Lowyat.NET: Latest topics by jack~daniel

IPO : Enest Group Berhad

jack~daniel — Fri, 10 Apr 2026 22:12:08 +0800

What the Company Does
Enest is a bird's nest (edukung burung) company — it processes raw unclean bird's nest (RUBN) into cleaned and ready-to-export bird's nest (RCEBN), trades raw EBN, and sells processed bottled bird's nest products. Its subsidiaries Ming Feng and Dynamic Transforms are among the top 10 Malaysian exporters of RCEBN to China by volume. This is a transfer listing from the LEAP Market to the ACE Market.

🟢 Positives
1. Consistent revenue growth. Revenue has grown every year — RM113M → RM120M → RM146M — with FY2024 showing a strong 21.5% jump. This is the opposite of Sum Technology's revenue decline.
2. PATAMI growing strongly. Profit attributable to shareholders grew 20.5% in FY2024 to RM8.04M. Earnings momentum is clearly positive.
3. Sector tailwinds are real. Malaysia EBN exports grew at a 12.9% CAGR from 2019 to 2024, and the industry is forecast to grow another 11.9% CAGR to 2027 — driven by rising Chinese consumer demand and health consciousness. This is a genuine structural story.
4. Market leader credentials. Ming Feng and Dynamic Transforms are in the top 10 Malaysian RCEBN exporters to China — a meaningful competitive position in a fragmented market.
5. China concentration is actually improving. China revenue has dropped from 91.9% to 67.4% of total, while Malaysia grew from 6.8% to 31.4%. Diversification is happening organically.
6. No order book risk. Unlike project-based businesses, Enest operates on purchase order flow — revenue is recurring in nature rather than lumpy.

🔴 Concerns
1. Gross margins are compressing. GP margin has fallen from 12.5% to 10.3% over three years. This is partly due to a shift toward trading of raw EBN (lower margin) vs processing (higher margin). If this trend continues, profit growth may slow.
2. Still highly dependent on China. Even at 67.4%, China remains the dominant market. Any tightening of GACC (Chinese food safety authority) regulations, export quota restrictions, or geopolitical friction could materially hurt the business. The prospectus explicitly flags GACC registration renewal as a key risk.
3. Labour-intensive processing. Cleaning bird's nest is done manually by hand — the company relies heavily on skilled foreign workers. Labour shortages are a real operational risk.
4. Rising debt. Total borrowings surged from ~RM5.7M (FY2022) to RM17.8M (FY2024). This coincides with property purchases and business expansion, but it's a notable increase in financial leverage.
5. No dividends paid in FY2022–2024, and none planned until listing. With no formal dividend policy, shareholders rely entirely on capital appreciation.
6. Thin PAT margins of ~5.8%. Profit margins are stable but slim for a food processing business. There's not much buffer if costs rise or selling prices drop.

The Key Takeaway
At RM 0.14, Enest trades at a PE of only 10x — well below the peer average of 17.75x and less than half of comparable listed EBN players like Beshom (23x) and Xiamen Yan Palace (23x). If the market were to re-rate Enest toward the peer average, you'd be looking at a share price of around RM 0.25–0.30 — roughly 80–100% upside from IPO price.
The fundamentals haven't changed — revenue growing 21.5%, PATAMI up 20.5% in FY2024, recurring purchase-order revenue, top-10 RCEBN exporter to China. But at half the price, the margin of safety is meaningfully better. The risks (GACC dependency, compressing GP margins, rising debt, no dividends) remain the same, but you're being compensated much better for them.

IPO : AMS Advanced Material

jack~daniel — Tue, 31 Mar 2026 12:23:40 +0800

What They Do
AMS is a trader and processor of semi-finished aluminium and copper products — essentially a middleman that imports aluminium sheets, plates, coils, extrusions and copper products, break-bulks them, and distributes to manufacturers in Malaysia (primarily in E&E, semiconductor, construction and automotive). They are expanding into aluminium architectural products manufacturing and scrap recycling.

