See some light in the tunnel..but the best yet to come based on the facts: - one of the reputable bumi construction company - plantation and property business are getting better shape - present price is at the bottom - good visibility and potential to secure most projects.
HAHA i wonder why there is so many project but $$$$$ lost in the air ? i guess this counter is meant for a group of people only. not for u n me Happy Trading
KUALA LUMPUR: Ahmad Zaki Resources Bhd(AZRB) saw its net profit almost double to RM8.5mil for the third quarter financial year ended September 30, 2016 (Q3 16) driven by higher revenue and other operating income.
In a filing with Bursa Malaysia, the construction player’s revenue for Q3 16 rose by 53% to RM271mil, primarily on the back of commendable contributions by its construction division as certain projects had shown higher progress during the period.
Besides that, the additional new projects that were awarded during the second quarter, also strengthened AZRB’s revenue for the quarter under review.
For the nine months, net profit surged 8.6% to RM18.9mil while revenue climbed by 74% to RM844mil. For Q3 16, dividend was flat at 2 sen per ordinary share and earnings per share rose by 91.3% to 1.76 sen.
Commenting on its prospects moving forward, AZRB is optimistic on enhancing its order book of its construction division, which stands at RM4.1bil at present.
The oil and gas division expects to remain steady despite the continuing prolongation of weak global oil prices and sentiments and also anticipates increasing contribution from its operations at Tok Bali Supply Base as the port continues to develop and mature.
As for the plantation division, AZRB foresees the segment to improve its overall contribution to the group despite the increasing yields and stringent cost controls being implemented.
The property division has development projects with an estimated gross development value of RM1.4bil (at the date of this report). It is planning on several residential development projects for launch in 2016 and 2017. The successful launches of these projects are expected to contribute positively to the company moving forward
next qtr report will be impressive i would presume due to high CPO lvl surely overturn n generate profit - heavy loss sector which i study from the latest qtr report (Assume Construction/Development/MRT all consistent and in progress)..stay tune on this stocks dont miss the flight.. (Mother fast profit - Son Higher margin profit)
On one hand winning contract is just the start.What matter most at the end of the day is good project management.So that the company can make high margin profit of at least 8%.Then the company will be able to report good profit track records and that will then be reflected in the share price.This company is politically connected but seemed the profits they made were at the low margins.
Coming back to the share price the Technical Price Charts showed the followings: In short: 1.Price is on the uptrend; 2.MACD line is above the Signal Line.Showing bullishness and buying support for the counter; 3.The Relative Price Index(RSI) show overbought position.
Just to share the information.Together we can make smart decision to buy,sell or dump.
Tremendous Value In Order Backlog, Concessions And Plantation
<Highlights>
-A sizeable construction orderbook. Outstanding construction order backlog of RM4.1bil, which will keep AZRB busy at least for the next 3-4 years.
-Steady income from concession assets. *Exclusive rights (due for renewal in 2023) to supply marine fuels and provide other bunkering services to Petronas production sharing contractors at Kemaman Supply Base, Terengganu. *The RM413mil International Islamic University Malaysia (IIUM) Medical Centre in Kuantan was carried out via a 25-year private finance initiative arrangement with the government and has contributed since 2QFY16.
-Indonesian plantation asset. Still lossmaking, there is tremendous value in its 15,584-ha oil palm plantations in West Kalimantan, Indonesia, of which 47% or 7,316ha are now planted. Acquired in 2004, estimate that its market value has easily doubled from RM148mil carried as biological assets in AZRB’s balance sheet as at 30 Sep 2016.
"The Oil and Gas Division expects increasing contribution from its operations at Tok Bali Supply Base as the port continues to develop and mature.
The Plantation Division has also commenced operation of its palm oil mill which would greatly help the division in delivering desired results to the Group beginning 2017.
The Property Division is currently planning and embarking on several residential development projects for launch in 2017. Upon the successful launches of these projects, the Property Division will be expected to contribute positively to the Group."
If everything is going on accordingly, the future is bright...
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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....
Investeye
2,347 posts
Posted by Investeye > 2016-10-20 15:24 | Report Abuse
See some light in the tunnel..but the best yet to come based on the facts:
- one of the reputable bumi construction company
- plantation and property business are getting better shape
- present price is at the bottom
- good visibility and potential to secure most projects.