Time will prove that high quality oil palm plantation in East Kalimantan, Indonesia's nearly 40,000 acres (about 16,000 hectares), will become the Mayfair Group (MKH, before the Metro Kajang) crown jewel. Beauty rely on the development of the industry started in the industrial sector struggled for more than 20 years success, but the net profit per share, and always in the level of 20 cents, floundered, unable to make a breakthrough. The company founder is the beauty of the Chairman of the executive director Datuk once your autumn to know more and more difficult to find land, but also more expensive, rely on the industry to new heights in performance, easier said than done. Optimistic about the potential of the oil palm industry After careful consideration, he believes the unlimited potential of the oil palm industry, so five years ago to lock the oil palm for the development of object, go all out, looking for land to plant oil palm, franchisees make a profit, his efforts, a breakthrough in 2008, January 18 in the year to buy in East Kalimantan, a period of nearly 16,000 hectares (40,000 acres) is very suitable for oil palm grown and on land, the lease for 35 years, may be extended for 25 years, making him a round of to enter the dreams of the palm oil industry. After four years of hard work to overcome countless difficulties, a vibrant and beautiful palm oil plantation, now finally take in the wilderness of East Kalimantan. Act low-key, secret march, progress in its annual report in the briefing, so this program to know not many people, the investment community is no insight into its profitability potential, the beauty of the stock, just follow the stock market trend no outstanding performance. In fact, the 23,475 acres planted in 2008 and 2009, two years have been the fruit of their first hour extracted 60 tonnes of fresh fruit bunches of oil extraction plant, has recently been completed, we are preparing to welcome a large number of palm fruit preparation. Comparable to Kuala Lumpur Kepong oil palm plantation Completed four years (2008-11), 15,000 hectares (37,000 acres, the remaining infrastructure and a small amount is not suitable for the cultivation of waste land) planted with a total investment of about 300 million ringgit is expected to also invest in RM50 million to further improve the facilities, the plan's final investment will reach 300 million to 50 million ringgit. The future work is the oil palm plantation management is good, as the oil palm and gradually mature, the earnings will be growing. 22 years to be translated Oil palm planted after the third year results, but the fruit small, is still unprofitable, production increased year by year, to five years earnings began to appear, the busiest time of 6-18, the sixth year in 18 years maintain peak condition between the yield of about 12 years, after which production will go downhill, turned kinds was to 22 years. The beauty of the 15,000 hectares of oil palm plantations (counting only acreage), to the rich period each year how much money? Determine the profitability of oil palm plantations are many factors, mainly for crude palm oil prices, the yield per hectare, palm fruit oil refining rate, cost, and so on. The beauty of the oil palm plantation, the geology is excellent, Geelong A hole is comparable to oil palm plantations. We might as well based on the profitability of oil palm plantation of Kuala Kepong performance, spy on the beauty of oil palm plantation on the beauty of the future earnings contribution potential. Earnings potential need to consider the costs Kuala Kepong recently released 2011 annual report, the company last year for every hectare of mature oil palm fresh fruit yield of 22.17 tonnes of crude palm oil extraction rate of 21.44% per metric ton of crude palm oil production costs 1066 ringgit per tonne 2958 ringgit price per metric ton net profit for 9783 ringgit (this application to count, if the price per metric tonne to RM3, 000 per hectare net profit for 9922 ringgit). Beauty is a superior oil palm plantation, production and refining rate comparable to Kuala Kepong, but in terms of cost, because it is in Indonesia, will be higher than Kuala Kepong, production costs per tonne of crude palm oil (CPO) is about 1300 ringgit , the beauty of the cost should be close to the national average, 1300 ringgit per metric ton. Let us now to calculate the profit potential of the beauty of oil palm plantations abound of the following criteria: Fresh fruit yield per hectare: 22 tonnes. Refining rate: 21%. Per hectare of crude palm oil production: 4.62 tonnes per tonne of production cost: 1300 RM
The beauty of diluted earnings per share increase in the calculation of paid-in capital based on the beauty of 10 get a bonus issue, the real 200 000 000 9000 shares. These alone, oil palm plantation on the company's profit contribution. Must be pointed out, which is rich of the earnings potential of oil palm plantation.
MKH's uptrend is likely to extend after it reached a five-year high yesterday. A purchase can be made above RM2.20, while a close below yesterday's low of RM2.06 can be employed as a stop-loss. The price target is RM2.70, with selling also anticipated at RM2.50. Failure to close higher may signal a false breakout while weakness is confirmed on a close below RM1.90. Strong support lies at RM1.70.
(MKH 6114, the motherboard industry group) industry sales revenue will be accounted for, plus earlier grab won the $ 600 million $ 75 million ringgit main contract (Turnkey Contract), and planted pre-2013 business start contributing, OSK Research bullish on the stock with good growth potential. OSK noted that, since the sale of non-Muslim farming business, the holding of beauty has been transformed into a Shariah-compliant stocks, only less than 5% turnover from non-Muslim business.
"The MKH the Kajang area well-known property developers, currently holds seven industrial projects, unbilled sales ended in March of this year reached 300 million 9,000 8.3 million ringgit in the first half date grab won the extra $ 201 4.8 million ringgit new sales, the company's annual sales target of 500 million ringgit. For the company in April this year, Alam Resources awarded the main contract of $ 600 million $ 75 million ringgit in the Snow region of melon 550 acres of land for residential and commercial industry, said OSK are still assessing the plan contribution, but the plan The special nature, does not foresee the next two years and then grab won similar contracts.
MKH in Kalimantan, Indonesia in 2008 the acquisition of 10 005 thousand 942 hectares Basement has been full most of the basement of the first batch of 3 000 200 ha of fruit trees is expected to mature this year, tip of anticipate planting business starting next year for the first time make a positive contribution.
Intention to maintain the dividend payout rate of 22.2% In addition, the company's management also plans to maintain a dividend of 5 cents per share, equal to the dividend payout rate of 22.2 percent, or 2.5% dividend yield. Consideration of future growth potential, OSK believes that the future stock price upside, the target stock valuation will be set at 8.33 times the PE ratio, the reasonable price of 2 ringgit 34 cents, but did not give any rating.
Tricor Investor Services Sdn Bhd Level 17, The Gardens North Tower Mid Valley City Lingkaran Syed Putra 59200 Kuala Lumpur Tel No: (603) 2264 3883 Fax No: (603) 2282 1886
Kawan-kawan, becareful of stocks that ex-rights/ bonus issue ya. From my observation usually it will not only adjust in price but stay sideway for sometime. Right / bonus issue actually dilute the value of that counter. I give you some good example here. E.g Mflour, Cepat and Johotin. So don't rush in to buy. Just from my observation and opinion here.
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....
Kim Yap Lau
455 posts
Posted by Kim Yap Lau > 2012-02-07 21:31 | Report Abuse
Buy or sell?