The Growth Story is Real
Revenue has genuinely grown fast — from RM60.5M in FY2023 to RM129.7M in FY2025, almost doubling in two years. This rides on Malaysia's booming semiconductor and E&E manufacturing investments, and their strategy to expand from pure trading into processing/manufacturing (which should command better margins). That story is credible and the market tailwind is real.

The Fundamental Problem — Margins
But here's the issue: this is a trading business, and trading businesses are structurally low-margin. At 6.6% PAT margin, every RM100 in sales leaves only RM6.60 in profit. When something goes wrong — a customer leaves, aluminium prices spike, the ringgit weakens — there is very little cushion. This also makes the PE of 20.7× very hard to justify. You'd normally pay 20× PE for a high-margin, high-growth business. Paying 20× for 6.6% margins is risky.

Customer Concentration is a Real Threat
Customer A contributed 20.95% of FY2025 revenue with no long-term contract. In a low-margin business, losing that single customer doesn't just reduce revenue — it can turn a profitable year into a loss year. This is the single most important risk to understand before investing.

Verdict
Proceed with caution. The growth momentum is genuine and the sector tailwind is favourable, but you're paying a growth stock price (20.7× PE) for a commodity trading business with thin margins, single-customer concentration risk, no dividend policy, and meaningful forex exposure. it could work well if the Penang manufacturing plant upgrades margins, but there's limited downside protection if anything goes wrong.

IPO :Liftech Group Berhad

jack~daniel — Tue, 31 Mar 2026 11:12:24 +0800

What Liftech Does
Liftech is a Malaysia-based industrial lifting and handling equipment company with 33 years of track record. They design, manufacture, install, and service cranes, hoists, and aerial work platforms. They operate 8 facilities nationwide and derive ~97% of revenue from Malaysia. It's listing on the ACE Market (the higher-risk alternative market for emerging companies).

Valuation at RM 0.29
At the indicative price:

Market cap: RM 91.3 million
P/E ratio: ~13.9× based on FY2024 PAT of RM 6.58 million — this is reasonable for an ACE Market listing, not cheap but not egregious
Premium to net assets: 107% — you're paying RM 0.29 for a share with net assets of RM 0.14, which is a significant premium, though common for profitable companies on listing

What's Attractive
The most compelling part of the story is gross profit margin expansion — from 27.5% in FY2022 to 40.3% in FY2024. This suggests the company has been moving up the value chain and improving pricing power. Revenue also recovered strongly to RM 57.7M in FY2024 after a dip in FY2023. They have a diversified customer base (top 5 customers contributed only 18.8% of revenue in FY2024) which reduces dependency risk.

Key Concerns
The biggest red flag is that PAT actually fell from RM 6.72M in FY2023 to RM 6.58M in FY2024, even though revenue and gross profit grew. This means cost inflation is eating into profits at the bottom line level. The business is also project-based and lumpy — there are no long-term contracts and revenue can fluctuate significantly year to year. The prospectus is also frank that they are key-man dependent on their executive directors.
The 107% premium over net assets at RM 0.29 means you're entirely pricing in future earnings growth. If growth doesn't materialize, the downside is meaningful.

Overall Verdict
Cautiously consider, not a strong buy at RM 0.29. The business is fundamentally sound with improving margins and a long track record, but the valuation already reflects a fairly optimistic scenario. The PE of ~14× is fair — not a bargain — for a small ACE Market engineering company with project-based revenue. If you're looking for a short-term listing gain, it depends heavily on market sentiment and IPO subscription demand, which is hard to predict. For longer-term investors, the margin expansion trend is encouraging, but watch whether profits recover in FY2025.
As always, this analysis is not a substitute for advice from a licensed financial adviser. Consider your own risk tolerance — the ACE Market explicitly carries higher investment risk than the Main Market.

Saman AES

jack~daniel — Thu, 03 Oct 2024 11:30:22 +0800

How can you resolve an AES summons if you missed your court date? What steps should you take to address the situation and ensure compliance?

