VSTECS Bhd’s, or formerly known as ECS ICT Bhd, net profit grew 7.71% to RM8.26 million or 4.6 sen per share in the third quarter ended Sept 30, 2019 (3QFY19) from RM7.67 million or 4.3 sen per share in the same period last year, thanks to higher sales.
The company attributed higher earnings to better gross profit, lower finance income and bigger share of profit in joint venture and associate.
Its quarterly revenue was also up 5.36% at RM459.57 million from RM436.21 million due to improved market sentiment, according to a filing with Bursa Malaysia today.
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The group declared an interim dividend of 2.5 sen per share for the financial year ended Dec 31, 2019 (FY19), payable on Dec 18.
The uptrend will continue as the last quarter is expected to be good. Previously, last quarters' EPS ranged from 5 to 7. This time i noticed a lot of government projects were awarded to mesiniaga and htpadu in d last quarter. These companies get their hardware and software from vstecs. Furthermore, the earning will also be boosted by the newly acquired associate company which contribute rm 1.1 milliin net profit in 1 quarter
1 of the cheapest technology or consumer stocks. I m looking foward the last quarter. Traditionally last quarter is d strongest quarter. The management mentioned in the last quarter report that many public and private projects were awarded during last quarter. Not to mention newly acquired associate contributes about rm 1.1 million in the latest quarter. So wait for the last quarter
Very good counter and its undervalued, looking forward for the last quarter, got dividend as well Which makes me hold and buy more, will hold till next quarter
Good earning and growth prospect drive d price up. Compared with other tech companies with pe 20 and 30, this company is very undervalued. It is less volatile in profit. When u looks at its mother company, it is 1 of d largest tech companies in asia, spanning SEA and china. Furthermore, its new associate, ISA tech operates not just in Msia, but also in singapore and australia. Its clients are all big MNC and government agencies. 40% share in d company can provide each quarter rm 1.1 million net after tax profit. That's good investment. They invested rm 19 million for d company, and in return get back almost rm 5 million per year.... together with d associate company, VSTECS will rise on the booming of e commerce
Wait for the next quarter which i believe will be very good as guided by the management. Historical eps in the last quarter ranged from 6 to 7, except last year when many projects were withheld after change of government. However, this year many public projects have been awarded, esp the last quarter. New associate will also contribute to the group's earning. Arrival of 5G will require new installation of hardware and software. When the cash pile accumulates, this company will also reward its shareholders with special dividend like what it did a few years back. I remember the share price climbed to near rm 1.7 when it declared special dividend
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....
Hunter8888
505 posts
Posted by Hunter8888 > 2019-11-11 13:11 | Report Abuse
Rm 2.00 coming lor kehkehkeh.hold 2 month