Nam Lee Pressed Metal

[pianist]

S&P issued a report on Nam Lee dated 22 Oct..

Based on their analysis, construction activity particulary hdb building in singapore seems to support this counter and that it just renewed a 5 year contract with carrier in aug 2010 and has a net asset of sgd0.40

i have a feeling construction counter or counter support construction seems positive at the moment

[dydx]

Going against the overall depressed market, this counter has been marked up by $0.045 - or a massive 15.8%! - so far today, with the last done price at $0.33. Strange! It appears there are people out there anticipating that the coming FY10 (ended 30Sep10) full-year results will be good, or something else that is positive?

[dydx]

I think shareholders should be pleased with the just released FY10 (ended 30Sep10) full-year results and the total $0.015/share (vs. last FY09's $0.01/share) Final+Special dividends.....
http://info.sgx.com/webcoranncatth.nsf/V...A003A5475/$file/Nam_Lee_Full_Yr_results_30Sep2010.pdf?openelement

I am pleased to note that as at 30Sep10 Nam Lee has attained a net cash position to the tune of $10.67m - equivalent to $0.04/share, based on the 226.76m issued shares. It is also worth noting that Nam Lee actually achieved much high operating profit and NP in H2 (vs. H1) on flat sales. In the outlook statement, management has indicated that demand for aluminium products from Carrier Transicold and business volume are improving; and I suppose Nam Lee will benefit from HDB's increasing building programmes in the next few years.

[pianist]

indeed is a gd news for shareholders..there was a markedly increase in its other income as well.
this has become a div play for some..though it comes once a year..

[dydx]

Latest report (dated 2Dec10) from S&P.....
http://research.sgx.com/reports/rpt_view.pl?id=6357

[Nick]

S&P initiation reports are pretty comprehensive and well-researched. I like the fact that it avoids putting a target price on the stock it researches on.

[dydx]

On the very first market-day after the release of the FY10 (ended 30Sep10) full-year results on 30Nov10, the Yong Brothers, via their private investment holding company Nam Lee Holdings P/L, has resumed buying Nam Lee shares on 1Dec10.....
http://info.sgx.com/webcorannc.nsf/Annou...endocument

In this purchase, they added another 50 lots at $0.295, raising Nam Lee Holdings' direct interest in Nam Lee to 57.6%. I suppose, apart from their strategic considerations, the Yong Brothers are happy with the coming $0.015/share Final+Special dividends, which give a yield of 5.085% on $0.295.

[dydx]

By an announcement today (13Dec10), the company informs that on 9Dec10, the Yong Brothers, by way of their private investment holding company Nam Lee Holdings P/L, bought another 65 lots and paid $0.295/share.....
http://info.sgx.com/webcorannc.nsf/Annou...endocument

[brattzz]

5% yield le... good returns.

[dydx]

The just released FY10 (ended 30Sep10) AR makes interesting reading.....
http://info.sgx.com/listprosp.nsf/6c6be9...c001094b8/$FILE/Nam%20Lee-AR2010.pdf

In his Message to Shareholders, Chairman Yong Koon Chin has given a cautiously positive outlook statement (in p5), reproduced below.....

"OUTLOOK
The business outlook for the Group’s core
aluminium industrial products is improving
and sales volume is projected to pick up.
Nonetheless, the Directors remain cautiously
optimistic of the Group’s forward prospects
in recognition that its major customer serves
mainly the European and USA markets and
thus, any projected increase in demand for
its industrial products could be dampened or
deferred by external market-specific factors;
such as the European sovereign debt crisis
and the pace of recovery within the USA
economy.

As for the Group’s building products, the
underlying industry prospects remain positive
despite prevailing market competition that may
continue to exert pressure on profit margin.

Going forward, the Group believes that
its strengthened operational and financial
fundamentals will underpin its ability to meet
new challenges from stiff market competition
locally, as well as lingering economic issues
that may affect the recovery of the global
markets of USA and Europe."

I am looking forward to the coming Final and Special dividends totalling $0.015/share.