should be today right QR report

all jz waiting QR Report

http://www.theedgemarkets.com/my/article/skp-resources-sees-rm23b-annual-sales-fy17

KUALA LUMPUR: Electronics cum plastic parts manufacturer SKP Resources Bhd ( Valuation: 1.10, Fundamental: 2.10) expects to achieve an annual revenue of RM2.3 billion by the financial year ending March 31, 2017 (FY17), with a targeted average profit margin of 7.5%.
“We just closed FY15 with about RM600 million [revenue]. For FY16, we will probably do RM1.3 billion, and then followed by about RM2.3 billion in FY17,” the group’s executive director Ivan Gan Poh San told The Edge Financial Daily after the group’s annual general meeting last Friday.

Gan explained that FY16 sales would be driven by consolidation of the businesses that it had acquired from sister company Tecnic Group Bhd ( Valuation: 2.10, Fundamental: 1.95), which was just concluded earlier this year.

The move was to enable SKP Resources to transform into a more diversified player in the plastics industry.

The group is justifiably confident about its FY17 target as it has already clinched two five-year contracts this year totalling RM5 billion from its major customer, British-based Dyson Ltd.

Recall that on May 18, the group bagged a RM2 billion job from Dyson to manufacture the latter’s new cordless vacuum cleaner. The contract, which spans five years and begins from October, is worth RM400 million per annum.

On Sept 14, SKP Resources secured another RM3 billion contract from Dyson, scheduled to start in January 2016 — again with a tenure of five years — worth RM600 million per annum for the same product.

Further, Gan, who is also son of SKP Resources and Tecnic’s common controlling shareholder Datuk Gan Kim Huat, revealed that SKP Resources’ current average profit margin across all its assembly lines is about 7% to 7.2%, and that the management intends to raise the figure to 7.5% by FY17 by enhancing the group’s production efficiency.

“As of now, we are not in talks for additional orders yet. This is because we are putting more attention on the businesses on hand as the company has grown so much [after acquiring Tecnic’s businesses],” Gan said when asked if SKP Resources is in any talks for more jobs.

“Of course we will still proactively seek to replenish our orders, but with this significant growth of business size, we will concentrate on more improvements [in efficiencies] first,” Gan said.

SKP_price-chart

Still, Gan said there is potential for more jobs from Dyson, as the latter is investing £1.5 billion (RM10.02 billion) into research and development over the next four years.

“This will indirectly create a lot of new products, so these will be things that hopefully SKP Resources can work with them on,” he added.

Following the acquisition of Tecnic’s businesses, SKP Resources has broadened its customer base to include Exxon Mobil Corp, Petroliam Nasional Bhd, Nestle (M) Bhd (Valuation: 1.50, Fundamental: 1.15), Unilever plc, Sony Corp and Panasonic Corp.

For the first quarter ended June 30, 2015 (1QFY16), SKP Resources’ net profit jumped 85.55% year-on-year to RM17.9 million from RM9.65 million. Revenue ballooned 84.51% to RM243.06 million from RM131.74 million in 1QFY15.

Last Friday, SKP Resources shares (fundamental: 2.1; valuation: 1.1) closed unchanged at RM1.35, with a market capitalisation of RM1.46 billion. Year to date, its share price, which was trading at 64 sen on Dec 31, 2014, has more than doubled.


Can trust gah?

when is the report out

kena UMA

luckily follow buy.....

look like coming to rm1...can sustain/?

Today is the AGM day..

Can Q3 hit 8000 nett profit

Post removed.Why?

PANG72...ENOUGH LA

walao....so high meh...how to in

oklaokla...thanks for info

why so angry....ask jek ma

betul kah.....

TP RM2

Bright days are ahead for SKP Resources Bhd, as the company is set to see an earnings expansion with RM5bil worth of contracts being clinched from Dyson Ltd to produce its popular cordless vacuum cleaner.

Amid the challenging climate, SKP grabbed the first RM2bil contract in May, valued at RM400mil annually and subsequently secured another RM3bil job valued at RM600mil per annum. The tenure for both contracts are five years.

“This is a feather in our cap, as we are seen as Dyson’s core strategic partner in producing the cordless vacuum cleaner.

“And the latest contract marks another milestone for SKP and is expected to contribute significantly to the company’s annual revenue for five years, beginning 2016,” executive director Ivan Gan (pic) told StarBizWeek in an interview recently.

