*HEXZA 3298* Ethanol segment: ~Turnover for the quarter increased 102.7% to RM13.36 million from RM6.59 million in the corresponding quarter last year mainly due to increase in sales volume by 117.8%. This was due to the outbreak of the Covid-19. In the absence of a vaccine or effective antiviral drugs, ethanol is one of the recommended ingredients for hand sanitiser, hence the demand for our ethanol products has increased substantially from February 2020. Profit before tax for ethanol segment increased by RM3.14 million to RM4.37 million from RM1.23 million mainly due to significant increase in sales volume. ~As at 25 June 2020, the *aggregate value of our investment portfolio was RM21.66 million higher* as compared to the reported value as at 31 March 2020. Save for the above, there are no material events subsequent to the end of period reported on to the date of this report which have not been reflected in the financial statements for the quarter ended 31 March 2020.
“With the current outbreak of a new coronavirus strain, the demand for our ethanol products has increased substantially. Our ethanol segment’s financial results is expected to benefit significantly which should help offset any potential downturn from the resins segment.”
“There are only two major manufacturers of ethanol in Malaysia, namely Hexza and Fermpro Sdn Bhd, a subsidiary of Nylex (Malaysia) Berhad.”
second attempt to break that 1.30 resistant, but today's volume very low.. it should reach above 3 million..need money from gloves and healts sectors..huhu
ethanol cannot be imported like other health materials, in fact all other nation even prohibited ethanol use for drinking becoz of shortage for sanitizing hospitals and public places).. even price double, hand sanitizer companies (not their regular client) have to buy it. Hexza management should strike it while the market still hot..
hexza business outlook definitely poised to over perform in the short & medium term.. but given their positions in the tech counters (Apple, Nvidia etc), tech stock seems overvalued. There are some pointing to a correction in near August for Nasdaq
It is good that Hexza finally moved up after such long period of consolidation. It is not easy to be patient especially during a technical bull run where 5-10% gain is small compared to the limit ups and big uptrend. However, this is a steady and stable stock with good fundamentals. Everything checks out. So try to sit on profits instead of short term punting.
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....
Slc1
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Posted by Slc1 > 2020-07-15 10:02 | Report Abuse
Up up up never give up!!!!