NOVAMSC (0026) - Stocks With Momentum: Nova
April 1, 2015 : 10:31 AM MYT
Nova Msc Bhd (-ve)
SOFTWARE services provider, Nova (Fundamental: 2.1/3, Valuation: 0.3/3) saw its shares surged 6.1% yesterday to 17.5 sen. Its software solutions are catered mainly for government and healthcare sectors. Its e-Government product includes PAVO, OCTANS, and FORNAX, while VESALIUS is for healthcare organisations.
Nova’s VESALIUS software is also GST-ready, given its prior experience of implementing in Singapore, which accounts for 91.5% of revenue as end-FY2014.
The company’s revenue grew from RM22.3 million to RM32.4 million between FYMarch2010 and FY2014. However, it recorded net losses in FY2012 and FY2013, owing to one-off impairment charges and higher staff costs.
For 9MFY2015, Nova’s net profit increased 74.4% to RM1.25 million, due to lower operating costs. Nova has a secured orderbook of RM35.1 million as end-December 2014. On March 11, 2015, it won a 3-year contract worth RM9.1 million, from Singapore’s Building and Construction Authority.
The stock currently trades at 2.2 times book.
This article first appeared in The Edge Financial Daily, on April 1, 2015.
http://www.theedgemarkets.com
April 1, 2015 : 10:31 AM MYT
Nova Msc Bhd (-ve)
SOFTWARE services provider, Nova (Fundamental: 2.1/3, Valuation: 0.3/3) saw its shares surged 6.1% yesterday to 17.5 sen. Its software solutions are catered mainly for government and healthcare sectors. Its e-Government product includes PAVO, OCTANS, and FORNAX, while VESALIUS is for healthcare organisations.
Nova’s VESALIUS software is also GST-ready, given its prior experience of implementing in Singapore, which accounts for 91.5% of revenue as end-FY2014.
The company’s revenue grew from RM22.3 million to RM32.4 million between FYMarch2010 and FY2014. However, it recorded net losses in FY2012 and FY2013, owing to one-off impairment charges and higher staff costs.
For 9MFY2015, Nova’s net profit increased 74.4% to RM1.25 million, due to lower operating costs. Nova has a secured orderbook of RM35.1 million as end-December 2014. On March 11, 2015, it won a 3-year contract worth RM9.1 million, from Singapore’s Building and Construction Authority.
The stock currently trades at 2.2 times book.
This article first appeared in The Edge Financial Daily, on April 1, 2015.
http://www.theedgemarkets.com
