KLCI Stock - A&M / 5959 - 2010 Quarter 2

Market Cap : 362907400*0.49 = 177,824,626 (Small)
NTA per share : (457809-19719)/362908 = 1.2
P/BV : 0.49/1.2 = 0.4083
Forecast P/E now : 0.49/0.0459 = 10.68 (High)
ROE : 3.25% (Low)
DY : Not applicable
Fixed Asset Turnover(3 year) : (0.2341+0.1812+0.1812)/3 = 0.1988 (Low)
Liquidity Ratio : 421707/119915 = 3.5167 (High)
Receivables Collection Period : (63945+49794)/2/(150246/365) = 138 days
My Target Price : Not interested unless revenue and profit increase more
My Decision : NOT BUY
My Comment : Revenue and profit uncertain and low, good cash flow, below moderate debt but slightly increasing, navps increasing, strong cash, directors acquired shares @ ~RM0.46 and ~RM0.6
Technical Support Price : 0.46
Risk Rating : HIGH

My notes based on 2010 quarter 2 report (number in '000):

- The Group achieved RM71.257 million revenue and RM6.987 million profit before taxation and minority interest for the current financial period ended 30 June 2010 as compared to RM63.276 million revenue and RM4.388 million profit before taxation and minority interests for the corresponding financial year of the preceding year. This represented an increase of revenue and profit before taxation and minority interest of 13% and 59% respectively of same period last financial year

- The Group reported RM3.277 million profit before taxation and minority interest for the current quarter as compared to RM3.71 million profit before taxation and minority interest of the preceding quarter. The difference was mainly due to the completion of certain development projects in the preceding quarter