This article first appeared in The Edge Financial Daily on June 18, 2019

JAYCORP Bhd (-ve)

JAYCORP Bhd (fundamental: 2.5/3, valuation: 2.4/3) made it into our Stocks with Momentum list yesterday for the first time this month.

The counter rose five sen or 4.85% to close at RM1.08, after 782,200 shares were traded, exceeding its 200-day average volume of 62,695.5 shares. Year to date, the rubberwood furniture manufacturer’s share price has surged 30%.

The group posted a significant jump in net profit to RM4.95 million for the second financial quarter ended Jan 31, 2019, from RM218,000 a year earlier, amid higher furniture demand in the Asian markets. Its sales were also helped by the strengthening of the US dollar against the ringgit. Revenue grew 10% to RM83.13 million from RM75.74 million.

For the first two quarters of this financial year, Jaycorp’s net profit grew 87% to RM11.29 million from RM6.03 million for the previous year’s corresponding period, while cumulative revenue increased 11% to RM175.49 million from RM157.46 million.