I think the recruitment fee was only RM 4.9 million this quarter.

Does anyone have more insight into the RM 14 million inventory provision, and the RM 2 million receivables provision?

Doesn't directly affect Comfort, I would say - good chance of adjusting upwards again post the kneejerk reaction from the market.

Oh supermax , CBP ban?

What bad news is this?

Good news is that news articles and analysts have turned neutral (vs negative) in the past week or so.

An overall slower drop in ASP prices, and healthy order levels / growth in M'sia will help significantly of course.

Think the next catalyst events need to be the next quarter of earnings. With other glove stocks looking more positive than expected (vs analyst expectations) and Comfort's results sustaining with a circa 15%-30% drop quarter-on-quarter

any numbers on RSS so far today?

anybody got numbers on the shorts done today?

Lol. Okay. I don't believe.

Also per box is only 100 gloves. So USD 15 per box means USD 150 per 1000 gloves

Why don't you post the article here for everyone's benefit?

The only article / section I found on keyword search from the edge with numbers is as per below.

“For instance, a box of 1,000 pieces of gloves sold at about US$95 previously. Current quarter (3Q21) may see about a 20%-30% decline, which would be between US$65-US$75 and for 4Q21, it may drop to around US$45-US$50. After that, the price may likely to stabilise around that level,” said Malacca Securities Sdn Bhd senior analyst Kenneth Leong.

Nothing about USD 15.

Looking around Alibaba , the cheapest price I saw even from China for medical gloves (with certification criteria) was USD 80 and above

Jolow, BGT - what are your sources that show china is selling at USD 15 / 50pct off? Let me guess "somebody told you?"

Wah they are very hardworking if they are shorting on a saturday.

Actually. Signs are that gloves will turnaround next week. Could just as easily be 1.50, or more next week

Wow. the chairman bought 9million worth of shares on the 23rd? That would have been somewhere between 2.67 and 2.80?

Where is everyone checking ASP prices? Analyst reports are, erm... you say, I say ... and press releases just say that ASP prices are dropping without indicating a number...

My best source for a data based view seems to be on alibaba ... supplier prices advertised for medical gloves... these prices are still well above USD 70 / 1000 ... especially if you filter for supplier track record / certifications

What's the maximum RSS cap btw? 4% of outstanding shares? so... 87m shares left possible for short selling? (net short position was 240m shares, 2.93% as of 22 Sep).

In the midst of all the doom and gloom ... I think people are also forgetting ... that in the end / long run it will come to a point where glove makers will also have a say of what ASP prices should be. ASPs are high and normalising now - but when they do - it's going to be at a level where glove makers can make money.

Else nobody will make gloves, everybody close shop - then?

think we flattening out? or the next round of shorting starts again tomorrow?

It was still a good quarter for the company. If the decline of profit over the next few quarters is kept at 30pct or less. We're already looking for a RM 2.00 company @ P/E 5 ... Guess it's just whether the IB analysts are right about quarter-on-quarter outlook... it would be great if the next quarter it didn't decline, but instead stays flat or increases slightly for Comfort. That would be phenomenal.

Even if we project -30% for the next 4 quarters (down each quarter) ... the EPS will be 40sen. PE 5 still a RM 2 stock. Actually - a very good result.

what happened today morning? RSS started targeting comfort? 10sen drop in the morning was very unexpected.

https://www.parlimen.gov.my/bills-dewan-rakyat.html?uweb=dr&

The actual bills and status within dewan rakyat. The amendment is in that list. Feel free to read.

It's a bill amendment, not implementing of windfall tax (the bill already exists).

The amendment actually makes it easier to collect refunds. Lol.

First reading last year, second reading now. Not even sure why was it added to the article

https://www.parlimen.gov.my/bills-dewan-rakyat.html?uweb=dr&lang=en#

Is there any market / source to view glove asp on a daily/weekly/monthly basis?

Actually. There has been a lot of support at RM 3.40.

@karadis lol. What the management knows or not cannot be added into the financial account for the period la (the RM 5+ million profit that you were so keen to point out).

To put things simply (and in your words): Please! You can record next quarter's profit now meh?

Make mistake already , admit la. Denying it doesn't help your credibility.

@Karadis. The QR you're referring to is for financial period ending 30th April 2021.

Bonus issues were proposed on 24th May, only approved and announced on 8th June, and released in the market 24th June.

How are you linking those two things together? Or were you referring to the next QR that is not even out yet? You truly have very interesting insight.

Let's be a little more positive and talk about trading strategy rather than he said she said...

@risktoreward - you got out at 0.55 to see how things would go right? Any plans on re-entering?

Just to add my bit - I'm probably transitioning my position to warrants in prep to hold longer term - don't think the uptick will come so soon - but confident in a long term turnaround.

Share price is off-low and climbing as we approach noon. Might end up back at RM 0.55 by the end of the day.

Key point... Make your own decisions... doesn't cost people anything to make a post on this forum... but they don't pay you back if you lose your money.

@karadis I'll ask a very direct question. Do you think you're smarter and more observant than most people here? I'm assuming that's who you are referring to elementary school students...

