KLCI Stock - HARTA / 5168 - 2013 Quarter 2

HARTALEGA HOLDINGS BERHAD


Company Description

HARTALEGA HOLDINGS BERHAD is an investment holding company. The Company operates through its subsidiaries, Hartalega Sdn Berhad (HSB), Sentinel Engineering (M) Sdn Bhd (SEMSB), Pharmatex (USA) Inc. (PUI) and Pharmatex (Australia) Pty Ltd (PAPL). HSB manufactures latex gloves. SEMSB is engaged in automation systems research and development (R&D) and leasing of property. PUI is engaged in the marketing of latex gloves. PAPL marketes latex gloves and trades vinyl gloves. The Company is an original equipment manufacturer and its major part of the revenue is generated from third party or principals' brands under inter-alia, the brand names of Sensicare, Evolution One, Diamond Grip, Synetron, Verte and Freeform. It also operates as an original brand manufacturer of latex examination gloves, marketed under its own brand names, including Pharmatex, Innova, CRAFT and Elastik. Gloves manufactured by the Company cater for medical centers and hospitals, dental clinics, and technology industries.

Company Info 

Listing Date	2008-04-17
IPO Price	1.8
Market Capital (Capital Size)	1,763,756,293 (Large)
Par Value	RM 0.50
Board	Main
Sector	Industrial Products
Major Industry	Gloves
Sub Industry	Gloves Manufacturing & Sales
Website	http://www.hartalega.com.my/

My Analysis 

Forecast P/E now	(4.81-0.105)/0.3487 = 13.49 (Moderate)
Target Price	5.06+0.105 = 5.16 (PE 14.5, EPS 0.3487, DPS 0.105)
Decision	BUY if stock price strong uptrend above SMA20 or wait rebound around SMA50 or SMA100
Comment	Revenue increased 3% and was second consecutive quarter increasing and also higher than preceding year corresponding quarter 11.1%, eps increased 9.1% and was second consecutive quarter increasing and also higher than preceding year corresponding quarter 25.5%, cash generated from operating is more than enough to cover all expenses, current assets still maintain high but still not yet increase much, operating margin keep increasing from 26% to 30%, liquidity ratio indicate very firm can meet current obligation, gearing ratio indicate good effort to maintain liabilities and expanding the Group with very low liabilities risk now, all accounting turnover period is good which can generate cash on hand, benefit from decrease in Nitrile material price
First Support Price	4.7
Second Support Price	4.5
Risk Rating	MODERATE

Research House

JF Apex Target Price	5.12 (2012-10-29)
Alliance Target Price	5.26 (2012-11-07)
BIMB Target Price	5.08 (2012-11-07)
CIMB Target Price	5.66 (2012-11-07)
ECM Target Price	4.34 (2012-11-07)
HLG Target Price	5.16 (2012-11-07)
HwangDBS Target Price	4.7 (2012-11-07)
Kenanga Target Price	5.12 (2012-11-07)
Maybank Target Price	5.4 (2012-11-07)
MIDF Target Price	5.1 (2012-11-07)
OSK Target Price	5.2 (2012-11-07)
RHB Target Price	5.07 (2012-11-07)
AMMB Target Price	5.1 (2012-11-22)

Accounting Ratio 

Return on Equity	38.41%
Dividend Yield	2.18%
Operating Profit Margin	30.00%
Net Profit Margin	29.91%
Tax Rate	23.21%
Asset Turnover	1.1688
Net Asset Value Per Share	0.93
Net Tangible Asset per share	0.93
Price/Net Tangible Asset Per Share	5.26
Cash Per Share	0.22
Liquidity Current Ratio	3.601
Liquidity Quick Ratio	2.8498
Liquidity Cash Ratio	1.6419
Gearing Debt to Equity Ratio	0.222
Gearing Debt to Asset Ratio	0.1815
Working capital per thousand Ringgit sale	26.6%
Days to sell the inventory	39
Days to collect the receivables	45
Days to pay the payables	37

