Dutech Holdings

[BlueKelah]

Just finished a quick look at quarterly report,

Of note :
Despite increasing Cash eq RMB168m->177m, debt increase from RMB12.4->46.6m YOY. Good use of debt or they just don't have the cash to payout dividends and fund acquisition.

Revenue : sales excluding DTMT fell 8.1% and including fell 2.7% over corresponding 9 months period compared to last year.
One time fair value gain of DTMT acquisition was booked into other income despite not selling any of the company yet thus giving the big boost to NPAT.

Also not factored in is the 30% more of the DTMT buyout which completed 31 Oct and 10% more to be completed in 2019.

Semiconductor segment gross margin 32.5%? Gosh that sounds pretty high. Wonder what the net margins is.

Given their gun safe business seems to be soft in the USA, will this impact more on revenue/earnings in the future? Probably get a clearer financial picture next year.

At the moment from my quick review doesn't seem much of a growth stock. Value wise also not that attractive.