Bloomberg - H&L:MK
Yahoo - 7033 .kl
Webpage - http://www.hlhightech.com/
Yahoo - 7033 .kl
Webpage - http://www.hlhightech.com/
Company
Profile
HIGHTEC specializing in
the innovation of plastic injection mounting solutions; which are in
Automotive, Consumer Goods, Electrical, Industrial and Medical.
1) Operating Segment
HIGHTEC has four major
operating segments which are:
1) Manufacturing & Trading – 70.73 % of
2018 revenue
2) Property Development – 11.22 % of 2018
revenue
3) Plantation – 9.63 % of 2018 revenue
4) Investment – 8.42 % of 2018 revenue
Asset turnover of the operating segments are:
1) Manufacturing & Trading – 0.39
2) Property Development – 0.51
3) Plantation – 0.28
4) Investment – 0.02
Investment segment is
having the most of non current asset gain for 2018 which is 77.49 % of the non
current asset gain.
CONS:
|
è
The lowest asset turnover ratio segment
having the high non current asset gain.
|
2) Geographical
Information
HIGHTEC is operated in
three major location which are:
1) European countries – 49.64 % of 2018
revenue
2) Malaysia – 45.96 % of 2018 revenue
3) South East Asia – 2.72 % of 2018 revenue
4) Others – 1.67 % of 2018 revenue
Financial
Statement
The Investment
Properties had increase from RM 55,016,281 (2017) to RM 55,845,731 (2018),of
the increment RM 765,550 (92.30 %) are from fair value adjustment.
Of the RM 3,054,727
trade receivables, RM 1,679,230 (54.97 %) are trade past due compared to 38.74
of the trade receivable past due in 2017.
HIGHTEC had increase in
cash and deposit with licensed financial institutions from RM 16,000,377 (2017)
to RM 17,616,060 (2018), 10.1 % increase.
PROS:
|
è HIGHTEC had 10.1 % increase in
cash and deposit with licensed financial institutions.
|
CONS:
|
è
54.97 % of trade receivable had past due
|
HIGHTEC borrowings had
reduced from RM 4,747,845 (2017) to RM 3,575,397 (2018), 24.69 % decrease.
There is significant
increase in deferred tax liability from RM 4,257,925 (2017) to RM 6,126,376
(2018), 43.88 % increase. These increase in deferred tax liability is due to
increase of fair value gain on investment properties from RM 1,451,907 (2017)
to RM 2,980,814 (2018). If the investment properties is sales next year HIGHTEC
had to pay the deferred liability.
PROS:
|
è HIGHTEC loans and borrowings had
reduced by 24.69 %
|
CONS:
|
è
Deferred tax liability had increase by
43.88 % mainly due to increase of fair value gain of investment property.
|
Financial
Ratio
Description
|
2018
|
2017
|
Different
|
Gross
Profit Margin
|
0.40
|
0.38
|
+0.02
|
Net
Profit Margin
|
0.15
|
0.25
|
-0.10
|
Interest
Coverage Ratio
|
32.58
|
28.78
|
+3.79
|
Effective
Tax
|
0.47
|
0.20
|
+0.27
|
HIGHTEC increase of
effective tax because of additional of deferred tax liability on real property
gain which is RM 1,528,907. If the figure remove HIGHTEC effective tax rate is
23.63 %.
Warrant
HIGHTEC had no warrant.
Dividend
and Bonus Issued for the past five year
HIGHTEC had constant
dividend for the past five year from 2014 – 2018 with the average dividend of RM
0.033 with the dividend yield of 2.34 % base on HIGHTEC stock price of RM 1.28 on
15/3/2019.
CONS:
|
è
HIGHTEC had dividend yield of average 2,34
% for the last five year which is lower than fixed deposit rate of 3.15 %
|
Estimated
Price
IVKLS Price : RM 1.25
Peers
1) SCH
2) PNEPCB
3) HLT
4) KEIHIN
5) WONG
6) SANICHI
7) JASKITA
8) PASUKGB
9) YBS
10) MQTECH