Pansar Bhd (+ve)

Pansar (Fundamental: 1.8/3, Valuation: 3/3) last triggered our momentum alert on June 12 at 51.5 sen. It fell to a low of 47 sen before rebounding on a proposed dividend by the company. Yesterday, the stock closed 4.0% higher at 51.5 sen. 

Last week, Pansar declared a first and final dividend of 2.25 sen per share for FYMarch2015, giving a net yield of 4.6%. The dividend will go “ex” on September 7.

For FY2015, revenue rose 5.6% to RM449.8 million while net profit expanded 5.7% to RM15.0 million, owing to higher contribution from the mechanical and electrical segment. 

Pansar is a supplier and service provider of industrial equipment and construction products. It operates through five segments: building products, marine and industrial, wood engineering and supplies, electrical and office automation, and mechanical and electrical. 

Last September, the company acquired a 20% stake in Reservoir Link Sdn Bhd, an upstream oil and gas service provider for RM12.8 million.

This article first appeared in The Edge Financial Daily, on June 24, 2015.