Exporters esp tech jump due to USD strengthening, about 65% revenue of Ableglob is export, no benefit? Current share price weakness due to DT will hike 25% of Mexico goods?
Mex JV reported 1.8mil in Q4 2023, only quarter reported profit in past 1 year.

about 80% revenues come from oversea, impact due to RM strengthening since Jul should be minimum as hedging of various currencies are in place as mentioned in QR.
Anyone can shed some lights?

Refer to AR2023, VSTECS hedges their purchase denominated in USD, no benefit due to weakening USD in short term (about 6mths) though RM could hit 3.55 against USD by end 2025 as projected by BMI, will BoD change their forex strategy?

about 65% export market, import raw mat in USD, impact due to weakening USD should be minimum, anyone can shed some lights?
Expect better performance by JV as Mexico Peso against USD rebounds.

as a result no coverage report by IB, no post QR briefing report, etc, management just keeps investors in the dark. It may benefit due to Johor Spore special Econ Zone development mentioned in prospect though.

management/BoD is too conservative, sitting on big pile of cash but without solid plan to grow their biz in next 3 to 5 years, that's why it is not attractive to IB, mostly held by individual in Top 30

corrections last week due to Osram's news?

https://www.digitalnewsasia.com/business/after-losing-major-customer-osram-scales-back-micro-led-dream-sell-plant-malaysia-owned-pnb
This news was dated 6thMay2024:
During his analyst call on 27 April in Austria, ams Osram CEO, Aldo Kamper revealed that the cancellation in Feb by a key customer for the plant’s micro LEDs, believed to be Apple according to media reports, led to ams Osram reevaluating its entry into the micro LED market with the decision now to focus on its internal micro LED needs and not the wider market. That need will be met by its production in Germany. It is now seeking a buyer to take over the lease of its Kulim micro LED plant.
Roughly 500 workers will be affected globally by the decision with a significant number said to be in Penang. The executive said the company is looking at the possibility of redeploying some of those workers to other parts of its business in Malaysia.
That is a business which has grown to around 6,500 employees from 2,000 in the early 2000s. Its latest investment was an expansion in March 2022 to a 60-acre site in Batu Kawan, Penang

AI related tech stocks NATGAT PIE PER also expanded crazily though they're EMS players, lowest supply chain of semicon. NATGAT almost 60x, Dufu closest peers Notion & JCY -PER.
AI theme is hot, judge yourself and manage your risks.

Dufu management mentions they expect low double digits profit growth in FY2024, assuming <20%, Price is about 190 @ PER35x, cheap?

https://www.facebook.com/100064619354545/posts/844261937737777/?mibextid=Nif5oz
DUFU 2024 股东大会

✔️ 管理层表示今年的盈利保持在低二位数增长率

✔️工厂的utilisation rate 在2023年平均在60%，而现今工厂的utilisation rate 是70%

✔️管理层表示他们预计接下来的几年内，HDD的盈利增长为10%；NON HDD的盈利增长是20%

✔️在总盈利中，HDD还是占据了高达70%营业额，而其余的30%是来自于其他业务。

✔️Bukit Minyak 的新工厂已经在去年投入运营，专注于Sheet Metal Fabrication 的业务。管理层表示他们预计今年的业务会增长在20%，而接下来五年会维持在10-20%的增长率。

✔️总结来说，管理层会继续开拓业务市场以增加市场份额。与其同时也会考察新的领域，寻求发展机会。

the key is how much it will grow as current valuation is not cheap

QR mentions that revenue QoQ up 14%, decreased in PBT was mainly due to the reversal of inventories written down of RM1.7 million last Q, good sign of improvement.
Prospect is positive, indicate demand is recovering.

any idea contribution from their own IC produced by Samsung? The news is about engaging Samsung to produce their own chips but market reaction as if they design chips for Samsung, bravo Bursa!

Updates by UOBKH post QR in Feb 2024:
• Missed expectations. Oppstar reported a sequentially stronger 3QFY24 core net profit of RM4.6m (+16% qoq) but still below our and consensus full-year estimates. That said, there was an earnings gap dragged by the lower-than-expected turnkey project contribution (timing difference of revenue recognition) alongside the higher headcount costs and the incurrence of RM2.2m in shares option expenses.

