KLCI Stock - HARTA / 5168 - 2011 Quarter 1

Market Cap : 242312000*7.75 = 1,877,918,000 (Large)
NTA per share : (386797-53)/242801 = 1.59
P/BV : 7.75/1.59 = 4.8742
Forecast P/E now : (7.75-0.15)/0.7174 = 10.59 (Moderate)
ROE : 41.37% (High)
DY : 0.15/7.75*100 = 1.94% (Low)
Fixed Asset Turnover(2 year) : (1.2125+1.1976)/2 = 1.2051 (High)
Liquidity Ratio : 194272/67409 = 2.882 (Moderate)
Receivables Collection Period : (73662+51471)/2/(616514/365) = 37 days (Good)
My Target Price : 8.61+0.15 = 8.76 (PE 12, EPS 0.7174, DPS 0.15)
My Decision : BUY
My Comment : Revenue and profit increasing but profit started slow down, good cash flow, low debt and decreased, navps increasing, weakening USD
Technical Support Price : 7.6
Risk Rating : MODERATE
OSK Target Price : 11.89 (11 Aug 10)

My notes based on 2011 Quarter 1 report (number in '000):
- Quarter to quarter, the Group’s sales revenue increased by 35.6% and profit before tax increased by 64.4%. The significant achievement in revenue and profit before tax is in line with the Group’s continuous expansion in production capacity, increase in demand, improvement in production processes and increase in average selling price of both nitrile and latex gloves
- In the current quarter, the Group's revenue was 4.0% higher and the profit before tax was 4.9% lower when compared to the preceding quarter. The decrease in profit before tax is due
to the strengthening of the Malaysian currency against the United States Dollar, the
recognition of share-based payment expenses of RM996,000 and the effect of adoption of
FRS 139 amounting to RM2,461,000 as mentioned in note A1