Eratat Lifestyle

from Reuters interview with Ken Ho, CFO of Eratat Lifestyle:

By investing to create more awareness for its brand amongst Chinese consumers, Eratat will be able to sell its apparel and footwear at higher prices and improve its margins.
Ho said he hopes Eratat would have a gross profit margin (GPM) of 40 percent in about 3 years, up from about 27 percent currently.
He said he expected Eratat's GPM to rise to its early 2009 level later this year. At that time, the gross margin was slightly above 30 percent.
  www.eratatgroup.com/v2/files/releases/20100902_reuters.pdf

The Edge magazine's cover story on Eratat Lifestyle (formerly known as China Eratat), for yr info.

www.eratatgroup.com/v2/files/releases/20100901_the_edge.pdf

Stock is doing nicely now touched 20.5 cents on very high volume this morning.

Kim Eng Securities had a report yesterday: www.eratatgroup.com/v2/files/releases/20100907_kim_eng.pdf

Found it at Eratat's website, cool website: www.eratatgroup.com/v2/

Slowly but steadily the stock continues its climb.
If the 3Q results are good, with gross profit margin expansion, and the net profit is up (cos they said they have a 12% increase in orderbook for July-Dec 2010, then no reason why the market will regain confidence in Eratat. 30 cents anyone?
 

Support your analysis. I believe this stock can make it.

Eratat Lifestyle Limited’s (Eratat)

We visited Eratat Lifestyle Limited’s (Eratat) production plant in Quangang District and its sales and marketing office in Jinjiang City, Fujian Province. Smooth operations and a clean environment told us that the plant was well run. Next, Management shared with us some of their practices and policies, impressing us with their attention to detail and competitiveness. Maintain Increase Exposure view on an intrinsic value of S$0.320 (+60.0% upside).