• 9MFY24 revenue increased 3% yoy, driven by higher contribution of specific design services from new customers. This was partially offset by weak turnkey service contribution. Core net profit meanwhile dropped by 11%, primarily due to higher headcount costs, as the group increased its headcount to 264 (from 203 in 3QFY24) to support its multi-pronged strategies alongside the incurrence of RM2.2m in shares option expenses.

• 3QFY24 revenue jumped 8% and core net profit grew by 16% as a result of higher contribution from turnkey design services which had higher margin. Note that turnkey design services contributed 77.8% (+10.0ppt) of the group’s total revenue during the quarter.

• New collaboration to spearhead growth. Oppstar had on 13 Jul 23 entered into an MOU with Chen Junhua and Shenzhen City Yixin Investment (Yixin) with an intention to jointly establish an investment holding company and an IC-related product company to be based in Shanghai.

• Note that the MOU will allow the parties to leverage on each other’s strengths and expertise and allow the parties to develop and co-own the IPs which can potentially create an additional revenue stream for the Oppstar Group.

• Multi-pronged strategies to aggressively capture sea of opportunities. Besides a wider geographical expansion for its design services, continuous customers engagement for full and IP turnkey and China expansion for product development, the group is also building relationships with foundries for better business traction and sustainability.

• On this front, it has been gaining traction with a global leading foundry. Additionally, Oppstar has added two new customers (each from NEA and SEA) and is expecting to secure one more SEA customer with earnings traction to follow in subsequent quarters.

• In the NEA areas, its expansion to Japan is in progress with the group having to obtain the ‘haken’ licence which allows it to directly hire foreign engineers for projects in Japan. We believe the gap of earnings shortfall could be swiftly closed-up in the next two quarters.

• After model updates, we cut our FY24-25 earnings by 8%/20% to account for slower turnkey project contribution.

• Maintain BUY with a lower target price of RM1.70 (from RM2.18), based on a rollover 45.0x 2024F PE. As there are no comparable local listed peers for valuation purposes, our valuation yardstick is based on its global peers’ average two-year forward PE.

Uchi single customer risk, no doubt FPI is a very well managed EMS but they're OEM, no own brand, nothing much they can do when economy slowdown, or low demand.
Hope their AI speaker will be ready to accept order soon.

thanks for your sharing Souljabo, more than 76% of its revenue is generated from the
HDD segment as per AR2023, appreciate if you could shed some lights how TSMC Capex would have spillover effect to precision maker like Dufu, no doubt data center expansion has to support growth in AI & others which will benefit Dufu.

It seems market totally disagrees with UOB, rate Oppstar at much lower valuation after it posted poor result in Q3.

UOB's report dated 27Nov2023: Forecasting a three-year revenue/core net profit CAGR of 29%/31%, on the back of assuming: a) increasingly higher revenue per engineer on an hourly basis, b) progressively higher utilisation rate on increasing available vs billable time, and c) increasing headcount of design engineers towards FY25. Note that the group’s headcount stood at 270 as of 1QFY24. The group has earmarked RM50m for the expansion of its workforce to: a) support the needs of its existing and potential customers, and b) continue developing its human
resources capabilities, ensuring its long-term sustainability.
TP RM2.18 (from RM2.53), based on a rollover 50.0x 2024F PE.

https://klse.i3investor.com/web/blog/detail/PublicInvest/2023-08-24-story-h-241892874-Mi_Technovation_Stronger_Sales_in_2H
PB Invest's report on 24thAug23: MI Accurus Taiwan is currently running at higher capacity utilization of 80% vs 40%-60% as updated on 17thJul23.
Accurus Taiwan (SMBU) contributes about 30% of total revenue in 1H 2023. Three production lines (2 lines for big solder ball and 1 line for small solder ball) have been installed at the new plant in Ningbo, China. Accurus Ningbo China operates at loss currently.

@U1818 thanks!

