Posted by Risk Rider > 2017-03-14 21:53 | Report Abuse

Industry prospect is good, but how about EG?

I did some analysis over the last few quarters & noted the following:

Total borrowings are increasing every quarters, the more profits earned, the more trade debtors, the more trade receipts (borrowings). Borrowings increased from 211mil @ 31/12/2015 to 235mil @ 31/12/2016.

Sales for 31/3/2016 & 30/6/2016 were both approximately 150m, but the trade & other receivables in Q30/6/2016 jumped more than 70m, no convincing explanation was given by the management.

Posted by Risk Rider > 2017-03-14 21:55 | Report Abuse

During the same period, the company made net profits of 22mil but borrowings also increased at faster rate, RM24mil.

Posted by Risk Rider > 2017-03-14 22:00 | Report Abuse

Management claimed box building will command higher profit margin, but the financial ratios shown in the past 6 quarterly results didn't say so.

The EBITA & PBT margin was flat & almost same over the last 6 quarters.

Don't look at Net profit margin as tax has played a part to beautify the bottom line.

Posted by Risk Rider > 2017-03-14 22:17 | Report Abuse

EBITDA (earning before interest, tax, depreciation & amortisation), in EG case, that's operating profits as shown in the QR:

EBITDA ratios for the past 6 quarters:

30/9/2015 ----- 8.3%
31/12/2015 ----- 6.2%
31/3/2016 ----- 8.8%
30/6/2016 ----- 8.6%
30/9/2016 ----- 7.6%
31/12/2016 ----- 6.5%

Posted by Risk Rider > 2017-03-14 22:20 | Report Abuse

I might be wrong, the 2nd half financial year of EG were WEAKER & sales & profits for 1H of the year were always stronger & better, it can be seen from the last 3 years (2014, 2015 & 2016)

https://klse.i3investor.com/servlets/stk/fin/8907.jsp

Posted by Risk Rider > 2017-03-14 22:22 | Report Abuse

The company is asking money from shareholders again in the short span of time & this has triggered the concern of the market.

Posted by Risk Rider > 2017-03-14 22:24 | Report Abuse

I don't not own any shares in VS or EG, just did my homeworks after VS was jumping up but EG is leaving behind with low valuation (PE).

Posted by Risk Rider > 2017-03-14 22:37 | Report Abuse

Semicon future is brighter, how about EG?
https://klse.i3investor.com/blogs/shareshare/118293.jsp

Posted by Pusher_Punisher > 2017-03-15 00:18 | Report Abuse

TA wise eg will cont downtrending.. hopefully can topup low esp warrant.. pls cont sell. tq

Posted by Risk Rider > 2017-03-15 00:25 | Report Abuse

EG is not lousy company, it is profit making company. Every company has its own strengths & weaknesses, if they can resolve & overcome it, it will surely fly.

Current valuation is fair to me & market has factored it via the share price.

When price drop to much lower level, it will definitely attract buying interest.

Posted by Pusher_Punisher > 2017-03-15 00:27 | Report Abuse

i would say the announcement or RI has killed the momentum last month. actually the momentum is there. but the timing of RI announcement really messed it up.

Posted by VenFx > 2017-03-15 02:03 | Report Abuse

Hi ! Guys,

As u would observed esrlier sold down has been well absorbed.
Where do u think those tickets gone ?

And Eg still manage stand at $0.900 ; Eg has never dented at below $0.800 for the pass one year for a reason . ..Why ??? Else Eg could be some big boy's target... simply they know what Eg capable for.

Eg has 95% of borrowing from T.r. & B.a.
If we read carefully, not hard to notice Ebitda has been eroded by minimum wages policy by close to 7mil annually. This can only be mitigating through production efficiency and economic of scale production.

It is likely to see a sustainable results coming 2nd half results.

Posted by moneykj > 2017-03-15 08:15 | Report Abuse

Many great counters also asking money from shareholder to expand. They do it by luring ppl to exercise their w. Example Pmetal, Pesona n Digistar which in my portfolio. Important thing is whether they are in the right business or not.

