Sunday, April 11, 2010


Debts have never gone down well with me. When I see a company with high debts, I will just ignore it. All companies that folded are those with high debts. This is important to remember. A debt to equity ratio of over one is high.

As at 31.12.2009
The key statistics of EPIC are as follows:
Paid-up Cap: RM169,503,000
Share premium: RM82,414,000
Treasury shares (125000 shares)
Other reserves RM188,000
Retained earnings: RM68,461,000
Minority interest: 17,827,000
NTA: RM1.89
EPS: 24.97 sens
1st interim 3.5 sen tax free paid in Oct 2009
2nd interim 2.5 sen less 25% tax payable on 18.05.10; (x-date: 28.04.10)

Revenue for the year is 183,987,000 down 24% from 244,791,000 in the previous year, but operating expenses are down 36%. Profit at 54,588,000 Vs 39,836,000 in the 2008 is commendable although there was some significant provision in 2008.
Current assets which include cash of RM83,388,000 stand at RM146,111,000 while current liabilities stand at RM42,715,000. Long-term debt is RM22,707,000 and short-term debt is RM5,000,000.

Judging from the above figures, the company is a good buy at the last done price of RM1.66 per share. The company has the added advantage of being a GLC under the protection of the Trengganu government. For a more understanding of the company, click here.