U1818, mind to share UOBKH report? Thanks in advance.

https://theedgemalaysia.com/node/683365
the research house said that encouragingly, corporate sales chartered a 56% year-on-year (y-o-y) growth on the back of active on-boarding of new customers.
It said the group also continues to drive stronger marketing and promotional activities to push retail sales.
As for F&B (food and beverage), we are confident that the sales momentum will continue with the increase in orders from new corporate clients.

6ct dividend ex tomorrow, let's see the momentum from tomorrow.

https://klse.i3investor.com/web/blog/detail/nanyang_stock_expert/2023-07-18-story-h-245557162
OCK集团的债务有5.74亿令吉，其中51%是以美元计。
根据目前超过8%的美元债务成本，再融资后估计每年可节省1400万至1500万令吉利息。
这对该集团每年超过3000万令吉的融资成本而言，是可观的节约。

https://www.bursamalaysia.com/market_information/announcements/company_announcement/announcement_details?ann_id=3384427
OCK Group Berhad ("OCK" or the" Issuer") is pleased to announce that OCK had on 11 September 2023 lodged the required information and relevant documents relating to the Sukuk Murabahah Programme with the Securities Commission Malaysia ("SC") pursuant to the Guidelines on Unlisted Capital Market Products under the Lodge and Launch Framework issued by the SC on 9 March 2015 and revised on 29 August 2023 (as amended or substituted from time to time) ("LOLA Guidelines").
The Sukuk Murabahah Programme shall have a tenure of thirty (30) years from the date of the first issuance of Sukuk Murabahah under the Sukuk Murabahah Programme.

https://asia.nikkei.com/Business/Tech/Semiconductors/Intel-to-quadruple-cutting-edge-chip-packaging-capacity-by-2025?utm_campaign=IC_asia_daily_free&utm_medium=email&utm_source=NA_newsletter&utm_content=article_link
Additional chip assembly & testing facility at Kulim as part of USD7 bil expansion in SEA.
Heard Intel is PPHB's major customer, long term prospect is good if true.

https://www.bursamalaysia.com/market_information/announcements/company_announcement/announcement_details?ann_id=3341863
The Board of Directors of Focus Point Holdings Berhad ("the Company") is pleased to announce that the resolution as set out in the Notice convening of the Extraordinary General Meeting ("EGM") dated 17 March 2023, was duly passed at the EGM of Company held earlier today, 4 April 2023.
PROPOSED BONUS ISSUE OF UP TO 131,999,790 NEW ORDINARY SHARES IN FOCUS POINT ("FOCUS POINT SHARES") ("BONUS SHARES") ON THE BASIS OF 2 BONUS SHARES FOR EVERY 5 EXISTING FOCUS POINT SHARES HELD ON AN ENTITLEMENT DATE TO BE DETERMINED AND ANNOUNCED LATER ("PROPOSED BONUS ISSUE OF SHARES")

https://fifthperson.com/2021-ajinomoto-malaysia-agm/
The company has spent RM355 million on its new plant in Techpark@Enstek, Bandar Baru Enstek, Negeri Sembilan. The plant will be completed by 2022 as the construction activities were delayed by various phases of lockdowns. The expansion will leverage Techpark@Enstek as a halal hub to further solidify the company’s position as a halal food manufacturer and expand its reach to more Islamic nations. Company secretary Chua Siew Chuan responded to Minority Shareholder Watch Group (MSWG) that the production capacity of the new plant will be at least 20% to 35% higher than that of the old one. Solar panels will also be installed at the new plant to achieve some cost savings. The annual depreciation charges on property, plant, and equipment will increase by between RM10 million and RM50 million.

Prospect: The higher US furniture sales were driven by the Covid-19 recovery stimulus and high demand following the lockdowns. Although purchase orders particularly from US customers remain strong, going forward we expect the continuous inflationary pressures may somewhat dampen demand.
Nevertheless, the ongoing trade war between the United States and China, the Russia-Ukraine
conflict and the resulting sanctions have driven importers to secure their sources of supply from SEA countries, including Malaysia

sell down due to OEM at China lockdown or shipment issues?

@hng33, wheat is input to MFlour, thought it is -ve?

