Icon8888 will not comment if CI Holdings can be purchased or not at certain prices, simply because his reputation will be at stake. Perhaps, he will answer if he is still holding CI Holdings at current price or not. Sifu Icon8888, please write more articles on CI Holdings after the 3QR is released. Thank you..
Its amazing how this company can accumulate so much debt aka borrowing. Which bank in its rights mind would loan so much money for a general manufacturing company.
Haha ! It needs working capital to ramp up the sales. As Africa is far away and shipment takes 2-3 months to reach, it needs bridging financing with bank borrowings... Revenue growth is very good and EPS per Q is already more than 7 sen...
This year EPS may exceed 30 sen per share... Dividend hopefully more than 10 sen per share.. hehe..
Insiders bought at much higher prices 2.50 and above...
Edible palm oil is Malaysian produced products in abundance. Marketed to more than 100 countries worldwide... Revenues and earnings has gone up by leaps and bounds.
It is consumable products require by the masses daily ... should command PE of 15 times....hehe
Revenue QoQ increased to RM738 million from RM654 million.. an increase of RM84 million.. net margin improved to 2.12% from 1.48%...
Borrowing stand at about rm240 million... current liability decreased by about rm50 million and current asset decreased by about rm20+ million...
Business is growing exponentially... if margin improves further, there will be net free cash flow or if the revenue stops increasing exponentially, the collections will pare down receivables and will have positive free cash flow...
CI Holdings must not only increased its revenues, it must also improve its cash flow and margin in order to attract more investors. EPS may show improvements; gearing is still very high and because of such concern, this counter market price cannot move up positively.
They are embarking on high risk with palm oil business . offlate nearly 400 FCL has been directed by East Africa customs to get reexported back sighting that have not complied to quality standards.further their margins getting deteriorated due to stiff competition
Palm oil business is not high risk. The risks may include poor quality control, foreign exchanges, stiff competition and large capital outlay for long export markets.
I bought a little of this @ 1.38 early Oct '19 to attend meeting. Collected Intercontinental Hotel packed lunch(hi quality delicious!), 2 bottles of cooking oil, 8c dividend & today, after securing the 10c dividend, I SOLD 40% of my shares from 1.64 down to 1.57
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
yk1188
132 posts
Posted by yk1188 > 2016-10-20 20:56 | Report Abuse
Review 2015 news :
CIHLDG (2828) - 扩充食油业务 合成实业争庞大商机
(吉隆坡2日讯)自从合成实业有限公司(CIHLDG,2828,消费产品组)于2011年10月,将经营不含酒精饮料装瓶业务的子公司Permanis私人有限公司,以8亿2000万令吉出售给朝日集团控股有限公司后,市场已很少关注前者的动态。该股的每天平均交易量少于50万股。
不过,在今年2月底该股突然飙升,主要是该集团与有兴趣团体洽商,可能会出现企业活动。
最近合成实业大股东拿督佐哈里证实,集团正在寻求收购其他食用油包装和分销公司,以扩大旗下的大陆资源私人有限公司的产能。他说:“目前,我们已在谈判中,没有提供任何详情。”
尽管如此,佐哈里还很高兴地谈论食用油包装业务。虽然该业务的利润率不到2%,不过他有信心该业务和其他新的业务在未来2至3年内,每年能够取得10亿令吉的营业额。
他称,上述收购可使合成实业的食用油出口,从现在每月800箱增加一倍至1500箱。
他解释:“该项收购旨在将大陆资源的出口市场销售占总销售,从现在的48%提高到90%。”他补充,目前,国内销售仅占大陆资源5%的销售。
佐哈里承认,虽然该包装和分销业务的利润率很微薄,但是它在食用油行业价值链的底部。在截至2014年12月31日止的2015上半财政年,根据营业额1亿9770万令吉计算,合成实业的净利润率是1.58%。
他似乎对微薄的利润另有看法。除了收购食用油包装和分销公司计划外,他指出:“我们也正在考虑在消费领域建立新业务。”然而,他不愿进一步透露有关细节。”