Technical Analysis 

SMA 10	4.807 (Downtrend)
SMA 20	4.863 (Downtrend 2 days)
SMA 50	4.685 (Uptrend)
SMA 100	4.545 (Uptrend)
SMA 200	4.21 (Uptrend)
MACD (26d/12d)	0.028941 ( 0.003602 )
Signal (9)	0.045466 ( 0.004131 )
MACD Histogram	0.016525 (Bearish trend 12 days)
Bolinger Upper Band	5.157
Bolinger Lower Band	4.569

My notes based on 2013 quarter 2 report (number in '000):
- Higher revenue and pbt due to continuous expansion in production capacity and increase in demand and easing in raw material prices of nitrile and natural latex but also offset by more competitive sales pricing

- Estimate next 4Q eps after 2013 Q2 result announced = 0.1516*2*1.15 = 0.3487, estimate PE on current price 4.81 = 13.49(DPS 0.105)
- Estimate next 4Q eps after 2013 Q1 result announced = 0.0727*4*1.15 = 0.3344, estimate highest/lowest PE = 14.35/12.16 (DPS 0.1425)
- Estimate next 4Q eps after 2012 Q4 result announced = 0.5512*1.1 = 0.6063, estimate highest/lowest PE = 14.64/11.27 (DPS 0.285)
- Estimate next 4Q eps after 2012 Q3 result announced = 587720*0.34/365340 = 0.547, estimate highest/lowest PE = 15.28/13.86 (DPS 0.18)
- Estimate next 4Q eps after 2012 Q2 result announced = 0.1263*4 = 0.5052, estimate highest/lowest PE = 16.17/10.41 (DPS 0.18)
- Estimate next 4Q eps after 2012 Q1 result announced = 0.1501*4 = 0.6004, estimate highest/lowest PE = 9.31/8.69 (DPS 0.15)
- Estimate next 4Q eps after 2011 Q4 result announced = 0.1438*4*1.05 = 0.604, estimate highest/lowest PE = 9.4/8.05 (DPS 0.14)
- Estimate next 4Q eps after 2011 Q3 result announced = 0.1351*4*1.1 = 0.5944, estimate highest/lowest PE = 9.99/8.77 (DPS 0.14)
- Estimate next 4Q eps after 2011 Q2 result announced = 0.1293*4*1.1 = 0.5689, estimate highest/lowest PE = 9.86/8.28 (DPS 0.14)
- Estimate next 4Q eps after 2012 Q1 result announced = 0.1708*4*1.05 = 0.7174, estimate highest/lowest PE = 11.15/8.24 (DPS 0.15)
- Estimate next 4Q eps after 2010 Q4 result announced = 0.1915*4 = 0.766, estimate highest/lowest PE = 10.91/9.43 (DPS 0.19)
- Estimate next 4Q eps after 2010 Q3 result announced = 0.1535*4 = 0.614, estimate highest/lowest PE = 13.65/10.78 (DPS 0.15)
- Estimate next 4Q eps after 2010 Q2 result announced = 0.1366*4 = 0.5464, estimate highest/lowest PE = 13.95/9.9 (DPS 0.15)
- Estimate next 4Q eps after 2010 Q1 result announced = 0.1088*4 = 0.4352, estimate highest/lowest PE = 12.59/10.78 (DPS 0.15)
- Estimate next 4Q eps after 2009 Q4 result announced = 0.512, estimate highest/lowest PE = 10.55/6.01 (DPS 0.12)

HARTA latest news (English)

HARTA latest news (Chinese)