USD200 mil contract from Lukoil, press release in Apr 2012

https://www.nst.com.my/business/2022/03/781079/russia-ukraine-conflict-raised-concerns-about-bumi-armadas-exposure-russia
Bumi Armada has two subsea construction assets in the Caspian Sea or the Armada Installer and Armada Constructor, that have worked for Russia's vertically-integrated oil company Lukoil up to December 2018.
The company had recently secured a new contract to perform pipelay work for Lukoil that will begin in the second quarter (Q2) 2022.
Additionally, it said Bumi Armada sold its three ice-class offshore service vessels (OSVs) to Lukoil on January 20, 2022, for US$44.5 million.
However, the risks are manageable as Lukoil is not owned by the Russian state and has not been subject to the US or European sanctions, CGS-CIMB Research said.
"Importantly for Bumi Armada, the US$44.5 million proceeds from the sale of the ice-class vessels have been remitted to Malaysia and used to pare down its corporate borrowings.

"Also, the ongoing contract for the two subsea construction vessels is not material to Bumi Armada. Therefore, we believe the company has the right to claim the costs of all preparatory work done to date even if the pipelaying work is ultimately abandoned," it said.

CGS-CIMB Research anticipates Bumi Armada to proceed with the Lukoil work and that it may be possible to remit profits back to Malaysia via non-Russian banks' continued access to the SWIFT payments systems.
"Hence, the risks arising from the Russia-Ukraine war on Bumi Armada may be manageable, in our view," it said.

Bank Negara must review financing model for easier home ownership — PM | CEO Morning Brief https://ceomorningbrief.theedgemalaysia.com/article/2022/0329/Home/8/606987
to ensure financial institutions allow easier financing for the B40 and M40 groups to own People’s Housing Projects (PPR) units and other affordable homes. The focus will be on direct purchase and rent to own (options),” Ismail Sabri said
Positive to Lagenda Scientex Matrix

https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/sonos-sounds-warning-on-congestion-container-costs-61409004
The difference has been accounted for by imports from Taiwan, which reached 35.4% of the total in the past three months, as well as a small but growing component from Malaysia. That process has also included a shift away from Inventec as the company's main supplier to also include Wistron for supplies from Taiwan

good points Jeffbkt! Another reason simply to push lower by operator so as to collect cheap tickets, triggered low cut loss 398 by AmInvest last Fri. Anyway FPI surged more than 50% since QR out in Aug, it is quite normal for correction as some opt to take profit in case coming QR below expectation

Old story by HLIB on 8thOct2021:
3Q updates and expectations. Despite longer restrictions from NRP Phase 1, management shared that sales and construction activities have been better QoQ driven by strong demand for affordable housing. We gathered that it will be a flattish QoQ (if not better) as the company is ramping up its operation activities following the higher workforce vaccination level (close to 100% fully vaccinated) and easing of restrictions since mid-Aug. Management shared that sales momentum were strong since July despite the lockdown evidenced by c.RM1bn of bookings and confirmed sales achieved YTD. With historical conversion rate of >90%, we believe Lagenda may exceed its sales target of RM1bn.
https://klse.i3investor.com/blogs/hleresearch/2021-10-08-story-h1591962521-Lagenda_Properties_Affordable_Housing_Demand_Still_Strong.jsp

https://ceomorningbrief.theedgemalaysia.com/article/2021/0256/Home/13/587539
Property. The focus here is mainly on increasing supply of affordable housing (a target of 500,000 homes under the 12MP) and access to financing for buyers. This push should be beneficial for developers focusing on the affordable housing space (such as Matrix Concepts Holdings Bhd and Lagenda Properties Bhd), Scientex also.

With savings from utility bills over the long term, Lagenda Properties' homebuyers will ultimately enjoy lower cost of living, adding to the attractiveness and affordability of our projects.
https://www.theedgemarkets.com/article/lagenda-properties-partners-solarvest-build-sustainable-affordable-township-perak?type=malaysia
Good move by management

terence775, latest QR E&E segment NP down 67% from 3.5mil to 1.3mil compared with last Quarter ended in Jan21 despite revenue increased, margin impacted by cost hike in raw material & shipping? No explanation in QR.
2ndly, any impact to Dnonce plants at Sadao & Ayutthaya so far, as Thai imposing partial lockdowns in Bangkok and nine other provinces since last week?
https://www.reuters.com/world/asia-pacific/thailand-reports-daily-record-coronavirus-infections-2021-07-16/

https://www.voanews.com/covid-19-pandemic/vietnam-announces-lockdown-vaccination-goals
two-week lockdown on movement in Ho Chi Minh City
Any impact to Magni?

