CAELY – DIVERSIFIED BRINGS BRIGHT FUTURE.
Caely Holdings Bhd (CAELY, 7154), engages in the manufacture and sale
of undergarments under original equipment manufacturer (OEM) arrangement to
Europe, Canada, the United States, and other Asian countries. The company also
manufactures and sells undergarments under its own brand in Malaysia. In
addition, it is involved in the multi-level marketing of undergarments,
garments, leather goods, sportswear, and household goods; retail of
undergarments and garments; and trade of related raw
materials.
In year 2011, the company diversified its business and start to
engage in the property development and construction activities. This new segment
brings profit to the company and changes its destiny.
For the financial year ended 31 March 2012, the Group has achieved
total revenue of RM68.7 million, an
increase of RM11.6 million or 20% from RM57.1 million as compared to last
financial year ended 31 March 2011. In line with the increase in revenue, the
Group posted a profit after tax of RM1.2
million as compared to an after tax loss of RM10.3 million for the same
period.
For the financial year ended 31 March 2013, the group achieved total
revenue of RM91.5 million, an increase
of RM22.8 million or 33% from RM68.7 million as compared to last financial
year ended 31 March 2012. The increase was mainly due to the construction and
OEM segments which contributed additional revenue of RM10.5 and RM12.8 million
respectively.
2011
|
2012
|
2013
|
|
Revenue (RM)
million
|
57.1
|
68.7
|
91.5
|
Change
|
-
|
+20%
|
+33%
|
Profit After
Tax (RM) million
|
(10.3)
|
1.2
|
1.7
|
There were few years CAELY did not declare dividend, but this year the
BOD recommends a proposed single tier final dividend of 1 sen in respect of the
financial year ended 31 March 2014. The entitlement and payment dates would be
announced at a later date and subject to the approval of the shareholders at
the Company's forthcoming Annual General Meeting.
Let’s have a quick look of CAELY’s share price,
Current share price: RM0.55
NTA: RM0.92
P/E: 6.3
EPS: 8.73*
Dividend: RM0.01 (financial year ended 31 March 2014)
* Calculated based on
the net profit of the trailing twelve months and latest number of shares
issued.
CAELY’s Property
Development and Construction Projects:
Development of a parcel of vacant leasehold land measuring
approximately 52.79 acres in Mukim Batang Padang, which is located along Tapah
Road, Perak. The estimated total GDV is RM145 million, and the estimated profit
before interest and tax is RM10.5 million. Estimate complete within
36 months.
The project consists of:
·
181 shop lots
·
304 linked, semi-detached and bungalow
·
2 parcels vacant lots (1 acres each)
2)
FELCRA
PROJECT (7/9/2012)
Award turnkey project for 300 unit Rumah Sesebuah Fasa 1
serta kerja-kerja berkaitan di Projek
Kampung Tersusun Generasi Kedua Felcra Berhad Seberang Perak, Changkat Lada,
Mukim Pasir Salak, Perak
The Contract period will be for 2 years. The value of the
Contract is for a total contract sum of RM 47,936,716.50
3)
GOMBAK
PROJECT (22/7/2013)
JV with Kismajaya Sdn Bhd to develop an abandoned project
7.09 acres land for 3 blocks of high rise condo (Block A, B and C). The
estimated land area for Block B and C is 2.53 acres and 2.08 acres
respectively. CAELY intends to complete the abandoned Block B, which comprise an
8-storey 120 residential condominium units. Estimate complete within 36 months.
- Block A had completed by previous developer.
- Block B (2.53 acres), estimate GDV RM 49.8 million at cost RM 38.2 million (earn RM 11.6 million)
- Block C reserve for future development (2.08 acres).
4)
FELCRA
PROJECT (4/12/2013)
Award two construction contracts from Koperasi
Peserta-Peserta Felcra Malaysia Berhad.
i) To design, construct and complete additional 770
units of houses in connection with Projek Perumahan Kampung Tersusun Generasi
Kedua Felcra Berhad Seberang Perak, Changkat Lada, Mukim Pasir Salak, Perak for
the contract sum of RM69,041,690.
ii) To construct and complete the
infrastructure of the Projek Perumahan
Kampong Tersusun Generasi Kedua Felcra Berhad Seberang Perak, Changkat Lada,
Mukim Pasir Salak, Perak for the contract sum of RM28,214,561
The Contracts are to be complete within a period of 24
months from the date of the contract, with the sum of RM97.2 million.
CAELY’s property development and construction projects in hand are estimated has a total
GDV over RM300 million. In year 2013, the net profit margin is 25% for property development and construction
segment.
Diversified into property development and
construction segment brings a bright future for CAELY. Its share price (CAELY, 7154) is around
RM0.29 a year ago, and now around RM0.52 which is still a discount price
compare to its NTA of RM0.92 with a low P/E ratio 6.3
Happy trading
AsianBuffett
