Insight for Manufacturing Industry

What are the likely threats pose to local manufacturers from cheap finished products import from other parts of the world ?

xmart wrote:Thanks for the comments guys.

@back & nuinth,

HAYC, HEXP, SWAD, MGT, TYRE,CIND are worth to study. i will add them too.

@kith,

What are the likely threats pose to local manufacturers from cheap finished products import from other parts of the world ?

well, they import basically everything; tile, bath ware, glass, canned fish, etc.
but still there are some industries which are less affected by cheap imported products.

cheer

Backstage wrote:About the cables......
Thanks X,
We are aware that SIRA management and administration was a bit weak(discovering fraud a bit late in the day.) Does anyone know about the management, governance and transparency of the ACL group which is a family concern. Also the investment in Rhesus needs to be acknowledged.

xmart wrote:well, it looks like SIRA has restructured. but the baby is still so young and couldn't diagnose his body tone. shall we give SIRA few more quarters and then decide!

back, you nailed the problem (some may call the strength) of ACL. actually the ACL group is controlling the KCAB and APLA. there are few other competitors like Ruhunu cables, Kamal Cables and Orange, but they have very small market share. ACL/ Kelani dominate domestic and most industrial projects while SIRA survive using big contracts such as CEB.

since the controlling body, ACL overhead is high and profit margin is little small than KCAB, KCAB can outperform ACL in short run. shares outstanding in public hand are 22 M (37.9%) in ACL and 4.4 M (20.2%) in KCAB.

family governance has done no bad for ACL group but the management think little about small investors. their dividend policy witness that. since ACL has more liquidity and stability Institutional interest is focus to it. but these investors bit hesitate to invest in something which is managed by a family.

thanks

Backstage wrote:About the cables......
Thanks X,
We are aware that SIRA management and administration was a bit weak(discovering fraud a bit late in the day.) Does anyone know about the management, governance and transparency of the ACL group which is a family concern. Also the investment in Rhesus needs to be acknowledged.

Nuinth wrote:Superb Xmart...

Then electricity cost benifit will appear in the financial statement of this group in the future (I like to follow low price shares like DPL, GLAS.. )

Good luck guys...

Nuinth wrote:Superb Xmart...

Then electricity cost benifit will appear in the financial statement of this group in the future (I like to follow low price shares like DPL, GLAS.. )

Good luck guys...

smallville wrote:ACL - also is the main shareholder of Resus energy (HPWR), their entry into hydro power means they want to expand and diversify their interests in their portfolio of business too..
HPWR have been reporting losses due to Thermal power involvement. Last year they completely sold it and recorded the loss in transaction this qtr. So still they reported losses.. But no Hydro from now on-wards means we can be optimistic on their turn-around too. That means added bottom line improvement for ACL group.