52 booking voucher sold at Shopee sold :)
https://shopee.com.my/Lagenda-Teluk-Intan-Booking-Voucher-i.376486682.5088071581

https://www.theedgemarkets.com/article/top-glove-says-production-hurt-us-ban?type=malaysia
gloves manufactured from its factories located in China, Vietnam and Thailand can continue to be shipped to the US. “[Only] production in Malaysia is somehow temporarily affected by a certain percentage.
Should not have any impact to Dnonce at Sadao Thai.

http://www.mywinshine.com/profile.htm
Very good info about Jaycorp, acquires WinShine on 16 May 2000.
1. JV with Indon has secured the concession from the Indonesia Government to fell the rubber tree for 70 years starting from 2004. This concessionary has assured the group of uninterrupted Long Term Sustain Supply of Solid Plantation Rubber Wood for its production.
2. Competitive edge of Jaycorp Group over its competitors in the market:
• Long Term Uninterrupted Solid Rubber Wood Supplies with various strategic partners such as Indonesia State Enterprise and Small Holder Enterprise in Malaysia.
• Largest Rubber Plantation Owned (through a JV Partner in Indonesia) by a Furniture Manufacturer.
• Strong Integrated Manufacturing Capabilities from raw material supplied to end product.
• Effective Cost Control internally as well as out-sourced certain manufacturing process to specialized sub-contractors.
• Constantly invest in latest machinery and technology to increase the productivity and efficiency.
• Furniture Packaging Solution Specialist within the group by having the packaging arm.
• Production Specialization by segregating production line specializing in one process to achieve economy of scale, quality control and minimize wastage.
• Strong Design Capability
• Strong financial position of the group
• Dedicated sub-contractors work solely and partner with the group and to ensure quality control and on time delivery of furniture parts.
3. To meet the challenges demanded by its Japan customers, YAW’s management and technical staff had from time to time traveled to Japan to study in depth technical and quality control applies in a furniture manufacturer. Japan Nitori should be their major customer in Asia region, 78% of total revenue in FY2020.
4. US customers: Walmart Store, Target Store, Metro Group, Coaster

https://www.theedgemarkets.com/article/jaycorp-temporarily-shuts-down-subsidiary-johor-after-55-workers-test-positive-covid19?type=malaysia
Close for two weeks. The management, however, does not expect any material impact to its financial performance

Surprise still able to produce good profit while Liihen poor result due to container price & raw mat hike, labor shortage. But QoQ flat, below expectation. Annualized base on current Q EPS, price 310 at forward PER8x. Inventory double, should be good order in hand, can hold.

KGS always traded well below PER20x before they won SMIC contract, and the goreng theme dry ice, no doubt their LCO2 has good prospect & potential in F&B

RHB report, main reason of heavy sold down:
In yesterday’s quarterly results call, KGB said it lost the bid for SMIC’s (981 HK, NR) c.CNY100m hook-up jobs. This is a negative surprise, as it was the front-runner, being the FY20 incumbent hook-up contractor. We understand that the winning bid – by a Taiwanese rival company – was aggressive, and KGB opted to walk away. Management plans to channel its resources into more lucrative base-build jobs later this year. While orderbook prospects remain strong, on robust fab capacity expansions, we think the loss could affect its chances of securing subsequent jobs, on heightened competition. Base-build jobs command higher margins, but could be of lower value when parcelled out (MYR50-60m), suggesting some dilution to ultra-high purity (UHP) margins. Note that c.25% of FY20 group revenue was from SMIC, which guides for a 25% YoY
capex decline for FY21F.
TP183 at PE 22x FY22F

Dip with volume, not a good sign. Likely Aberdeen continues to reduce their position due to stretched valuation, sold 773k shares on 2ndMar