Posted by TeePooKao > 2017-03-15 08:25 | Report Abuse

The company is asking money from shareholders again in the short span of time . who care. even now downtrend. and we need to wait 2 years before bounce up again. we don't care. eg come take all our money.. we are all investor. we invest for 5-10year.. lol

Posted by VenFx > 2017-03-15 09:15 | Report Abuse

Hahaha,
Blame this and that , juz don't work neither help your tradibg path.
Learn to move on ... and see things out of the box.
I support fir the fair proposal by Eg and taking advantage happily to accumulate kaw kaw xp.

Posted by 77huat77 > 2017-03-15 14:04 | Report Abuse

Good Articles to Share click to expand contents
Semicon industry gearing up for a stronger year, says CIMB IB Research
Author: Tan KW Publish date: Wed, 15 Mar 2017, 01:23 PM
Close

By Syahirah Syed Jaafar / theedgemarkets.com | March 15, 2017 : 11:14 AM MYT
KUALA LUMPUR (March 15): The Malaysian semiconductor sector revenue rose 1.4% year-on-year (y-o-y) in the fourth quarter of 2016 (4Q16), and 8% quarter on quarter (q-o-q).

This was ahead of expectations due to higher utilisation on the back of demand recovery and favourable currency movements, said CIMB Research in its note dated March 14.

“This was broadly in line with global semiconductor sales which rose 5.4% q-o-q, driven by recovery in industry demand, following inventory adjustments in 1H16.

“Key global semiconductor players are projecting 8% q-o-q sales drop in 1Q17, in line with seasonal demand weakness and a shorter operating period in the quarter,” it said.

According to CIMB Research, most independent industry research groups see stronger global semiconductor demand growth of 6% in 2017, versus 1.1% in 2016.

The research house said it expects the radio-frequency components demand to outgrow smartphone demand, due to growing requirements for more frequency bands, especially with ongoing network modernisation.

It said the increase in this demand bodes well for semiconductor companies such as Inari Ametron Bhd, Malaysian Pacific Industries Bhd (MPI) and Unisem (M) Bhd, who are contract manufacturers for Broadcom, Qorvo and Skyworks.

CIMB also said it sees automotive as the next sales growth driver, due to rising adoption of electronics in vehicles for infotainment, safety features and connectivity.

CIMB forecasts sector net profit growth of 15% in 2017 versus 9% in 2016, driven by strong earnings growth by Inari and MPI.

“Inari is on track to add new radio-frequency tester capacity and receive maiden contributions from its new divisions in 2017.
“Meanwhile, we expect MPI to benefit from the ramping up of its new automotive sensor line from 2QCY17 onwards,” it said.

It sees MPI as an exciting proxy for automotive growth, given its long experience and leading position in the segment.

Posted by wiki123 > 2017-03-15 14:31 | Report Abuse

re: Venfx, what is T.R and B.A?

Posted by VenFx > 2017-03-15 16:05 | Report Abuse

Trust receipt and Bank Acceptance, to facilitate in daily biz need in paying suppliers etc ...

Posted by 稻田·* 片片绿青~粒粒芳香 > 2017-03-15 20:47 | Report Abuse

I will plan a game for EG....

Congrats in advance!

Posted by VenFx > 2017-03-15 22:25 | Report Abuse

That's Lovely Padi.
Live it up €£×€£+★↑♣♧

Posted by KongKekLoo91 > 2017-03-16 10:02 | Report Abuse

from my view only VenFx who always fighting to make eg look good. even tough the real graph TA and FA show worst.

Posted by KongKekLoo91 > 2017-03-16 10:03 | Report Abuse

Ven FX please don't misleading people. you scammer. pity those people who buy eg because of your word. if you infront of me. I will kick your face.

Posted by Mini Bull > 2017-03-16 10:57 | Report Abuse

hahaha...

Posted by henrytham77 > 2017-03-16 11:08 | Report Abuse

hahaha... x2

Posted by VenFx > 2017-03-16 11:10 | Report Abuse

@ KongKekLoo91,

really ? u are the same xhole frequently change your I.D. ... Don't tell me u pity of those follow my words.i dont hv such magic , u idiotic .

are u trying to joke with me ?
All this while , i share my view on facts .

