CHINA SHOTO is profitable and in a huge growth market
(CHNS)
moneyplus
- 06 Mar 2006 16:23
This share has started to rise rapidly after the trading update which was very encouraging. The company provides batteries for mobiles etc and alternative power supplies. floated at 135p-should be a good investment with results due on April 18th.
Good trading Dil-I'm not back in yet but hoping to soon. Are you looking at any other chinese stocks? I hold EBT EPE EPY CSB and LDC all healthy but not really taking off yet-PCM and AKO were very bad buys I'm stuck with!
Took a stake in this one yesterday (trading stake). Looks like its on a roll and with the new factory opening this month we could get good news flow. Forward P/E of only 10 and looks very cheap to me.
Highlights
Turnover up 141% to 28.4 million as a result of increased turnover in
existing business and new business lines (H1 2005: 11.8 million)
Profit after tax up 25% to 2.0 million (H1 2005: 1.6 million)
Established a new plant manufacturing batteries for electric bicycles, with
a capacity of 12,000 units per day
Stake in FTD has been increased in 2006 from 30% to 51%, with FTD making
good progress signing a new contract to supply 150MW turbine to Shangdong
Haihua Group
Successful placing completed in period raising 5 million (before expenses)
which have been or will be invested into the expansion of manufacturing
capacity
Proposed interim dividend of 1.5 pence per share payable on 3 November 2006
Average debtor days reduced from 122 to 102 days