Financial Quarter Summary

a_date	year	qrt	h_price	l_price	div	roe	c_roe	rev	c_rev	pbt	c_pbt	prof	c_prof	eps	c_eps	asset	c_asset	liab	c_liab	mino	equi	cfo	cfi	cff	cash	fcf	net	final	share	c_share	m_cap	date	oper_m	prof_m	vat	asset_t	pe	navps	ntaps	p/ntaps	cps	l_cur	l_qui	l_cash	g_de	g_da	avg_w	inv_d	rec_d	pay_d
2012-11-06	2013	2	N/A	N/A	0.035	9.44%	18.05%	255019	502697	76282	146196	58542	111900	0.0793	0.1516	842598	362366	152960	100629	666	689638	167714	114656	51053	163217	53058	2005	165222	738222	738222	3609905	2012-09-30	30.00%	29.91%	23.21%	1.1688	-	0.93	0.93	5.26	0.22	3.601	2.8498	1.6419	0.222	0.1815	26.6%	39	45	37
2012-08-07	2013	1	4.94	4.21	-	8.61%	8.61%	247678	247678	69914	69914	53358	53358	0.0727	0.0727	779133	358547	124757	71994	630	654376	58270	47663	23224	163217	10607	12617	150600	734176	734176	3303792	2012-06-30	28.35%	28.23%	23.57%	1.2314	-	0.89	0.89	5.06	0.21	4.9802	3.858	2.0918	0.1908	0.1601	29.9%	42	48	23
2012-05-08	2012	4	7.9	3.56	0.095	10.11%	40.75%	240217	931081	64460	258583	50012	201616	0.1367	0.5512	758139	377941	138083	85497	553	620056	201154	60122	94798	116983	141032	46234	163217	365794	365794	2867824	2012-03-31	27.00%	26.83%	22.33%	1.2281	14.2242	1.69	1.69	4.64	0.45	4.4205	3.2798	1.909	0.2229	0.1821	31.4%	53	46	33
2012-02-22	2012	3	8.54	7.76	0.06	10.25%	30.64%	241951	690864	63902	194123	50703	151604	0.1388	0.4150	727471	360387	139751	85718	477	587720	159589	39773	71890	116983	119816	47926	164909	365340	365340	2911759	2011-12-31	26.58%	26.41%	20.72%	1.2143	-	1.61	1.61	4.95	0.45	4.2043	3.0526	1.9239	0.238	0.1921	31.1%	58	40	29
2011-11-08	2012	2	8.35	5.44	0.06	9.32%	20.39%	229542	448913	59551	130221	46127	100901	0.1263	0.2764	713803	351585	158100	102516	503	555703	103784	27702	48286	116983	76082	27796	144779	365079	365079	1993331	2011-09-30	26.14%	25.94%	22.47%	1.1622	-	1.52	1.52	3.59	0.4	3.4296	2.3123	1.4123	0.2848	0.2215	30.0%	74	41	42
2011-08-09	2012	1	5.74	5.37	-	11.07%	11.07%	219371	219371	70670	70670	54774	54774	0.1501	0.1501	675296	316277	145881	87824	336	529415	60733	17370	24618	116983	43363	18745	135728	364888	364888	1966746	2011-06-30	32.44%	32.21%	22.53%	1.1615	-	1.45	1.45	3.72	0.37	3.6013	2.7175	1.5455	0.2757	0.216	29.1%	54	47	44
2011-05-10	2011	4	5.82	5.0	0.06	14.79%	53.70%	192524	734921	66290	242834	52398	190297	0.1438	0.5222	634963	286070	140169	78850	350	494794	182483	81075	59048	74623	101408	42360	116983	364414	364414	2077159	2011-03-31	34.72%	34.43%	20.90%	1.1574	10.9154	1.36	1.36	4.19	0.32	3.628	2.8078	1.4836	0.2835	0.2208	28.2%	48	50	43
2011-02-07	2011	3	6.08	5.35	0.06	13.88%	38.87%	188123	542393	62206	176988	49203	137763	0.1351	0.3782	611067	267703	152735	90348	329	458332	161043	67861	37365	74623	93182	55817	130440	364247	364247	2050710	2010-12-31	33.40%	33.07%	20.89%	1.155	-	1.26	1.26	4.47	0.36	2.963	2.3651	1.4438	0.3335	0.2499	25.1%	42	43	47
2010-11-09	2011	2	5.75	4.85	0.05	13.29%	24.99%	184312	354270	61018	114782	47099	88560	0.1293	0.2432	570288	245086	147763	84862	302	422525	121662	43311	18776	74623	78351	59575	134198	364146	364146	2013727	2010-09-30	33.44%	33.11%	22.79%	1.1683	-	1.16	1.16	4.77	0.37	2.8881	2.3985	1.5814	0.35	0.2591	24.0%	34	37	43
