Insight Provider, CrossASEAN Research

Nicolas Van Broekhoven

Insight Provider

CrossASEAN Research

At CrossASEAN Research we strive to produce unbiased and differentiated on the ground insights on companies across South East Asia. Our Research is produced for the most part after face to face meetings and conversations with company management to dig deep into the long term vision and strategy of the companies we cover. We seek to deliver investable and actionable themes on sectors and markets across SE Asia, often in collaboration with other Insight Providers across the region, pooling the vast experience of the analysts within the Smartkarma Ecosystem. We also offer bespoke work and tailor made trips for our clients. 

Insights across South East Asia

Equity Bottom-Up

<ul>
<li>Pc Partner posted record results with revenue and profits increasing by 99%% and 1,047% respectively. The final 1.61 HKD dividend was below my 2 HKD estimate but still solid.</li>
<li>Cash grew to 3.1 b HKD vs a market cap of 4.37 b HKD, or 70% of market cap. By end of FY22 cash could be 100% of market cap.</li>
<li>The outlook is mixed with short-term ASP pressure into 2Q22 but longer-term optimism into 2H22. As always visibility is low but offset by a cheap valuation and large cash buffer.</li>
</ul>


Pc Partner posted record results with revenue and profits increasing by 99%% and 1,047% respectively. The final 1.61 HKD dividend was below my 2 HKD estimate but still solid.
Cash grew to 3.1 b HKD vs a market cap of 4.37 b HKD, or 70% of market cap. By end of FY22 cash could be 100% of market cap.
The outlook is mixed with short-term ASP pressure into 2Q22 but longer-term optimism into 2H22. As always visibility is low but offset by a cheap valuation and large cash buffer.


PC Partner: Record FY21 Results and Strong Dividend. Cash Is 70% of Market Cap. Fair Value 18 HKD.

<ul>
<li>
<a href="https://www.smartkarma.com/entities/pc-partner-group-ltd" target="_blank" data-smartkarma-citation="entities:8492:1" rel="noopener">PC Partner (1263 HK)</a> issued a positive profit alert 15/12/2021.</li>
<li>Company will report FY21 results in 60 days which will be the best ever. 1H22 is on track to show growth YoY. </li>
<li>Forecast exceptional dividend to celebrate 25-yr since founding and 10-yr since IPO. </li>
</ul>



PC Partner (1263 HK) issued a positive profit alert 15/12/2021.
Company will report FY21 results in 60 days which will be the best ever. 1H22 is on track to show growth YoY. 
Forecast exceptional dividend to celebrate 25-yr since founding and 10-yr since IPO. 


Preview PC Partner FY21 Earnings: Record Profit + Record Dividend + Strong Outlook for FY22

Pan-Asia Catalysts/Events, Quiddity Advisors

David Blennerhassett

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

CK Infrastructure Holdings / Event-Driven

<ul>
<li>The <a href="https://www.smartkarma.com/entities/gulf-energy-development-pcl" target="_blank" data-smartkarma-citation="entities:26038:1" rel="noopener">Gulf Energy (GULF TB)</a>/<a href="https://www.smartkarma.com/entities/intouch-holdings-pcl" target="_blank" data-smartkarma-citation="entities:17638:1" rel="noopener">Intouch (INTUCH TB)</a> merger is an opportunistic, bullying method designed to have GULF shareholders buy INTUCH and therefore <a href="https://www.smartkarma.com/entities/advanced-info-service-pcl" target="_blank" data-smartkarma-citation="entities:947:1" rel="noopener">AIS (ADVANC TB)</a> at too low a price. </li>
<li>
<a href="https://www.smartkarma.com/entities/ck-infrastructure-holdings-l" target="_blank" data-smartkarma-citation="entities:163:1" rel="noopener">CK Infrastructure Holdings (1038 HK)</a>'s interest in a possible London listing coincides with the LSE undergoing a listing regime change.</li>
<li>Management continue to creep their stake in <a href="https://www.smartkarma.com/entities/zhongsheng-group-holdings" target="_blank" data-smartkarma-citation="entities:10573:1" rel="noopener">Zhongsheng Group (881 HK)</a>, and now hold a shade under 50%. </li>
</ul>


The Gulf Energy (GULF TB)/Intouch (INTUCH TB) merger is an opportunistic, bullying method designed to have GULF shareholders buy INTUCH and therefore AIS (ADVANC TB) at too low a price. 

