Lights that lead the way - Monday, September 11, 2006

Light Emitting Diodes (LEDs). D & O's forte lies in the packaging, assembly and testing of LEDs that are used in a myriad of items such as automotive lights, outdoor lighting displays, as well as electronic goods. LEDs have contributed to 68% of revenue YTD and provided EBITDA margins of 26%.  More...

Imminent Growth by OSK Research Sdn Bhd - Monday, February 27, 2006

RFID is here! We have finally made eye contact with D&O’s new RFID machinery and are quite confident to see some earnings contributions come FY06. Already, the Group has secured a contract with an unmentionable Japanese commercial and publications printer who are also into security and cards making them the first Malaysian company to manufacture at least 1m units of RFID tags monthly. By Q206 we hope to see a RM1.3-1.5m monthly revenue contribution from this venture and hopefully earn 20-15% operating margins. We also eagerly await more contracts as we understand that D&O has received many inquiries on this product.  More...

This year good, next year great… - Wednesday, February 22, 2006

Our favourite LED manufacturer’s 4QFY05 results came in very much within our expectations. EPS of 3.43sen achieved in FY05 was slightly higher compared with our expectations of 3.36sen. Y-o-y the Group reported a 12.8% growth in revenue and a 59.4% jump in net income (NI) with the addition of profits from associate Dominant Semiconductors of RM5.7m which was also within expectations. We note that NI achieved this year also exceeds forecasts stated in the Group’s prospectus by 8%.   More...