2010-08-10	2011	1	8.15	4.04	0.04	11.70%	11.70%	169958	169958	53764	53764	41461	41461	0.1708	0.1708	508459	194272	121401	67409	261	387058	58504	26677	15892	74623	31827	15935	90558	242801	242801	1918127	2010-06-30	32.02%	31.63%	22.90%	1.2125	-	1.59	1.59	4.97	0.37	2.882	2.4389	1.345	0.3139	0.2388	20.6%	26	44	38
2010-05-11	2010	4	8.55	7.41	0.05	18.24%	56.15%	163385	571893	56562	177775	46409	142909	0.1915	0.5898	478861	185849	124479	69010	293	354382	162755	66749	59534	38151	96006	36472	74623	242312	242312	1902149	2010-03-31	35.11%	34.62%	17.87%	1.1943	13.3102	1.46	1.46	5.38	0.31	2.6931	2.2862	1.0829	0.3515	0.2599	20.4%	26	53	42
2010-01-28	2010	3	8.53	6.77	0.05	14.62%	37.99%	148599	408507	47477	121376	37200	96681	0.1535	0.3990	449227	175970	129173	69913	248	320054	138191	42612	43737	38151	95579	51842	89993	242312	242312	1771300	2009-12-31	32.48%	31.95%	21.54%	1.1872	-	1.32	1.32	5.54	0.37	2.517	2.1701	1.2888	0.4039	0.2875	19.9%	24	42	36
2009-11-10	2010	2	7.9	5.47	0.05	13.01%	23.37%	134572	259908	41196	73899	33106	59481	0.1366	0.2455	436183	178104	141315	79778	186	294868	98828	21668	17026	38151	77160	60134	98285	242312	242312	1359370	2009-09-30	31.25%	30.61%	19.52%	1.155	-	1.22	1.22	4.6	0.41	2.2325	1.9376	1.2333	0.4796	0.324	19.5%	23	41	43
2009-08-14	2010	1	5.7	4.76	0.04	10.36%	10.36%	125336	125336	32703	32703	26375	26375	0.1088	0.1088	401398	154664	130080	65683	121	271318	54498	5270	3653	38151	49228	45575	83726	242312	242312	1260022	2009-06-30	26.82%	26.09%	19.31%	1.1976	-	1.12	1.12	4.64	0.35	2.3547	2.0613	1.2764	0.4797	0.3241	18.5%	19	39	35
2009-05-15	2009	4	5.52	3.16	0.04	17.27%	47.06%	124816	443204	34010	95483	31008	84511	0.1280	0.3488	374843	128446	120343	52845	85	254500	83290	61737	8286	8312	21553	29839	38151	242312	242312	848092	2009-03-31	28.14%	27.25%	8.91%	1.1824	10.0353	1.05	1.05	3.33	0.16	2.4306	1.9652	0.724	0.473	0.321	17.1%	26	54	38
2009-02-13	2009	3	3.74	1.9	-	12.38%	29.78%	119056	318388	25279	61538	22228	53484	0.0917	0.2207	362397	120604	129525	58989	119	232872	41931	52240	31810	8312	10309	21501	29813	242312	242312	445854	2008-12-31	21.86%	21.23%	12.13%	1.0794	-	0.96	0.96	1.92	0.12	2.0445	1.6079	0.506	0.5565	0.3574	15.8%	37	61	46
2008-11-14	2009	2	1.86	1.46	0.04	10.23%	17.40%	111495	199332	21455	36259	18367	31256	0.0758	0.1290	341211	100139	130458	88379	152	210753	35093	47522	7126	8312	12429	5303	3009	242312	242312	348929	2008-09-30	19.73%	19.24%	14.24%	1.0086	-	0.87	0.87	1.66	0.04	1.1331	0.8395	0.1099	0.6195	0.3823	3.4%	58	68	109
2008-08-18	2009	1	1.59	1.3	-	7.18%	7.18%	87837	87837	14804	14804	12889	12889	0.0532	0.0532	299461	77925	106905	66801	158	192556	17446	24315	4655	8312	6869	2214	6098	242312	242312	351352	2008-06-30	17.38%	16.85%	12.75%	0.7768	-	0.79	0.79	1.84	0.03	1.1665	0.8228	0.0918	0.5556	0.357	4.8%	114	77	203
2008-05-29	2008	4	1.73	1.3	-	N/A	N/A	72796	257582	10504	76024	8916	69554	0.0368	0.3194	269395	69179	89805	49430	122	179590	60884	68816	16244	N/A	7932	8312	8312	242312	217749	419199	2008-03-31	14.84%	14.43%	14.92%	0.5375	5.416	0.82	0.82	2.11	0.03	1.3995	0.9534	0.1688	0.5004	0.3334	13.6%	66	97	89
2008-04-15	2008	3	2.02	1.64	-	N/A	N/A	72002	184785	11929	65591	10127	61334	0.0418	0.2912	257253	82058	72092	27228	90	185161	44369	40562	18799	90	3807	22606	22696	242312	210591	436161	2007-12-31	16.99%	16.57%	15.09%	0.2799	-	0.88	0.88	2.05	0.09	3.0137	2.3657	0.8347	0.3895	0.2802	76.2%	108	211	133