The employer fails to remit the EPF and PCB

jack~daniel — Thu, 08 Feb 2024 19:44:12 +0800

Hello Guys,

My company deducts my income for EPF (Employee Provident Fund) and PCB (Potongan Cukai Berjadual), but the funds are not being deposited into my EPF&PCB account, where should I file a report?

I can't afford a lawyer

Total IVF Cost

jack~daniel — Wed, 16 Aug 2023 12:18:11 +0800

Hello, how much is the total cost ( all in) for an IVF package at Alpha IVF Fertility Center Malaysia? Does anybody have an experience with them?

J&T - ON HOLD

jack~daniel — Wed, 25 May 2022 20:34:52 +0800

What does it mean by "Delivery service was delayed due to external factors"?

Can an employee refuse to travel due to Covid-19

jack~daniel — Mon, 25 Apr 2022 19:01:06 +0800

I was asked to travel out of Malaysia to a high-risk country, is there any law to protect employees from being force to travel out of country due to pendamic.

Motorcycle Parking bay at Menara UOA Bangsar

jack~daniel — Mon, 06 Jul 2020 19:49:02 +0800

Where to park a motorcycle around Menara UOA Bangsar?

IPO:Mi Equipment Holdings Bhd (MiE Holdings)

jack~daniel — Thu, 22 Mar 2018 11:12:16 +0800

https://www.sc.com.my/prospectus-exposure-m...oldings-berhad/

Wireless Brige

jack~daniel — Sun, 22 May 2016 20:36:27 +0800

Guys,

I'm using router RGX4400 which is standard router provided by TM Unifi, the distance to my router is impossible for me to pull the RJ45 cable from 2nd floor to 1st floor, so I've been thinking to consider wireless router, which router is possible to bridge with RGX4400 wirelessly. Any guys can recommend as there are many routers in the market.

Wall Mirror

jack~daniel — Sun, 20 Mar 2016 19:36:22 +0800

Does anybody know where to buy custom made mirror in Kajang/cheras/puchong area?

Najib Facebook

jack~daniel — Mon, 01 Feb 2016 11:49:03 +0800

Well, lately I saw positive comments on our beloved PM FB, I was curious where were the haters, most of positive comments were from fake accounts created by BN cyber troopers, so I wrote the negative comments about 2.6B issues, surprisingly I'm being blocked from his FB. Do you guys having the same problem same as me?

Honda City IDSI Alarm Security Problem

jack~daniel — Mon, 29 Jun 2015 08:56:09 +0800

Hi Guys,

I believe some of you might have the same problem with me, my security system has a problem, it won't started unless the alarm receiver receives the signal from key transponder, I thought my key transponder was out of battery, I brought the spare transponder to activate the alarm, but it didn't happen. I knew it was my security system problem, so I reset the alarm ( disarm the battery, reconnect the battery after few seconds, hold both buttons simultaneously), and I successfully start the car's engine, but the problem is the security system doesn't work anymore. So how to fix the alarm problem?, changing to the new alarm system is one on my list, how much does it cost for new set alarm system? does it necessary?

Wolf Warrior - Chinese action movie

jack~daniel — Mon, 29 Jun 2015 08:33:45 +0800

[YOUTUBE]RR02p8KkwfM[/YOUTUBE]

Retrenchment - Oil & Gas

jack~daniel — Tue, 02 Jun 2015 13:29:53 +0800

Guys,

I heard SBM has started laying off some employees for their 2nd retrenchment exercise.Is it true?

Impian Heights Apartment, Puchong Jaya

jack~daniel — Sun, 03 May 2015 15:57:53 +0800

Impian Heights Condominium, FOR SALE!
Jalan Pipit, Bandar Puchong Jaya, Puchong,
Selangor

RM 410,000

- Freehold
- Size: 1,066 sf
- 3 Bedrooms / 2 Bathrooms
- Renovated with kitchen cabinets, plaster Ceiling, Lightings & etc.
- Well kept unit
- Partly furnished - Bed, Wardrobe, Sofa, Dining Table, TV Cabinet.
- Strategic location
- Non-Bumi

