Aerospace and Semiconductor Orders Filling Up
In terms of business activity, we have been working
hard to fill up the excess capacity left behind by the
aforementioned drop in oil & gas orders. Aerospace
continues to be the main pillar of our business, where we
are receiving robust order flow from existing customers
as well as enquiries from potential new customers. The
semiconductor customers that we serve have also given
us a steady flow of orders. JEP Industrades, which we
acquired in August 2015, has continued performing well
under our Trading & Others segment, providing a base of
recurring income for the Group.
... end of quote ...
Above is a quote taken from the annual report. Personally, i think
they may be doing ok for 2017 but the main test is in 2018 when
everything (moving to new plants, setting up production lines etc,)
has settled down. If vested, must be prepared to look long term.
Just my views.
Thank you for sharing. I had also vested in Chasen. Just wondering if you are still vested as the shares has been falling for the past week and I'm not too sure if i should sell it.
Would you also be so kind to share your other approach on undervalued shares? The only strategy i adopt is to compare its net cash position to its market capitalisation. However, I do understand some companies need to be substantially leveraged for it to grow and i usually cannot spot such undervalued companies.
Executive Chairman & CEO's Message in Annual Report 2016:
" The past 3 years have seen us laying the foundations for the Group's future. I thank our loyal shareholders for their patience and the belief they have placed in us.
In the last year, we have suffered some setbacks, mainly due to the collapse in
crude oil prices, which has severely disrupted the entire sector's supply chain and resulted in a significant drop in our oil & gas segment activities.
However, I remain positive and confident of the future growth of our operations.
I like the positive tones of the Executive Chairman and CEO when he expressed
confidence in the future growth of the company after 3 years of laying it' s foundation.