Financial Quarter Balance Sheet

year	qrt	Deferred tax assets (A-0)	Intangible assets (A-0)	Other investments (A-0)	Prepaid lease payments (A-0)	Property, plant and equipment (A-0)	Work in progress (A-0)	Cash and cash equivalents (A-1)	Current tax assets (A-1)	Derivative assets (A-1)	Inventories (A-1)	Other receivables (A-1)	Other receivables, deposits and prepayments (A-1)	Trade receivables (A-1)	Deferred tax liabilities (L-0)	Loans & borrowings (L-0)	Amount due to directors (L-1)	Current tax liabilities (L-1)	Derivative financial liabilities (L-1)	Derivative liabilities (L-1)	Dividend payable (L-1)	Loans & borrowings (L-1)	Other payables (L-1)	Payables and accruals (L-1)	Trade and other payables (L-1)	Minority interest (M-1)
2013	2	53	55	360	-	362643	117121	165222	68	1073	75592	-	4980	115431	45528	6803	-	17612	-	-	-	10708	-	31392	40917	666
2013	1	54	45	360	-	366644	53483	150600	68	-	80794	-	11838	115247	42916	9847	-	12851	-	3972	-	11398	-	18992	24781	630
2012	4	53	46	360	-	370285	9454	163217	68	-	97532	-	9466	107658	40515	12071	-	11727	-	765	-	12578	-	30925	29502	553
2012	3	30	46	180	-	358936	7892	164909	68	-	98725	3487	-	93198	39678	14355	-	15994	-	5124	-	14431	19463	-	30706	477
2012	2	29	48	180	-	358990	2971	144779	146	-	114534	-	4068	88058	37417	18167	-	14210	-	8435	-	14431	-	18119	47321	503
2012	1	30	49	180	-	358736	24	135728	69	2492	77613	-	4821	95554	37196	20861	-	10159	-	-	-	14526	-	23400	39739	336
2011	4	29	50	180	-	348623	11	116983	69	3340	64673	-	5259	95746	36868	24451	-	7158	-	-	-	14526	-	22780	34386	350
2011	3	21	51	175	-	338691	4426	130440	69	907	54019	-	1650	80618	33741	28646	-	15727	-	-	-	14214	-	23899	36508	329
2011	2	20	52	175	-	315841	9114	134198	75	1587	41547	-	2357	65322	30506	32395	-	17611	-	-	-	14581	-	16919	35751	302
2011	1	19	53	175	-	282025	31915	90666	75	-	29869	-	3808	69854	29104	24888	3	11638	148	-	-	12817	-	18362	24441	261
2010	4	20	53	175	-	284365	8399	74731	75	-	28078	-	4559	78406	27782	27687	3	10877	-	-	-	13723	-	20591	23816	293
2010	3	-	-	175	149	243306	29627	90103	39	-	24254	-	4087	57487	27598	31662	3	18128	-	-	-	15068	-	13876	22838	248
2010	2	-	-	175	149	245569	12186	98394	88	-	23528	-	2975	53119	26185	35352	3	11808	-	-	9692	15068	-	23833	19374	186
2010	1	-	-	175	150	245284	1125	83835	88	-	19270	-	2898	48573	25362	39035	3	5822	-	-	9692	15068	-	19710	15388	121
2009	4	-	-	175	150	246072	-	38260	88	-	24595	-	7924	57579	24821	42677	3	1559	-	-	-	15078	-	18423	17782	85
2009	3	-	-	175	151	234805	6662	29846	-	-	25758	-	2681	62319	23746	46790	3	1658	-	-	-	24802	-	12506	20020	119
2009	2	-	-	175	151	175368	65378	9714	-	-	25949	-	2280	62196	21996	20083	3	887	-	-	-	38676	-	32201	16612	152
2009	1	-	-	175	152	177361	43848	6131	-	-	22959	-	2413	46422	20290	19814	3	204	-	-	-	25806	-	27928	12860	158
2008	4	-	-	175	153	179700	20188	8345	164	-	22052	-	5503	33115	19243	21132	3	139	-	-	-	19833	-	17375	12080	122
2008	3	-	-	175	153	129615	45252	22728	-	-	17646	-	4336	37348	17584	27280	3	157	-	-	-	5330	-	13854	7884	90

