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ROHAS (9741) : ROHAS TECNIC BERHAD

airasia
Earnings missed The Prediction


Primary explained in the report statement of "impairment of trade receivables of RM1.0 million and, tax RM2.1million and deferred tax of RM2.0 million which was due to timing differences on the capital expenditure incurred of RM16.6 million."

However, the performance is still attractive with:
- the 1-off impairment losses above did not affected the operation
- increasing demands of E&E plastic moulded products
- net cash increase situation (Cash and bank balances at end of the financial period swelling to Rm17.7million from Rm4.5million a year ago)

Put on closer monitoring - market responded negative on the above losses.
02 Mar 2012, 12:24 AM
ILoveDividend


Actually the report is not that bad. If we take out the deffered tax, its EPS for Q4 should be around 10cents. The plus point is the reserved cash has increased to 17mil and this was my main concern last time.
Hopefully it will post a better result in next quarter. smile
03 Mar 2012, 11:56 AM
gen_hwang
if this is just an one-time item, this could provide a good entry point for those eyeing, having plunged close to 10% from the recent all time high. also the 25 cents dividend is only a proposal without ex-date mentioned and this could be another minus point.

other than that, few causes of concern are

1. the 10% decrease in revenue.
2. the higher operating expenses.
03 Mar 2012, 10:48 PM
ILoveDividend


I think the 25cents dividend is not an issue as they have 50% dividend policy. My concern is the operation cost, if the operation cost cannot improve for next quarter, then i will sell it, otherwise i think it is still good for long term.
03 Mar 2012, 10:58 PM
gen_hwang
rebounded nicely since hitting sub 3.60 upon earning release. those who heed Buffet's "be greedy when other people fear", well done!
14 Mar 2012, 05:36 PM
ILoveDividend


Luckily i am still holding it. sweat
14 Mar 2012, 09:47 PM
ahfan
I just get in at 3.85 , is this a good investment ?
05 May 2012, 03:43 PM
ILoveDividend
Hi guys,

I have sold all my holding in Tecnic due to following reason:
1) Revenue & profit dropping for 2 consecutive quarter (quarter to quarter comparison)
2) Director's fee is too high which was my all time concern.

Good luck for those still on board. smile
18 Jul 2012, 01:28 PM
ILoveDividend
Forgot about this, TECNIC is my second success stock. Cheers. rolleyes
18 Jul 2012, 01:31 PM
TongKing

starsmile
08 Sep 2012, 02:55 AM
Brian9818
Tecnic technically a SELL since August lat year..
28 Jan 2013, 10:28 AM
Brian9818
Sign of recovery at today close of $3.25 ?
18 Jun 2013, 11:19 PM
Brian9818
Technic($3.24) is looking good, just keep finger close !rolleyes
18 Aug 2013, 09:45 PM
Brian9818
Tecnic's upside breakout ? Could be good buy.
23 Mar 2014, 04:47 PM
ILoveDividend


Bought at 4.04 last monday, never thought it can up this fast. thumbup
2014/2015 is a good year to tecnic. My personal target is RM6. Cheers....
26 Sep 2014, 03:02 PM
ILoveDividend
Below are the things that we can expect from Tecnic in FY14/FY15:

1) Good dividend, i'm expecting it to declare its dividend based on its 50% dividend pocicy.
Please note that it failed to do so for FY12 & FY13. However, it has cleared all its debt and it is zero debt since Q1 of FY2014.

2) Issue bonus, skpres had issue bonus in 2012. Hopefully, tecnic will declare soon.

3) Very strong cash flow starting from FY2014.

Buy at your own risk.
26 Sep 2014, 03:54 PM
ILoveDividend
Broke RM5 today. yeah
29 Sep 2014, 04:54 PM
ILoveDividend
SKP Resources to buy Tecnic to create major plastic parts maker?

PETALING JAYA: Low-profile Datuk Gan Kim Huat is consolidating his businesses in two listed companies, SKP Resources Bhd and Tecnic Group Bhd, in a move that will pave the way for the establishment of a major plastic parts manufacturer.

Yesterday, the share prices of SKP and Tecnic climbed to all-time highs of 71 sen and RM5.08, respectively, before both stocks were suspended, “pending a material announcement”.

It is learnt that the merger and acquisition exercise could involve cash and the issuance of new SKP shares.

Gan and his family own about 67% in SKP and 69% in Tecnic, formerly known as STS Tecnic Bhd.

“It’s a move that the Gan family has been looking at for some time to create an entity with economies of scale. A merger can be synergistic for the two companies, which can lead to accretive earnings going forward,” said a source.

SKP, which has been on expansion mode over the past few years, is in the business of manufacturing plastic parts and components, contract manufacturing, precision mould making, the sub-assembly of electronic and electrical equipment and other secondary processes.

For the financial year ended March 31, 2013 (FY13), British electrical appliance brand Dyson contributed 55% to SKP’s total sales.

According to SKP’s website, its other clients include Hewlett-Packard, Sharp, Flextronics and Pioneer.

Tecnic, meanwhile, is involved in plastic moulding design and fabrication, plastic injection and blow moulding for the automotive, electrical and electronic sectors as well as industrial consumable products. It counts Valeo, Sharp, Panasonic, Denso, Suzuki, Proton and Perodua as its clients.

SKP and Tecnic had cash and cash equivalents of RM19.4mil and RM25.7mil, respectively, as at June 30. However, SKP has seen a higher trading volume in recent months, while Tecnic is a relatively tightly held stock.

In an earlier note, RHB Research said SKP could achieve a two-year earnings compounded annual growth rate of 57.9% on the back of a 75% expansion in capacity to cater to increasing orders from Dyson.

SKP has a new plant in Senai, Johor, which is slated for completion next month and achieve full-scale operations by FY17, Kenanga Research said in a separate report.

The research house noted that SKP’s stronger order-book, underpinned by orders from Dyson to manufacture two new product lines for vacuum cleaners and fans, will provide earnings visibility for the next few years.

“The new products are next-generation appliances that will be able to fetch higher margins and contribute to the group’s earnings. We understand that a major part of the group’s new plant will cater to the production of the two new products,” it added.

SKP jumped 10.5 sen to 71 sen, with 38.37 million shares being traded.

Tecnic rose 31 sen, or 6.5%, to RM5.08, with 219,500 shares changing hands.

http://www.thestar.com.my/Business/Business-News/2014/09/30/Takeover-to-create-a-major-producer-of-plastic-moulds-and-parts/
30 Sep 2014, 09:49 AM
benny_s
Seems like market dont know how to price tecnic vis-a-vis skp price. Might also be due to the fact spread and free float is low, hence not much volume.

If tecnic dips, buy more.

Also once skp price moves up tecnic shareholders will be sitting pretty.

in theory,

it should be:

if skp=0.58, tecnic=4.95
if skp=0.67, tecnic=5.33
if skp=0.70, tecnic=5.46
if skp=0.80, tecnic=5.89

tecnic share price = (skp share price x 4.27) + 2.47
04 Oct 2014, 07:35 AM
Sebie_Kelate

Double signal break MA50, and break weekly high

23 Apr 2020, 02:07 PM

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