told him that Hevea is more like a furniture company as its 60% sales are from RTA (ready to assemble furniture) which are less capex intensive. Where as currently Evergreen manufactures 80% of raw MDF so it is more capex intensive in terms of the machineries and maintenance. They are not in the exact industries so you just can't compare directly.. he has not even answered my question on this one.. Yes, evergreen will target to build more RTA (current 5% of total revenue), but their main focus is still MDF at current stage. So, until one day when Evergreen has its RTA sales reach 50-60% of total revenue, then only it is fair to directly compare with Hevea on the debt/net cash...

2) Debt of Evergreen - again, let's discuss if the debt is bad or actually good for evergreen. We know that many business raise loans to expand. We have to examine whether their profit margin is higher than the interest they need to pay for the loan. Last year (2015 full year), evergreen net profit margin is 9.1%. This year (up to 9 months), due to forex loss, the net profit margin dropped to 7.3%. But this is still higher than the bank interest rate that they are paying for... example, if you earn RM10 additional but you pay RM5 for interest, u still get additional (net RM5) for the expansion... so why not to expand if you have net profit from there?

3) Dividend - he is again very biased and misleading here.. 2013-14 were bad years for Evergreen, we all know and admit that. This was due to the intense competition of MDF makers within ASEAN (as 2006-08 were good years and many new MDF makers ventured into this business can caused over-supply) However, as mentioned by Evergreen management, many small and incompetitive MDF players have been washed out (go bankrupt) during the bad years of 2012-2014 due to losses.. but evergreen as the biggest MDF player in ASEAN with strong footing and experience has weathered thru the storm and grow bigger now.. in fact, they ate up the market shares of those closed-shop small factories,.. so from 2013-14, we cannot expect evergreen to pay dividends during tough years.. why I said he is biased? When Hevea was in deep financial woes during 2009-2010, why did sxckperformer not question: why Hevea did not pay out dividend during tat time? see? he is manipulating his words...

4) Dividend - in latest AGM, Evergreen management has approved to give out at least 40% of net profit to shareholders... so, with the expansion plan almost done (will require less capex, and have more cash)... we can expect more dividend to come.. we invest in the future of Evergreem.. but this joker keeps talking about the past.. and he totally kept quiet about Hevea's past on the bad years.. and when raider said Hevea almost went bankrupt.. what did this sxckperformer say? Trump went bankrupt 3 times but now is a US president.. haha.. funny right? we know it is not end of day for bankruptcy, but we dislike his biased view on evergreen.. Hevea's past was bad, but it is ok.. Evergreen's past was bad, but it is not OK.. see it?

sxckperformer.. see.. i wasted so much time to explain to some idixt like u.. quickly thank me la.. coz i "put money in ur pocket" d...

is evergreen a furniture stock at current stage? is it fair to compare its capex intensive business with "pure/mainly" furniture makers which are less capex intensive?