KLCI Stock - PWROOT / 7237 - 2011 Quarter 2

Par Value: 0.20
Market Cap : 300000000*0.76 = 228,000,000 (Small)
NTA per share : (194373-151-5227)/300000 = 0.63 (Decreased)
P/BV : 0.76/0.63 = 1.2063
Forecast P/E now : (0.76-0.08)/0.0542 = 12.55 (High)
ROE : 5.62% (Low)
DY : 0.08/0.76*100 = 10.53% (High)
Fixed Asset Turnover(3 year) : (0.7191+0.6211+0.6582)/3 = 0.6661 (Low)
Liquidity Ratio : 152446/40754 = 3.7406 (High)
Receivables Collection Period : (68188+61227)/2/(171624/365) = 137 days
My Target Price : Not interested unless revenue and profit increase more
My Decision : NOT BUY
My Comment : Revenue and profit stii high, good cash flow, low debt but increasing, raw material increased
Technical Support Price : 0.6
Risk Rating : HIGH
Apex Target Price : 0.63 (28 Oct 10)

My notes based on 2011 quarter 2 report (number in '000):-

- The Group recorded revenue for the second quarter ended 31 August 2010, representing an increase of 4.1% when compared to the previous year's corresponding quarter. This increase is largely attributable to the increase in the sales from the Group's Fast Moving Consumer Goods (FMCG) business in both domestic market and oversea market

- The Group recorded a profit after tax for the current quarter which is a decrease of 29.8% compared to the previous year's corresponding quarter. The reasons for the decrease is mainly due to the higher level of marketing and promotional activities undertaken in the current quarter in the local market as well as overseas to expand and extend our product reach and penetration

- The Group showed a slight increase of 0.2% in revenue for the current quarter compared to the revenue recorded for the immediate preceding quarter ended 31 May 2010

- The Group's pat for the current quarter represents a decrease of 13% when compared to the pat for the immediate preceding quarter ended 31 May 2010 due to the higher advertisement and promotion expenses incurred

- Estimate next 4Q eps after 2011 Q2 result announced = 0.0285*2*0.95 = 0.0542, estimate PE on current price 0.76 = 12.55(DPS 0.08)
- Estimate next 4Q eps after 2011 Q1 result announced = 0.0338*1.1 = 0.0372(10% increase from 0.0338), estimate highest/lowest PE = 18.55/13.98 (DPS 0.04)
- Estimate next 4Q eps after 2010 Q4 result announced = 0.0338(follow 2010 cumulative eps), estimate highest/lowest PE = 16.57/13.46 (DPS 0.04)
- Estimate next 4Q eps after 2010 Q3 result announced = 0.04, estimate highest/lowest PE = 14.25/11.13 (DPS 0.04)
- Estimate next 4Q eps after 2010 Q2 result announced = 0.0395, estimate highest/lowest PE = 14.68/12.03 (DPS 0.04)
- Estimate next 4Q eps after 2010 Q1 result announced = 0.034, estimate highest/lowest PE = 17.94/12.35 (DPS 0.03)

NATBIO latest news (English)