CK Infrastructure Holdings (1038 HK)'s interest in a possible London listing coincides with the LSE undergoing a listing regime change.
Management continue to creep their stake in Zhongsheng Group (881 HK), and now hold a shade under 50%. 


Last Week in Event SPACE: Gulf Energy/Intouch, CK Infra, Zhongsheng, Thai Beverage, Fraser & Neave

Thematic (Sector/Industry)

<ul>
<li>2021's vintage of my 5 High Convictions Ideas did extremely well</li>
<li>
<a href="https://www.smartkarma.com/entities/pc-partner-group-ltd" target="_blank" data-smartkarma-citation="entities:8492:1" rel="noopener">PC Partner (1263 HK)</a> was up 543%, <a href="https://www.smartkarma.com/entities/rex-international-holding" target="_blank" data-smartkarma-citation="entities:17074:1" rel="noopener">Rex International Holding (REXI SP)</a> was up 80%, <a href="https://www.smartkarma.com/entities/straits-trading-co-ltd" target="_blank" data-smartkarma-citation="entities:15745:1" rel="noopener">Straits Trading (STRTR SP)</a> was up almost 74% and Shougang Fushan just under 40%.</li>
<li>The underperformer award goes to HK restaurant operator <a href="https://www.smartkarma.com/entities/taste-gourmet-group-ltd" target="_blank" data-smartkarma-citation="entities:27339:1" rel="noopener">Taste Gourmet Group Ltd (8371 HK)</a> as it declined 25%. Below the fold we'll give our 5 High Conviction Ideas for 2022.</li>
</ul>


2021's vintage of my 5 High Convictions Ideas did extremely well

PC Partner (1263 HK) was up 543%, Rex International Holding (REXI SP) was up 80%, Straits Trading (STRTR SP) was up almost 74% and Shougang Fushan just under 40%.
The underperformer award goes to HK restaurant operator Taste Gourmet Group Ltd (8371 HK) as it declined 25%. Below the fold we'll give our 5 High Conviction Ideas for 2022.


Overview of My Winners and Losers in 2021... And 5 High Conviction Ideas Going Into 2022

<ul>
<li>The 2022 vintage of "5 High Conviction Ideas" had the weakest performance since 2017, with only China Shineway posting a positive return</li>
<li>Olam, Rex and Starhub all declined approximately 16% in FY22</li>
<li>Our 2023 vintage will hopefully perform better with 4 out of 5 favorites in the commodity space</li>
</ul>


The 2022 vintage of "5 High Conviction Ideas" had the weakest performance since 2017, with only China Shineway posting a positive return
Olam, Rex and Starhub all declined approximately 16% in FY22
Our 2023 vintage will hopefully perform better with 4 out of 5 favorites in the commodity space


Overview of My Winners and Losers in 2022...And 5 High Conviction Ideas Going into 2023

Hong Kong

Goldpac Group Limited manufactures, supplies and distributes financial cards, card personalization services, on-side card insurance system solutions, magnetic strip cards and authentication smart cards. The Company offers its products and services throughout China.

China Display Optoelectronics Technology Holdings Limited provides small-to-medium-sized display modules. The Company is primarily engaged in the research and development, manufacturing, and sales and distribution of LCD modules for handheld mobile devices on an ODM basis.

China Display Optoelectronics Technology Holdings (334 HK)

China Display Optoelectronics Technology Holdings

Futong Technology Development Holdings Ltd. distributes information technology products. The Company distributes servers, system storage products, and software, and offers technical support.

Jolimark Holdings Limited, through its subsidiaries, manufactures and sells business and tax control equipment under its own brand name.  The Company also manufactures business and tax control equipment and other electronic equipment, and distributes printers manufactured by Seiko Epson Corp. in the People's Republic of China.

Karrie International Holdings Ltd, through its subsidiaries, manufactures and sells computer casings, video cassette housings and moulds, office automation products, plastic and metal parts, moulds, and provides electronic manufacturing services.

Phoenitron Holdings Ltd. manufactures and sells smart cards, plastic cards, and the customized smart card application systems.  The Company also provides hardware support.  Phoenitron Holdings also is a scrap auto importer and recycler in China.

