Union Steel Holdings
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HG Metal just annouced a 67% drop in profit.
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HG metal also reported 95% increase in revenue.
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Thanks to people like you, HG metal is now trading at $0.26....I wonder if its a good time to pick up some lots now?Originally posted by Gazelle:Steel prices in most part of the world are falling and so far there is no sign of any rebound. SELL SELL SELL!!!
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it is normal for steel company to increase revenue because prices of steel per MT basis has shoot up by about the same % in the past 2 years.Originally posted by shade343:HG metal also reported 95% increase in revenue.
The problem that lies ahead will be the drop in both top and bottom line. -
I still maintain the sell policy as more bad news for steel industry is going to hit the market over the next few quarters.Originally posted by shade343:Thanks to people like you, HG metal is now trading at $0.26....I wonder if its a good time to pick up some lots now?
dont believe, buy lor... -
Hmm....union steel is in the business of recycling metals. With the building industry in a never ending cycle of construction and destruction and the expectation of another construction boom in Asia, Steel companies looks to be in good shape.
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ok help me short sell a few more thousand lots so as to push down the price even lower.Originally posted by Gazelle:I still maintain the sell policy as more bad news for steel industry is going to hit the market over the next few quarters.
dont believe, buy lor... -
Basically you are still dealing with the commodity STEEL. yes building industry have been booming in China and it will continue to grow, but it will not be able to keep pace with the additional steel capacity that will come on board in the next 1 to 2 years.Originally posted by shade343:Hmm....union steel is in the business of recycling metals. With the building industry in a never ending cycle of construction and destruction and the expectation of another construction boom in Asia, Steel companies looks to be in good shape. -
sorry I dont speculate. I only invest...Originally posted by shade343:ok help me short sell a few more thousand lots so as to push down the price even lower. -
You were the one who recommended a sell policy.Originally posted by Gazelle:sorry I dont speculate. I only invest... -
this is not the kind of stock for long term investment.Originally posted by shade343:You were the one who recommended a sell policy. -
dude, you still holding this counter?Originally posted by shade343:Sole 10 lots at 20 cents on first day of trading...bought back at 17.5 cents liao.. -
yah.Originally posted by Gazelle:dude, you still holding this counter?
30lots
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Quote from today's BT
UNION Steel Holdings, a metal recycling company listed on Singapore's mainboard in August last year, yesterday posted lower net profit and sales for its first half-year ended Dec 31, 2005.
Citing lower sales to Indonesia and India, Union Steel said interim turnover fell 11.84 per cent to $51.68 million from a proforma $58.63 million in the previous corresponding period. This was despite growth of sales to Bangladesh.
Six-month net profit dived by more than half to $2.23 million from a proforma $5.19 million. One factor was the fall in gross profit margin from 18.4 per cent to 15.1 per cent as a result of higher purchase costs. Higher fuel prices also led to higher freight and handling charges, resulting in a rise in operating costs.
Chief executive officer and co-founder Ang Yu Seng remained optimistic despite the tough operating conditions in the first half.
'We continued to be profitable although our profitability was affected by the higher operating costs and lower sales to some of our key markets,' Mr Ang said.
Looking forward, the rise in international fuel prices and the increase in interest rates are expected to persist and put pressure on Union's margins. Demand and prices for scrap metals and steel products are also expected to remain volatile, he said.
'But as we continue to focus on building our core strengths in recycling, we believe that we can overcome the challenges in the months ahead. Barring any unforeseen circumstances, we expect the outlook for the second half of FY2006 to remain profitable albeit lower than the last financial year,' Mr Ang said. -
I grab 20 lots on the market today at 15cents.
Metal prices seems to be on an uptrend.
Average price :14.5 cents. -
steel price is not on the uptrend, what we are seeing is just a temperary surge in demand due to restocking. Afterwhich price is likely to fall or remain stable.Originally posted by shade343:I grab 20 lots on the market today at 15cents.
Metal prices seems to be on an uptrend.
Average price :14.5 cents.
What you can hope for is further consolidaton in the market, ie will mittal be able to buy over Acelor?