Good that you feel you're good with advanced function equations... (Haha what do you even mean by that? Binomial distributions and quadratic equations?... Just guessing).

But I think , have some humility when you speak la.

@karadis I'm puzzled as to how you arrived at your conclusion that Chew Mun was selling all his shares. Or that he is selling via an offline transaction.

Is this stated anywhere?

@karadis always with the end of the world statements from surface level observations.

Chin Chew Mun holds 645,000 shares (RM ~400k), and 322,500 warrant-B (RM 80k).

Today's volume for the mother share alone was 26 million shares (RM 16.1 million). Even if Chin Chew Mun sold everything today. You wouldn't even have noticed (and the share price still went up).

I would say you should be more worried about some of the forum readers selling their positions rather than Mr. Chin. They might own more. haha.

Worry when people like Lau Mong Ying make an announcement la, who has 57 million shares (RM 35.7m) and 28 million warrant-B (RM7m).

Buying warrants also skips the need to declare that you're becoming a significant shareholder (until you convert).

@jojo69 Your investment strategy is of course, your prerogative. Glad to see you taking ownership of it rather than relying on others. Time your exit, there are optimum times to sell even when exiting a position.

@jojo69 : I'll drop a note because you seem quite stressed. In the long term, the fundamentals are in your favor. It's a company that has survived the pandemic by innovating into face masks, and has a good cash position. If you can leave your investment for a period of 12-24 months , I think you can relax a little.

Karadis in my opinion hasn't really offered good analysis and just likes to be heard. More emotions than facts (e.g. extrapolating multiple conclusions from just quarterly trends, which is irresponsible analysis)

Sujibaby at least did a decent analysis at the sub-segment level. I had thought many people missed the LAD element in last quarter's results.

That said, no-one can tell you with certainty whether the next QR is good or bad. (i.e. I'm not sure if either Karadis or Sujibaby would be willing to bet their life savings that it is negative , likewise no-one can guarantee you that it will be a good QR)

I say this because. Prolexus is a company that has been hit (like any other apparel company) , with declining sales due to COVID, and did a good move by pivoting into masks (imagine if they didn't?). As the apparel industry recovers, Prolexus's core business will recover as well. When and how much is the question, but clearly, now is a low point in the business and only two outcomes are possible - recovery , or bankruptcy. Bankruptcy is unlikely due to its cash position and alternative revenue from masks in the interim. If it's any comfort, Nike has reported a strong fourth quarter , +96% in revenues and +73% in sales, so there are signs of industry recovery.

My personal view is that you should look closely at the QR , but consider it one of many that you will have to follow with an exit horizon of 12-24 months. In that sense, there is low risk to your capital. Just a lot of opportunity loss if you were looking to punt the money somewhere else.

Just had to say this. Accountability la when one posts things. Karadis , where are you? What's your opinion today? Got blog post? Deep technical analysis to understand things is your passion right? What's a reasonable target price? Based on your deep analysis and facts?

Lol, Karadis , actually against your original expectations ... Prolexus did much better than expected. Outperformed! (with c. +10mn revenue, and c. +5mn profit above your targets).

If you were an equity analyst, you'd have to revise your target price upwards. How? :-)

https://klse.i3investor.com/m/blog/karadis/2021-03-10-story-h1542120220-Prolexus_8966_2021_Q1_Prophesied.jsp

1.01 now, somebody just bought up the whole wall of sellers at 1.00

The cooperation with Skechers is interesting. As it's an existing client, with US market customer base.

Also looks like that is proXmask 95v? Which is a version that finally meets all filtration standards. (BFE ≥ 95% and PFE ≥ 95%).

Making it a mask that's 'healthier' than other fashion masks (e.g. uniqlo)

The MD bought shares on 17, 18, and 21 (today) December. At least positive signaling.

RM 1.41 , RM 1.30, and RM 1.28. , roughly150,000 shares.

Some buying strength after 4pm. Buyers that were waiting to buy cheap finally pulling the trigger.

With dividend ex date on Dec 30. Management will want to execute the share buy back just before. Probably waiting for selling momentum to dissipate/turn before buying.

38mn *profit* in 6 months (when it used to only generate 6-8mn in a year before that)

Let's keep in mind that this is a company that generated RM 38 mn from May to July 2020.

And that it was never a mask company before COVID.

Fundamentally it's cash rich, and adapted well. For a company that was able to do this during COVID, I don't think the company is just going to sit back and watch it's business shrink in the long term la. Mask or no mask.

limitupup you don't know what you're talking about. GDex has been in partnership with Lazada since 2016.

They are even listed in the instructions in Lazada's seller center:

https://sellercenter.lazada.com.my/seller/helpcenter/handbook-to-prepare-operations-logistics-campaign-day-non-lex-sellers-7684.html

Posted by limitupupup > May 21, 2020 6:35 PM | Report Abuse

sell now before too late, never ever seen any gdex courier van during mco. No partnership with big e-commerce like shopee lazada. Sell before too late.!!!