InnoTek

[Gaudente]

Innotek is surely and steadily getting on a firmer footing! The FY16 results make for pleasant reading for its shareholders.

The pertinent numbers for FY16:

Revenue: $214.740 mil (This is a drop from $233.137 mil achieved in FY15)
Net Profit: $11.569 mil (with NP in 3Q16 & 4Q16 being $5.017 + $4.757 mil)
No. of shares: 223.835 mil (+ 22.821 mil being held as treasury shares)
EPS: $0.0517 (for 2016)
NAV: $0.558
Current Assets - Total liabilities: $61.118 mil
Cash on hand: $29.06 mil
Short term debt: $0.023 mil
Long term debt: $0.05 mil
Current market cap: $79.46 mil (At today's closing price of $0.355)

Considering that the share price has rerated from $0.13 (In April 2015) to $0.355 today (On very large volumes for Innotek), I feel that the market has just started taking notice of this turnaround story. The increase in share price is also appreciable considering there has been absolutely ZERO mention of this firm in the media or on Internet chatter!

The other positive development was the restarting of dividends (0.5 cents for this year). If Innotek is able to maintain the current run rate they should be looking at clocking a NP figure in the range of 15-20 mil SGD in 2017. 

These are indeed very good results , with 5 cents EPS and 55 cents NAV the counter is still a bargain even at today's price of 36 cents.
If the trend consolidates and the company resumes its former high dividend distribution policy , I think we can see again the pre-crisis prices between 50-60 cents.