SOME ANALYSIS ON THE 3QR 2021 RESULT OF NEXGRAM (0096)

Table: ANALYSIS ON THE 3QR 2021 RESULT OF NEXGRAM (0096)

 

 

Revenue and Net Profit / (Net Loss) For The Quarter
Quarter		1QR 2021 (RM)	2QR 2021 (RM)	3QR 2021 (RM)	Remarks
Revenue		12,945,612	33,293,774	27,716,795	3QR on 2QR, revenue decreased 16.8%  mainly due to The Group’s revenue decreased 16.8% due to the decrease in revenue contribution from subsidiary in healthcare division ( may be referred to the decrease in contribution from the manufacturing of medical plastic products by its subsidiary, Arita Plastic.   Year on Year, 3QR revenue increased 515.6%  mainly due to revenue contribution from the new division (i.e. healthcare) which mainly attributable from manufacturing of medical plastic products, providing Tracvirus Covid-19 related services and distribution of Covid-19 test kits
Net Profit/(Net Loss)		(2,813,692)	1,405,641	(1,201,183)	3QR on 2QR, decreased ( incurred loss instead of profit in 2QR) mainly due to decrease in revenue contribution from healthcare division which are manufacturing of medical plastic products. Also, the Group other healthcare segment is expanding on capacity resulted in further cost and the healthcare segment had experienced lower margin.   Year on Year, loss was stagnant at RM1.2 million.
Segmental Information For The Quarter
Segment   \  Quarter		1QR 2021 (RM)	2QR 2021 (RM)	3QR 2021 (RM)	Remarks
Medical  / Healthcare	Revenue	5,136,582	29,525,498	48,044,179	3QR on 2QR, revenue increased 62.7%
	Profit/(Loss) Before Tax	(1,079,059)	55,828	(760,007)	3QR on 2QR, incurred loss from profit in 2QR. The healthcare segment had experienced lower margin and decreased contribution from manufacturing of medical plastic.
ICT	Revenue	5,946,660	11,955,629	16,699,319	Qo3QR on 2QR,  revenue increased 39.7%.
	Profit/(Loss) Before Tax	(449,232)	103,954	741,620	3QR on 2QR, profit increase 613%.
Logistics	Revenue	1,862,490	4,759,379	8,865,276	3QR on 2QR, revenue increased 86.2%.
	Profit/(Loss) Before Tax	(345,605)	(826,319)	(812,173)	3QR on 2QR, loss slightly decreased.
Property Investment	Revenue	7,088	7,088	49,616	3QR on 2QR, revenue increased
	Profit/(Loss) Before Tax	(832,188)	(811,776)	(1,305,618)	3QR on 2QR, loss increased
Assets And Liabilities Information
Quarter		1QR 2021 (RM)	2QR 2021 (RM)	3QR 2021 (RM)	Remarks
Fixed Deposit And Cash Balance		28,335,439	26,609,584	26,746,885	3QR on 2QR, the cash condition is slightly increased.
Total Current Assets		113,485,599	113,475,905	114,196,396	3QR on 2QR, the current assets per current liabilities ratio slightly decreased from 1.359 to 1.346.
Total Current Liabilities		83,861,078	83,498,791	84,849,590
Shareholder’s  Equity		108,879,189	120,486,796	121,482,625	Nexgram's shareholder equity on consolidated basis of its shares excluding treasury shares  =  (RM121,482,625 ÷                     2 15,119,923) x 100% =    56.47  %      Conclusion: 3QR on 2QR, shareholders equity  of its shares increased from 51.23%  in the last 2QR 2021 report to 56.47%   @@Remarks: GN3 risk ?? Lowered
Net Assets Per Share		0.0488	0.4504	4.511	3QR on 2QR, NTA slightly increased

 

 

Diagrams: FINANCIAL HIGHLIGHT OF NEXGRAM (0096)

 

 

 

Source: https://www.malaysiastock.biz/

 

NOTABLE NOTES FROM THE 3QR 2021 REPORT:

 

1. Healthcare continues to progress well, with government project SafeTravelPass COVID-19 entry-registration, payment and management of Quarantine-Station and government services contributing positively in current financial year.
2. COVID-19 tests partnership with government is looking at positive return in coming quarter after much capital investment in last two (2) quarters, in view of taking part of mass screening assignment engaged with government health facilities.
3. Government project capital investment continue to weight on current quarter which is normal for concession early investment.
4. The Group other healthcare segment is expanding on capacity resulted in further cost. The healthcare segment had experienced lower margin and recent success in contracts shall expect to contribute to bottom line in coming quarter.

 

MY PERSONAL NOTES BASED ON THE 3QR 2021 REPORT:

 

 

1. The approved capital reduction exercise was not yet been taken into account in the 3QR 2021. Probably will be done in 4QR 2021 accounts.
2. No specific report on the progress of the revenue from Indonesian, RAFA Agreement on the medical gloves and gown.

** DISCLAIMER: I wrote this article based on my research from information reported on the web. All information given should not be considered as an investment advice. Please do your own analysis or consult your qualified financial advisor for advice. All  information is not a buy call or a sell call in any securities transactions.

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