CSC Steel (5094, CSCSTEL 中钢马来西亚, formerly known as Ornasteel), a subsidiary of China Steel Corporation of Taiwan (中钢公司) which produces flat steel products, is always well known for its excellent cash flow management.
Its unaudited 4th quarter financial result for 2009 announced today is very promising. Despite a comparatively lower revenue made during the challenging year of 2009, CSC Steel has successfully made record high in its operating profit, EBITA, profit after tax and NTA. The EPS of 24.42 sen has outperformed the expectation of all research firms, which majority estimate it to be around 20 sen only. Its cash on hand also soars to a new height of RM312 million.
The board of directors has proposed for a 20 sen dividend, which is also a record high in DY since its listing.
With its unaudited EPS of 24.42 sen and closing price of RM1.53 on 5 Feb 2010, its PE stood at a low point of 6.27 although its share price has risen above 50% within the past 1 year period.
Congratulation to the 6000+ shareholders of CSC Steel holding its 373 million shares (about 7 million of its 380 million shares are sitting in its treasury account due to buy back exercise).
Disclaimer: This article is intended for sharing of point of view only. It is not an advice or recommendation to buy or sell any of the mentioned stock counters. You should do your own homework before trading in Bursa Malaysia.
Click here to read my other article about this stock counter, written about 2 years ago.