So,,, do yourself a favor, f*ck off. Else i'll kick your xhole. PRETENDER

Posted by 稻田·* 片片绿青~粒粒芳香 > 2017-03-16 11:11 | Report Abuse

don't fight VenFx....


Earn money diam diam and enjoy also diam diam...... we are not hero.... so we accept constructive comments.

Posted by zhikein > 2017-03-16 11:14 | Report Abuse

sabar :)

Posted by VenFx > 2017-03-16 11:14 | Report Abuse

Sorry bro, i'm sick with those fake face .

Posted by 稻田·* 片片绿青~粒粒芳香 > 2017-03-16 11:17 | Report Abuse

修行和修养都是长时间的锻炼。。。。。。。

不要半途而废！把自己本分做好！好心人自然明白我们在干什么。

我很少去辩驳人间对我的不好但更多时间在激进的提升自己和看看如何改变逆境。

Posted by Mini Bull > 2017-03-16 11:17 | Report Abuse

they are totally no face

Posted by 稻田·* 片片绿青~粒粒芳香 > 2017-03-16 11:19 | Report Abuse

心不松，脑不空，怎样达到 横海四通？？？？？？？

Posted by LA777 > 2017-03-16 11:20 | Report Abuse

Duit kor, too deep, cannot understand...

Posted by John Lu > 2017-03-16 11:20 | Report Abuse

Duit recently become monk? Have a look on D&O

Posted by Mini Bull > 2017-03-16 11:20 | Report Abuse

may be also banana, hahaha...

Posted by VenFx > 2017-03-16 11:21 | Report Abuse

I salute your Dao & Patient bro...

Posted by VenFx > 2017-03-16 11:23 | Report Abuse

I'll luch my missile only, when i think it is neccessary.
Sometimes, i juz lauching missile for funs xp

Posted by VenFx > 2017-03-16 11:25 | Report Abuse

pagi launching missile, petang sama2 minum teh tarikh.
Punishment & Reward must be equally.
it is fine, as long my bottom line not tested.

Posted by Mini Bull > 2017-03-16 11:26 | Report Abuse

ringgit stronger, not so EG now

Posted by VenFx > 2017-03-16 11:30 | Report Abuse

Will keep silent from now on ...

Posted by ljmeng > 2017-03-16 11:39 | Report Abuse

心要定。。。。。。。

Posted by 稻田·* 片片绿青~粒粒芳香 > 2017-03-16 11:43 | Report Abuse

...

心定不如行为定，
心静不如思维精，

Posted by stevenmy > 2017-03-16 11:45 | Report Abuse

Duit Sifu so young only meh...i always thought this kind of thinking or mindset must be someone atleast 50~~hahaha....
VenFx Sifu...We know u very well.....worry not...

Posted by 稻田·* 片片绿青~粒粒芳香 > 2017-03-16 11:48 | Report Abuse

stevenmy...not young ad....33 yrs old this year

Posted by benthon > 2017-03-16 11:48 | Report Abuse

GET LOST. YOU NOT WELCOME HERE

Posted by myongcc5 > Mar 16, 2017 11:38 AM | Report Abuse

Yes, Bro VenFx. Worry not. Keep cool n calm always.

I m here to support u

Posted by VenFx > 2017-03-16 11:52 | Report Abuse

myongcc5 and frens, i know you guys .
thks for your support .

i do welcome contratic comments , only genuine one.
i seldom take notice from I.D. with very less no. of comments or in short duration without giving commendable views.

Posted by zaxysk > 2017-03-16 14:02 | Report Abuse

bought wc at 0.53, will accumulate if drop further, if raise then good la ^^

Posted by HuatRex > 2017-03-16 15:04 | Report Abuse

Venfx, seems like you know every details of eg. Eg will only benefit if USD is strengthening against RM right?

Posted by LA777 > 2017-03-16 15:10 | Report Abuse

Sudah bergerak?

Posted by LA777 > 2017-03-16 15:13 | Report Abuse

Bagus, ini kalilah!

Posted by farinsight > 2017-03-16 15:18 | Report Abuse

coming, now 0.915