According to annual report, company had purchased lands and buildings near and beside main factory for expansion. This still bodes well as the management has plan intact.
Share price is at RM1.30 and lack of trading volume. What we worry is also the local sales where i notice the Power root supplies is not in the supermarket for some of the shop maybe due to the lockdown, difficult in supplies form the manufacture. The NTA is at 0.62 sen and close of operation. the earnings of PwRoot tumbled by over 45% to RM28.10m on the back of a 19.9% decline in sales to RM309.22m. The lower sales and earnings performance in FY21 could be attributed to decline in both domestic sales mainly east malaysia due to logistic cost, lack of container and overseas sales. However, the decline was partly offset by the recognition of a reversal of impairment loss on trade receivables (RM1.39m) and PPE (RM0.18m).
Going forward, we view the FY21 EPS declined to 6.65 sen from 12.64 sen in FY20. We forecast a lower full-year EPS of 4.5 sen FY22.
AGM will be next week Friday. Anyone attending online? Clashed with my meeting. If anyone attending, appreciate if can provide the meeting key point here. Thanks
See quite a heavy traffic at all areas and highways, expect the sales of Power Root or Alicafe will selling well at R&R or petrol stations. The revenue of Power Root should improve as well.
"One type of tax that is unlikely to face much public resistance would be the expansion of sugar tax to include premix sugar products, a measure to bolster health awareness and reduce non-communicable diseases like obesity and diabetes, which was mentioned in the recently tabled 12th Malaysia Plan (12MP)..."
The quantum and mechanism of tax has yet been announced. Probably we will need to wait for the final info. FYI PWROOT has been producing less sugar variants for many of their products. Hopefully this bodes well for them despite the tax suggested to be imposed.
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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....
NatsukoMishima
8,182 posts
Posted by NatsukoMishima > 2021-08-04 15:47 | Report Abuse
Lesser n lesser dividen pay !