HeveaBoard and its subsidiaries manufacture, trade and distribute a wide range of particleboard and particleboard-based products. HeveaBoard takes the lead in the manufacturing of particleboard - a reconstituted wood panel derived from rubberwood residues, while its subsidiaries are involved in down stream particleboard based Ready-to-Assemble furniture manufacturing, trading and distribution of particleboard and wood panel related products.
Hevea’s has recorded steady revenue. While its profits drop at FY2011 (The drop of net profit is due to weakened US Dollar exchange against the Ringgit, as more than 80% of the Group's revenues were for the export market transacted in US Dollar. Source: Annual Report) but recover at FY2012.
|FY||Revenue ('000)||Revenue Growth||Net Profit ('000)||Net Profit Growth||Net Profit Margin|
Hevea’s net profit and net profit margin has decreased substantially in FY2011 which due to the same factor above. US Dollar is currently strengthened back against Malaysia Ringgit. We expect Net Profit will back to normal and even better.
|Current Assets (RM'000)||102,332||139,487||129,653||134,941|
|Current Liabilities (RM'000)||79,520||99,401||102,488||111,494|
Hevea’s has maintained its current ratio slightly below healthy level of 1.5. Current ratio decreased due to increase in liabilities.
For those concerned about dividend payouts, Hevea’s only paid RM0.01 in FY2012.
Hevea’s PE Ratio has maintain at “attractive” level, from 5.45 in FY2009, 3.99 in FY2010, 30.92 in FY2011, to 6.82 in FY2012.
|Net Cash Generated from Operating (RM'000)||35,751||43,278|
|Net Cash Generated from Investing (RM'000)||-10,487||-3,667|
|Net Cash Generated from Financing (RM'000)||-34,330||-28,835|
|Cash and Cash Equivalents at End (RM'000)||12,814||23,591|
Hevea’s has kept its record in generating positive cash flow from operating activities.
Our team expect US dollar to continue strengthen against Malaysia Ringgit and hence we forecast this will contribute positively to the company. Besides, the company is expecting to increase export to China which also increase net profit for the company.
By the Young Investors Team