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23-04-2012, 09:27 AM
(This post was last modified: 23-04-2012, 02:02 PM by potatolover.)
FY2011's full year results seemed to be below par..
Net Profit (mil RMB)
2011 - 88.5
2010 - 115.3
2009 - 88.3
2008 - 106.7
2007 - 76.1
P/E = 6.7
NAV = 31.5 cents
current share price = 25 cents
Company cited downward price adjustments of raw material costs which improved gross margin are temporary. Upward price pressure will creep in due to the overall positive outlook in China & rest of the world.
Despite the somewhat below-par results, company bought back its own shares from the open market...
Strange? Fishy?
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23-04-2012, 02:36 PM
(This post was last modified: 23-04-2012, 02:37 PM by potatolover.)
Success More Group and Xu Cheng Qiu held 63.08%. Only 35.2% of the issued shares are held by the public or only $51.3mil (Spore dollars) based on NAV...
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30-04-2012, 10:10 AM
(This post was last modified: 30-04-2012, 11:50 AM by potatolover.)
China Sunsine Chem serves over 55%of the world's top 75 tyre-makers. How is it able to maintain its competitive advantage over its rivals?
It cited challenging operating environment such as falling demand from key export markets, over-capacity, increased raw material and operating costs and pricing pressures. What are the entry barriers for this type of industries? 1st-mover advantage? Marketing strategies?
Its latest FY2011 result seems to suggest that its margins have been eroded?
Any views?
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02-05-2012, 10:01 AM
(This post was last modified: 02-05-2012, 10:02 AM by Stockerman.)
Some volume seen today on Chinassine.
From 1 Jan 2012 to late April 2012, company has bought back another 10.5 mil shares.
Think the % of shares held by public is fast depleting...
What does this imply?
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Wow, volume further went up today...
Something is brewing...
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(30-04-2012, 10:10 AM)potatolover Wrote: China Sunsine Chem serves over 55%of the world's top 75 tyre-makers. How is it able to maintain its competitive advantage over its rivals?
It cited challenging operating environment such as falling demand from key export markets, over-capacity, increased raw material and operating costs and pricing pressures. What are the entry barriers for this type of industries? 1st-mover advantage? Marketing strategies?
Its latest FY2011 result seems to suggest that its margins have been eroded?
Any views?
This is one of the S-Chip i am monitoring.
The eroded margin is mainly due to one-time re-location expense (Facility 1 to Facility 2). Another factor is due to additional expense of installing new production line in Facility 3
IMO, Overall nothing seem deteriorating.
“夏则资皮，冬则资纱，旱则资船，水则资车” - 范蠡
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(10-05-2012, 08:13 PM)dydx Wrote: Having reviewed the latest 1Q numbers.....
http://info.sgx.com/webcoranncatth.nsf/V...C003312D5/$file/CS_1Q2012ResultsAnnoucement.pdf?openelement
I agree this company does have good potential and also a smart management, as evidenced by their flexible marketing strategies which have produced the impressive growth in business volume todate.
For sure, tyre manafacturers - especially the larger ones - generally are good long-term customers.
I am glad dydx endorse the company
IMO, For those company product required precision process know-how, their customer are normally long term. One of the key reason is quality impacted if change supplier, which required a lot of effort to rectify.
Even with the same supplier, when facilities changes, re-qualification is required.
Just to share what i learn from my friend in plastic precision engineering industry
“夏则资皮，冬则资纱，旱则资船，水则资车” - 范蠡
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This is one of the rare S Chips which repurchased significant amount of stock without placing out new equities. I believe the other is Sunvic. YZJ also repurchased over two hundred million shares in the GFC but sold most of it later on. I guess it is a good way to show the cash is real and the Management do care about improving the share price.
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Disclaimer: Please feel free to correct any error in my post. I am not liable for anything. Do your own research and analysis. I do NOT give buy or sell calls and stock tips. Buy and sell at your risk. I am not a qualified financial adviser so I do not give any advice. The postings reflects my own personal thoughts which may or may not be accurate.
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