SKP has been working with Dyson for the past 13 years, of which the first six years it was involved in complete assembly works for the British-based company’s upright vacuum cleaners, hand dryers and bladeless fans.

Ivan says with the job wins, SKP’s revenue is expected to grow from RM600mil now to about RM1.3bil for financial year 2016 (FY16), with net margins of about 7% to 7.5%.

It grew 50% in FY15 from RM400mil to RM600mil.

The 40-year-old Gan attributes the contract wins to Dyson’s expansion plan in increasing its digital motors. The digital motors are one of the many components in the cordless vacuum cleaners.

“We have started production for the first job this month, while the second job is expected to begin in January 2016,” says Gan.



In March, Dyson was reported to have pumped in US$100mil into its West Park plant in Tuas, to increase the plant size to 143,000 sq ft and increase its yearly motor production to 11 million units by year-end from the four million units annually.

These advanced, compact digital motors power all of Dyson’s cordless vacuum cleaners, which are sold in more than 75 countries.

In 2014, Dyson’s patented cordless vacuum technology sales grew by 68% globally.

Dyson is indeed on a growth mode as it announced a four-year investment drive of £1.5bil that includes funding for research and development on design innovations at a new campus in Dyson’s UK headquarters, according to Bloomberg.

“Dyson’s expansion bodes well for SKP, as production is ramped up to meet the global demand for cordless vacuum cleaners,” says Gan.

He points out that even with the latest job, the group’s RM40mil plant in Senai, Johor is only running at a 35% utilisation rate.

The plant has a built-up area of about 400,000 sq ft and is expected to be fully operational by 2017.

Although Gan didn’t wish to divulge on the production capacity for the new product range, he says the group has set aside about RM20mil in capital expenditure for new machinery annually.

Aside from Dyson, SKP’s customers include Sony and Hewlett Packard, among others.

“With new manufacturing techniques and solutions, we are now able to house more production lines in our facilities to meet the demands of our customers,” says Gan.

SKP’s first 10 year-old plant is located adjacent to its second plant and running at full capacity.

Gan says contract wins will inevitably open doors to other new jobs, but for now SKP is content with working with Dyson.

On plans to diversify, Gan says the group made strategic acquisitions in Plastictecnic (M) Sdn Bhd, Bangi Plastics Sdn Bhd and Sun Tong Seng Mould Tech Sdn Bhd that are primarily involved in the automative, oil and gas, food and beverage as well as consumer product industries.

“These subsidiaries are into commercial lubricant packaging and tool fabrication, and deal with customers like Axon Mobile, Shell, Petronas, UniLever, Nestle, Tupperware, Santori Group of Japan, among others,” Gan says, adding that their contribution to the group’s revenue is about 25% to 30% and is seeing steady growth of about 8% to 12% annually.

On whether the slowdown in China had any impact on Dyson or SKP, Gan says Dyson’s major markets are Japan, Australia and Singapore, among others, while China is not its main market.

oklo...folllow u buy vs lo

but skpres got 1b revenue start 2016 wo...

what r u waiting then

got free gift?

How about the factory viet burned

SKP Resources Berhad (SKP or the Company) - Award of Contract by Dyson Ltd

The Board of Directors of SKP Resources Berhad (“SKP” or “the Company”) wishes to announce that the Company has secured a new contract from its existing customer, Dyson Ltd. (“Dyson”), for the manufacturing of Dyson’s cordless vacuum cleaners (“Contract”). The Contract is scheduled to commence in January 2016.

SKP, one of Dyson’s contract manufacturers in Malaysia, currently assembles a range of Dyson products, including upright vacuum cleaners, hand dryers and bladeless fans. The latest Contract marks another milestone for SKP and is expected to contribute significantly to the company’s annual revenue for five years, beginning 2016.

Financial Effects

The Contract is expected to contribute positively to the Group's revenue and earnings for the financial years ending 31 March 2016 and 31 March 2017.

Directors' and Substantial Shareholders' Interest

None of the directors and substantial shareholders of the Company and/or its subsidiaries or any persons connected to them has any direct or indirect interest in the Contract.

Board of Directors’ Statement

The Board of Directors of SKP is of the opinion that the Contract is in the best interest of the Company.

This announcement is dated 14 September 2015.