Facilities:
- 24 hours security
- Swimming pool
- Barbecue area
- Parking lots
- Children Playground
- Tennis court

Amenities:
- Primary and secondary schools
- Shopping - IOI Mall, Tesco, Giant, Sunway
Pyramid etc.
- Banks
- Petrol kiosks
- Colleges
- Cafes and restaurants
- Other convenient shops

Accessibilities:
- LDP Highway
- Elite Highway
- NPE Expressway
- Seri Setia KTM Station
- Upcoming LRT station

Please feel free to contact Falaah for
more details and viewing arrangement:

H/P : 013-2965947 (Direct Owner)
Read more at hhttp://www.mudah.my/Impian+Heights+Bandar+Puchong+Jaya+Puchong-35363458.htm

Doctors who rent space

jack~daniel — Mon, 23 Mar 2015 08:20:54 +0800

ETALING JAYA: The consultancy fee of doctors who rent space at private hospitals will come under the 6% Goods and Services Tax (GST).

This was finalised at a meeting between the Customs Department and representatives of private hospitals last Friday, said Customs Department GST director Datuk Subromaniam Tholasy.

Describing the arrangement as “a bit unique”, he said doctors employed by the hospital would however be exempted.

“The issue is with consultants who are just renting space in the hospital.

“As they do not belong to the hospital, their fees are subject to the tax,” he said.

Subromaniam said the doctor’s charges would be stated as GST-inclusive.

“The hospital is just a conduit. The receipt will not show GST unless they have taxable supplies, like administration fees,” he added.

Therefore, those seeking private consultants would see an increase in fees, he said.

“Let’s say the hospital bill is RM5,000 and the consultant’s fees is RM1,000.

“After GST, his fees will be RM1,060 plus RM5,000,” Subromaniam added.

Subromaniam assured the people that the overall increase would not be very much, as it would be offset by the removal of the service tax for catering or accommodation.

Consultant specialists will still have to follow the present fee schedule agreed upon by doctors and the Government.

“Normal GP clinics will have no impact as their services are totally exempt.

“The actual impact will be negligible,” Subromaniam said.

He also urged independent doctors with an annual income of over RM500,000 to register before April 1.

Magic drink

jack~daniel — Sat, 14 Mar 2015 22:07:57 +0800

Why do some people believe this kind drink can cure many things?

Threesome with teachers

jack~daniel — Tue, 07 Oct 2014 11:29:32 +0800

Two teachers at the same Louisiana high school have been charged in the sex abuse of the same male student, according to police.

Shelley Dufresne, 32, and Rachel Respess, 24, both teach at Destrehan High School in St. Charles Parish. They are each charged with one count of carnal knowledge of a juvenile, according to the St. Charles Herald Guide.

WDSU quoted an unnamed source who implied that the victim was involved in a threesome with the teachers. That detail and others were confirmed by Kenner police in booking reports released Thursday.

Investigators confirmed Wednesday that the encounter allegedly took place at Respess' apartment after a Destrehan football game Sept. 12, and that all three were together at the residence until early morning hours of the next day.

Dufresne, who has taught at the school for 10 years, was arrested Tuesday and released from St. Charles Parish jail on $200,000 bond later that night. According to WGNO, the mother of three is under house arrest, and is not allowed to leave her home except for continued intensive mental health treatment, doctors’ appointments, and church.

Respass, who is in her second year teaching at the school, turned herself in on Wednesday.

Police began their investigation last Friday after educators learned that a male student had been "bragging to other students that he was having a sexual relationship with teachers," according to a St. Charles Sheriff's Office report.

WDSU reports that the teachers were put on paid leave last Friday after the allegations came to light.

Parents aren't taking the allegations lightly.

“Unfortunately as a parent of a son that attends Destrehan High School, it’s a little overwhelming at times, and my son is taking it difficult as well, but I think the whole school is taking it difficultly,” Destrehan High School parent Antonio Morales told WGNO. “When anything happens here at Destrehan, all of Destrehan suffers.”

http://www.huffingtonpost.com/2014/10/01/s..._n_5915244.html