Changhong Jiahua Holdings Limited, through its subsidiaries, trades consumer electronic products and related parts and components.  The Company also manufactures and sells the data broadcasting hardware and software and provides data broadcasting and related services.

Ju Teng International Holdings Ltd. manufactures semi-finished consumer goods. The Company produces casings for notebook computers.  Ju Teng's manufacturing includes plastic injection molding, spray painting, metal tooling and stamping, and assembly.

S.A.S. Dragon Holdings Ltd. designs, develops, sources, and provides quality assurance and logistics management services of electronic components and semiconductors products. The products are used in mobile phones, consumer electronics, computers, telecommunication and lighting products. The Company operates in China, Hong Kong, Taiwan and Korea.

China Aerospace International Holdings Limited, through its subsidiaries, manufactures plastic, liquid crystal display, audio-video, printed circuit boards, telecommunication, intelligent chargers and security system, and other products. The Company also invests in real estate properties, provides financial services, and operates trading businesses.

Avalue Technology Inc. is mainly engaged in the business of manufaturing , importing and exporting of industrial system board. The main products include System On Module (SOM), Embedded Computing, Network Computing, Network Appliance, and Applied Computing.

Sindoh Co., Ltd. manufactures office equipment such as copiers, facsimiles, printers, and copier related products.  The Company also offers financial services through its subsidiaries.

Yuan High-Tech Development Co., Ltd. manufactures and markets multimedia cards. The Company's products include graphics and encoder cards.

Unitech Computer Co., Ltd. manufactures and designs personal computers and computers peripheral equipment. The Company's products also includes the automatic data capture products such as hand held scanners, decoders, and portable data collectors.

Compucase Enterprise manufactures and markets computer cases and switching power supplies.  In addition, the Company exports stainless steel wheel hubs to the United States.

Routon Electronic Co., Ltd. manufactures and markets telecommunication electronic products.  The Company's products include IC card payphones, phone bill meters, automatic card vending machines, smart card payphones, and other related products.

E-Investment&Development Co., Ltd. develops and manufactures mobile modules. The Company produces slide hinge module of cellular phone and mock-up for cellular phone.

Shuttle Inc. manufactures and markets computer mainboards, interface cards, audio cards, and variable graphics adapter cards.

Infortrend Technology Inc. develops, manufactures, and markets RAID (Redundant Array of Inexpensive Disk) controllers and other related products.

Mildef Crete Inc. distributes laptop and desktop computers, and peripherals. The Company also manufactures and markets laptops for special industries, such as military, public safety, and industrial applications.

PC Partner Group Ltd. is principally engaged in the design, development and manufacture of video graphics cards. The Group manufactures various electronics components and products for customers under its electronics manufacturing services division and also manufactures other personal computers related products.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

PC Partner (1263 HK)

PC Partner: Record FY21 Results and Strong Dividend. Cash Is 70% of Market Cap. Fair Value 18 HKD.

Pc Partner has delivered record revenues and profits in FY21. The dividend yield on FY21 results is over 20%. Fair Value remains unchanged at 18 HKD.

Nicolas Van Broekhoven

Preview PC Partner FY21 Earnings: Record Profit + Record Dividend + Strong Outlook for FY22

Pc Partner issued a positive profit alert last month. We preview its FY21 results due in 60 days and expect more of the same in FY22. On an ex-cash...

Nicolas Van Broekhoven

Last Week in Event SPACE: Gulf Energy/Intouch, CK Infra, Zhongsheng, Thai Beverage, Fraser & Neave

The weekend is here! Pour yourself a coffee, grab a comfortable seat, and sift through a brief summary of insights on various events discussed...

David Blennerhassett

Overview of My Winners and Losers in 2021... And 5 High Conviction Ideas Going Into 2022

2021's vintage of 5 High Conviction Ideas did extremely well led by star performer Pc Partner. Our new selection for 2022 will hopefully have some...

Nicolas Van Broekhoven

Overview of My Winners and Losers in 2022...And 5 High Conviction Ideas Going into 2023

Our FY22 vintage of High Conviction Ideas had its weakest performance since FY17. We hope for better returns for our commodity-focused FY23 selection.

Nicolas Van Broekhoven

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)