This is copied directly from the Company announcement to Bursa:
The Group's revenue for the first quarter under review was higher at RM169.451 million as compared to the revenue in the corresponding quarter last year of RM152.392 million; an increase of RM17.059 million. The increase in revenue was due to the existing stores registering higher sales. The Group's profit before tax in the current quarter at RM15.191 million was higher as compared to the profit before tax of RM13.737 million in the corresponding quarter last year; an increase of RM1.454 million. The increase in profit before tax was mainly due to the higher sales registered for the current quarter under review.
As I am not familiar with POH KONG business, I will only add some extra facts that I gather:
i) Book Value at 78 sen, market price now trades at 47 sen, implying Price to Book Value of 0.6 times.
ii) Current ratio declined from 3.49x in 4Q2010 to 3.21x in 1Q2011
iii) With total cash of RM21.085m and total debt of RM131.839m, the Company is in net debt position of RM110.754m
I am not familiar with gold company. With gold at record high, will it be better for them as their stocks (gold) value up, or will it be worse for them due to less demand.
ReplyDeleteIs your blog new or continue from other blog? I thought I saw it somewhere.
ReplyDeleteMy blog is new with my first serious blog written on mid-Nov 2010. To be honest, myself also not familiar with gold company. But POHKONG seems more like a trader, they buy Gold, make it into jewelry, then sell (make some profit). If you want exposure to pure Gold Investment, can go for Physical Gold (Kijang Emas from Bank Negara) or Gold Savings Passbook (Public Bank and Maybank have this).
ReplyDelete