This spammer goes round every counter to badmouth and promote his counters . Should be banned from posting. As if he is the expert in all type of businesses . Please go and look at the mirror and who are you . Some more praise himself to be a good Christian . Wtf
Very dissapointed 15 sens dividend with share price over rm 3.80 , worst n worst qr coming n lesser dividen coming , hold longer loss bigger just like TNB !
Retailers stock up due to confidence that demand is back. Remember they have to pay cash to stock up. So it is a positive sign that demand is really back.
Turnover surged is in line with the confectionery industry players like OFI and HupSeng. It could be partly due to increased capacity as new line (worth RM 10m PPE) has put into operations in 2022. Any new products launched in year 2022?
AGM 2021 Minutes. There is a question related to the investment in PPE .
Q16. Inquiry received from Mr Koh Chooi Peng: There has been a big jump in the Purchase of Property, Plant & Equipment amount to RM8.511 million in FY2021 vs RM1.408 million in FY2020 (page 71 of AR). (a) What are the reasons for the huge increase in PPE? (b) The Capital Commitment provided for FY2021 was only RM931,000 (page 111 of AR), what will be the commitments expected for FY2022?
Board’s Response: The RM8.511 million was used to purchase new machinery for the waffle production line. The Company's current chocolate waffle production line is more than ten years old, so the decision to invest in a new machinery line in 2021 was made primarily to benefit from new technology's ability to save energy while also increasing output. Additionally, the existing line can be upgraded to the level of the most recent technology.
Zzprozaz. The new machine speed is definitely much higher than the output of the old junk 10 years ago. " new machinery line in 2021 was made primarily to benefit from new technology's ability to save energy while also increasing output."
zprozaz. I don't know what are the main reasons behind surged in Turnover over the past 2 quarters. Is there any new product launching or venturing into new market besides one off restocking as what you said. I agreed that turnover of OFI & HupSeng have returned to pre-covid level after comparing with the past 5 years. On the other side, Apollo's turnover is rather different as shown below.
Zzprozaz. We both using the different basis to make a projection of potential turnover in the next 2 quarters. I am using the quarterly turnover and inventory to see the trend and the relationship or if there is any strong correlation over the past 7 years. It seems there is something change apparently since 2022. Quarterly turnover was relatively stable trending downward over the last few years.
Distributors and big retailers were suddenly built up 40% more of end consumer products in 2 consecutive quarters. It is rather unusual practice. Why were they being so rush...afraid of increasing selling prices? That's what we normally see in commodity products. If the turnover was suddenly surged with merely 1 quarter then it could be a stock repleshment
Global hike energy costs would make Malaysia consumer products more competitive in the market since domestic industries are subsidized directly or indirectly. I don't have any export sales of Apollo but OFI's export sales surged continuously for the last 3 quarters.
People know the electricity tariff hike already. How's the impact is dependent on the industry. Heavy industry is expected to be suffered more. See how much the impact to OFI and HupSeng in its quarterly report next month.
Increase in electricity tariff will certainly have a negative impact to the bottom line of the Malaysia confectionery industry. Energy hike is a global issues and Malaysia has been heavily subsidied the local industry. Go to compare the electricity tariff in Asia
Energy costs doesn't restricted to electricity. You see the prices of petrol, diesel, lpg and natural gas...you can make a comparison between Malaysia and the Asia countries. See how much differences. In fact, confectionery factory use more natural gas if it's available in the industrial park.
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....
Nancy Boon
183 posts
Posted by Nancy Boon > 2021-07-01 10:11 | Report Abuse
is this a good stock..?