Financial Quarter Income Statement

year	qrt	Revenue	Income tax expense	Cost of sales	Finance/interest costs	Other income	Administrative/Operating expenses	Minority interest
2013	2	255019	17707	-	234	1631	180134	33
2013	1	247678	16479	-	301	96	177559	77
2012	4	240217	14394	-	391	2196	177562	54
2012	3	241951	13239	-	400	871	178520	40
2012	2	229542	13380	-	448	5500	164043	44
2012	1	219371	15924	-	498	4621	152824	28
2011	4	192524	13856	-	560	4327	130001	36
2011	3	188123	12995	-	620	1727	127024	8
2011	2	184312	13907	-	623	2165	124836	12
2011	1	169958	12314	-	662	503	116035	11
2010	4	163385	10107	-	810	272	106285	46
2010	3	148599	10225	-	793	688	101017	52
2010	2	134572	8041	-	853	1192	93715	49
2010	1	125336	6315	-	916	1280	92997	13
2009	4	124816	3030	-	1109	7023	96720	28
2009	3	119056	3067	-	746	4801	97832	16
2009	2	111495	3056	-	538	1124	88378	32
2009	1	87837	1888	-	462	1638	74209	27
2008	4	72796	1567	61380	300	1832	2444	21
2008	3	72002	1800	59659	307	226	333	2

Short form reference
a_date = announcement date, yr = financial year end, qrt = quarter
h_price = stock highest price during the quarter, l_price = stock lowest price during the quarter
div = dividend recommend or declare in the quarter, roe = return on equity
c_roe = cumulative of return on equity during the financial year
rev = revenue in the current quarter, c_rev = cumulative of revenue during the financial year
pbt = profit before tax in the current quarter, c_pbt = cumulative of profit before tax during the financial year
eps = earnings per share in the current quarter, c_eps = cumulative of earnings per share during the financial year
asset = total asset, liab = total liability, mino = minority interest, equi = total equity
cfo = net cash flow from operating activities, cfi = net cash flow from investing activities
cff = net cash flow from financing activities, cash = cash and cash equivalents as at beginning of financial year
final = cash and cash equivalents as at current financial period ended
share = diluted/basic weighted average number of ordinary shares
c_share = cumulative of diluted/basic weighted average number of ordinary shares during the financial year
m_cap = market capital at announcement date of quarterly report, date = current financial period ended date
prof_m = profit margin, vat = income tax rate, pe = price earning per share ratio of recent four quarter
navps = net asset value per share, ntaps = net tangible asset per share, cps = cash per share
l_cur = liquidity current ratio, l_qui = liquidity quick ratio, l_cash = liquidity cash ratio
g_de = gearing debt to equity ratio, g_da = gearing debt to assets ratio
avg_w = working capital per thousand Ringgit sale
inv_d = days to sell the inventory, rec_d = days to collect the receivables
pay_d = days to pay the payables

CURRENT

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●CHANGES IN SHAREHOLDING
●ANNUAL REPORTS

HISTORICAL

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●CHANGES IN SHAREHOLDING

ARCHIVES

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●CHANGES IN SHAREHOLDING