Saw the closing was nice yesterday but didnt get involved as volume was low n price quoted on a wide side.Something they know n we dont....whats going on?
The Company wishes to announce that its subsidiary, Lucenxia (M) Sdn. Bhd., which is starting commercial operations in the provision of home Peritoneal Dialysis services has been designated by the Performance Management and Delivery Unit ("PEMANDU") as a project under the ETP under Healthcare of the National Key Economic Areas ("NKEA"). The ETP adoption by the Government is an important achievement by the Company and it should accelerate growth into the Malaysian and regional markets.
Lucenxia will be developing INTELLIS, Intelligent Automated Peritoneal Dialysis (APD) cycler designed for Chronic Kidney Disease (CKD). Introduce for patients to be administered at their homes and customised for the Malaysian/Asian home environment. The treatment adopts the APD home treatment modality where patients are treated during their sleep.
Investment by 2020 (million)RM494.4 GNI Impact by 2020 (million)RM197.5 Jobs created by 2020 113
INTELLIS is extremely patient friendly with many new and unique features which not only automates the therapy process, but also makes it easier and more convenient for patient to use. Patients will enjoy more day-time mobility, contributing to better productivity and quality of life of both patient and their care-givers. The treatment package will be affordable and accessible to more patients.
With this home dialysis program, it will relieve pressures on the scarce in-centre resources to meet the demands of the rapidly growing number of CKD patients. Patients will have access to the program at all areas of the country, as long as there is mobile telecommunication coverage. Malaysia will be realizing a truly innovative medical device that is home grown, whilst having the potential to share with the rest of the world.
The Company increased sales by 131% over preceding year and profit before tax of RM3.73 million, an increase of 512%... The high precision electron beam sterilization plus the advantage of being the ONLY contract facility in the region has brought in cross border business as well as domestic contracts.
After further analysis, no doubt the growth here is may be explosive once the revenue from PEMANDU project start kicking in, but looking at its current EPS (assume annualized after 3Qs so far) will be about 2.1 sen (excluding its other operating income), the P/E is a whopping 45 times based on close price of RM0.975. Let say we take away net cash/share of RM0.11, the amount paid for business based on closing price last Fri is RM0.975-RM0.11 = RM0.865, the P/E is still very high at around 40 times...
The revenue/profit expected from Intelis is still not clear. How about its other current business,
Just giving another point of view here to caution myself... although I myself am holding this stock for some time... would like to hear what others have to say about this counter...
cash rich, high growth prospect with proprietary servive, less negative fluctuation, esp gov pushing hard for medical travel services. about high PE, plenty of examples like myeg etc. good PE but price laggard too plenty of example :)
haha... hoping for another myeg ? yup perhaps.. who can tell... but based on the info available now, there s not enough information or to justify the price.. all the best to all of us...
there r too many unjustifiabe counters, good or bad is anyone guess. focus on growth best for this one, medical, health care juz like food, never run out of market. e.g, how much longer to sit in pn17 with capability like this?
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....
KahYong Tan
40 posts
Posted by KahYong Tan > 2013-09-24 15:27 | Report Abuse
today sure limit up..huat ahh!!!