Final hurdle completed...cause of the delay

https://www.bundeskartellamt.de/SharedDocs/Meldung/EN/Pressemitteilungen/2023/05_11_2023_Hamelin.html;jsessionid=C1AF5BCD020DB657055A49D8E947E54D.1_cid509?nn=3591568

Salutica is an ODM company and not a typical EMS manufacturing OEM products. They are now into TWS earbuds for global brands in sports, teleconferencing and gaming and also into hearables for the hearing impaired such as Nuheara and Sonova.
The recent quarter probably reflected the start of the turnaround and with the institutional participation in the PP recently, it is a sure thing that the coming quarters will show in the numbers.
Research coverage by the banks and brokers is zero at the moment and the sharp cookies buy before the coverage starts.
The upcoming Nov and Feb results will validate the above.

It must be the government giving approval to start toll collection for the sections that are opened for use so far. Under the concession agreement, toll collection starts 3 months after opening of the section. The company mentioned in latest quarterly announcement that toll collection to start in December. Stay tuned!

Salutica is a technology gem rather than purely an EMS manufacturer which we have quite a few here in Bursa. The successful EMS that we have here manufactures for other consumer product companies that own the technological know how but Salutica is heavy into R&D on Bluetooth which has resulted in Bluetooth 5.0 in collaboration with the inventor of Bluetooth Jaap Haartsen.

https://www.invent.org/inductees/jaap-c-haartsen

This Bluetooth 5.0 is now in Jaybird Vista which has received rave reviews as one of the top 3 earbuds in the market and probably number 1 for fitness fanatics due to the size connectivity and waterproof nature of the buds.

https://www.forbes.com/sites/bradmoon/2019/09/21/jaybird-vista-review-true-wireless-earbuds-set-new-high-bar/#76e8c34d54a3

If you visit Salutica's webpage, the focus and visuals is on their FOBO TPMS product which was self developed by their team. Management guides that the FOBO range has high margins but at present represents a small percentage of annual revenue so this is something for the future. This point highlights that Salutica is a forward looking technology gem which is rare in Malaysia.

After the IPO in 2016 institutional funds bought heavily into the stock with valuations of 20x PE on the growth story with bluetooth/jaybird/plantronics/neonode airbars. The launch of the previous Jaybird earbuds encountered connectivity issues with the Master/Slave modules which resulted in the company embarking on a re-engineering effort which has resulted in this Bluetooth 5.0 in the latest Vistas which will be reflected in the next 2 sets of results. This know how with Bluetooth 5.0 will result in future contracts for the company.

Technology companies and EMS are probably the only bright spots for the Malaysian economy and Bursa at present as they are sort of insulated from the trade war. Looking at the share price in the last few weeks with high volumes on up days and lower volumes on down days and with only the AM Bank piece in the market, it strongly points to funds accumulating the stock. (See Friday 27th Sep when Bursa was in a sea of red)

When the insiders and funds have finished accumulating the stock, other research reports will appear. Other than the AM Bank piece, there is nothing written in the press and business publications. The stock had a false breakout from 0.675 a week ago...corrected and stage a recovery on Friday with strong volumes. When the real breakout happens the stock will move to a new level.

Check out the information above yourselves and watch the technicals volumes and business news for coverage and news on the stock. Early birds catches the worms!