A Brief Look at Supermax

Supermax Corporation Berhad

Business Description:
Supermax Corporation Berhad is a Malaysia-based investment holding company. The Company operates in three segments:

1. manufacturing of gloves; 
2. trading of gloves, and 
3. investment holding. 

It has nine factories that manufacture various types of latex gloves, which are exported to over 146 countries, including the United States, European Union, the Middle East, Asia and South Pacific countries. As of December 31, 2009, the Company's subsidiaries were Supermax Latex Products Sdn. Bhd., Supermax Glove Manufacturing Sdn. Bhd., Maxter Glove Manufacturing Sdn. Bhd., Supermax Incorporated, Spenser Glove Manufacturing Berhad, Supermax International Sdn. Bhd., Supermax Energy Sdn. Bhd., Seal Polymer Latex Products Sdn. Bhd. and SPI Gloves Sdn. Bhd.

Current Price (7/1/2011): 4.46
2009 Sales 803,632,619
Employees: 1,033
Market Cap: 1,514,004,980
Shares Outstanding: 339,463,000
Closely Held Shares: 253,143,204

Recent Financial Results

Announcement Date		Financial Yr. End		Qtr	Period End		Revenue RM '000		Profit/Lost RM'000		EPS		Amended
08-Nov-10		31-Dec-10		3	30-Sep-10		235,104		38,117		11.24		-
26-Aug-10		31-Dec-10		2	30-Jun-10		234,825		45,856		13.51		-
19-Apr-10		31-Dec-10		1	31-Mar-10		220,652		51,473		15.18#		-
19-Feb-10		31-Dec-09		4	31-Dec-09		196,417		44,112		13.01#		-

# adjusted for 2010  1/4 Bonus


Estimated EPS for 2011 = 4*11.24 = 44.96 sen
At price of 4.46, it is trading at prospective 2011 PE  = 4.46 / 0.4496 = 9.92x

Historical
5 Yr
PE range   5.6 - 11.2
DY range   3.2% - 1.3%

10 Yr
PE range    6.5 - 14.5
DY range   2.9% - 1.2%

Year     DPS     EPS
2000     0.0       3.7
2001     0.7       2.1
2002     0,7       4.3
2003     0.9       7.0
2004     1.4     11.9
2005     2.6     12.9
2006     1.4     14.0
2007     3.8     16.9
2008     2.6     19.2
2009     3.4     37.8
9M10    0.0    39.91     NTA 2.0300

Capital changes

2000  3/5 Rights @ RM 1.10

2003  1/3 Bonus, 2/3 Rights @ RM 1.00

2006   1/4 Bonus

2007   1 to 2 Share Split

2010   1/4 Bonus