小资女向前冲（大马股市）

Company background

- ICT Security and Cloud Business: Provides the solutions, products and services in the information technology security sector

- Digital Contents Business:Provide e-media technologies and solutions for digital media industries and contents aggregation, development of mobile applications, games and portal.

- E-Commerce Business:Focus in the research, development of online marketplace which caters for business-to-business (B2B) and business-to-consumer (B2C) transactions and operations of e-commerce platforms. The Group management strategically dedicates the operation of each business units to the respective subsidiaries and monitors the operation separately for effective resource allocation and performance assessment. Each business unit’s performance is evaluated based on the long term business value and profitability.

Major Shareholders

Independent Non-Executive Chairman: Datuk Wira Rahadian Mahmud bin Mohammad Khalil
Executive Director:Toh Hong Chye

Revenue Segment

- ICT securities services

- E-commerce business (96.2%)

- Management services

Geography Segment (Annual Report)

-Malaysia (52%)

-Cambodia (14%)

-USA

-Peopel Republic of China 

-Other (15%)

Major customers

N/A

Summary of result

- Appasia reported 3QFY17 results with revenue of RM65mn (QoQ:+741% ; YoY:+5518%) and core earnings of RM1.74mn (QoQ:+8600% : YoY: 375%)

Highlights

-Revenue and core earnings increase mainly driven by e-commerce business in B2B sector which contributed around 96% of revenue.The other key contributor to the growth was from the digital content business. ICT securities services continue to be stable.

-Trade receivable increase accompany with higher revenue

- E-commerce. The Group is optimistic that B2B marketplace will continue growing as the site gains more visibility and momentum

Quarterly Results Comparison

Risks

- Volatile core earnings delivery from quarter to quarter

Rating

- Put on watchlist

- Gievn the rise of e-commerce trend, more business will now involve online retail in their business plan. As a e-commerce providers, Appasia would benefit from this trend, assuming that they have obtain order from customers.

Valuation

- Assuming that e-commerce theme continue playing, first target price is RM0.405

Technical

- Support level:RM0.35

News

22/11/17

- AppAsia Bhd has inked a three-year master licence agreement with China Mobile International Ltd 

- AppAsia Studio Sdn Bhd will be the content provider to the Chinese global telecommunication solutions company.

- The master licence agreement shall be valid for the period of 36 months from the date of the effective date, Nov 21

- And may be extended automatically for further periods thereafter unless terminated in accordance with the provisions pursuant to the terms of the agreement

China Mobile International Ltd information

- China Mobile International Limited (CMI) is a wholly owned subsidiary of China Mobile. (中国移动)

Reference
http://www.theedgemarkets.com/article/appasia-seals-master-licence-deal-china-mobile-unit