I am disappointed with Man Wah\'s decision to withhold dividend this round. It has used the cashflow generated to pay down the bank and other loans by HKD 52m in Q4. The resulting net cash inflow is HKD 70m giving a final net cash position of HKD 45m. Man Wah is net cash positive, has a brand new plant at 60% utilization and no majar capex in sight. I can only conclude that the next quarters ahead are still a challenge and to conserve cash is a prudent move - but I am still disappointed not to receive a final dividend! The good news is Man Wah is able to take advantage of the lower cost of goods to achieve a gross margin of 38.3%. This is much higher than HTL 33.2% for the same quarter ending in Mar 09.
yah man, disappointing that there\'s no dividend. The final dividend in the previous FY was 0.758 Singapore cts. In a sense, it\'s not very much & wont be sorely missed. What i wish the mgt had done is to provide an explanation of why the div is not coming this time. Silence is not golden.
Do you remember what happen to China Hongxing after they stop paying the dividends ?? :woohoo:
yes, Hongxing half-drowned. Man Wah is the opposite. It seems to be priming for a rocket up. For those shareholders, the capital appreciation of 3 cents since results announcement shld be better than a dividend *(FY08 final was kacang putih at 0.758 ct)
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