Hafary

I never imagined a tile distributor can make so good profit. Hafary is worth tracking.

At the price of 25 cents, it is v attractive – but can it sustain its profitability ??? That’s what I want to know…..

For FY2011 ended June, Hafary’s revenue shot up 57% ---> $60.4 m

Net profit up 125% ---> $6.8 m

Net profit margin = 11.2%.

Dividend ---> 0.9 cents in FY11, more than double the 0.4 cents in FY10.

Dividend yield now is so-so, nothing to shout about ---> 0.9 divided by 25 cts = 3.6%

Oh, the BT article is avail on the Net: www.businesstimes.com.sg/sub/companies/s...,4574,455340,00.html ?

I have been trying to find analyst reports on Hafary but without success. This business is not, at first glance, an exciting one, but the profit track record makes me sit up and take notice. In addition, recently, they sold an entire industrial project for a one-off profit (one-off becos it is not their core business).

NextInsight has a recent story: HAFARY wins outsized property gain, FORTUNE REIT to acquire 2 HK properties

After a long lunch meeting, I checked just now and saw the counter today has already 444,000 shares traded compared to usually NIL. The price is unchanged at 25 cents.

Stirring.....

congrats to those who hold this !
The dividend yield is 10% for all who bought in the past year -- cos the stock stayed stable at around 23-25 cents.

Interim 1 cent dividend, now final dividend is 1.5 cents.
2.5 cents total.

I am quite sure it will go up because they have a large profit to book in the new FY from the sale of an industrial development project.

Big things start small, eh?
Look at the sizzling dividend growth.

fy 10: 0.4 cent
fy 11: 0.9 cent
fy 12: 2.5 cent.

fy13: ?? 3.5 cents ???