Latest news with #PWFCorporationBhd
Yahoo
03-06-2025
- Business
- Yahoo
Why PWF Corporation Bhd's (KLSE:PWF) Shaky Earnings Are Just The Beginning Of Its Problems
PWF Corporation Bhd.'s (KLSE:PWF) recent weak earnings report didn't cause a big stock movement. We think that investors are worried about some weaknesses underlying the earnings. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. Importantly, our data indicates that PWF Corporation Bhd's profit received a boost of RM23m in unusual items, over the last year. We can't deny that higher profits generally leave us optimistic, but we'd prefer it if the profit were to be sustainable. When we crunched the numbers on thousands of publicly listed companies, we found that a boost from unusual items in a given year is often not repeated the next year. Which is hardly surprising, given the name. PWF Corporation Bhd had a rather significant contribution from unusual items relative to its profit to March 2025. All else being equal, this would likely have the effect of making the statutory profit a poor guide to underlying earnings power. Note: we always recommend investors check balance sheet strength. Click here to be taken to our balance sheet analysis of PWF Corporation Bhd. As we discussed above, we think the significant positive unusual item makes PWF Corporation Bhd's earnings a poor guide to its underlying profitability. For this reason, we think that PWF Corporation Bhd's statutory profits may be a bad guide to its underlying earnings power, and might give investors an overly positive impression of the company. In further bad news, its earnings per share decreased in the last year. Of course, we've only just scratched the surface when it comes to analysing its earnings; one could also consider margins, forecast growth, and return on investment, among other factors. So while earnings quality is important, it's equally important to consider the risks facing PWF Corporation Bhd at this point in time. You'd be interested to know, that we found 3 warning signs for PWF Corporation Bhd and you'll want to know about them. Today we've zoomed in on a single data point to better understand the nature of PWF Corporation Bhd's profit. But there are plenty of other ways to inform your opinion of a company. Some people consider a high return on equity to be a good sign of a quality business. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks with significant insider holdings to be useful. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
03-06-2025
- Business
- Yahoo
Why PWF Corporation Bhd's (KLSE:PWF) Shaky Earnings Are Just The Beginning Of Its Problems
PWF Corporation Bhd.'s (KLSE:PWF) recent weak earnings report didn't cause a big stock movement. We think that investors are worried about some weaknesses underlying the earnings. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. Importantly, our data indicates that PWF Corporation Bhd's profit received a boost of RM23m in unusual items, over the last year. We can't deny that higher profits generally leave us optimistic, but we'd prefer it if the profit were to be sustainable. When we crunched the numbers on thousands of publicly listed companies, we found that a boost from unusual items in a given year is often not repeated the next year. Which is hardly surprising, given the name. PWF Corporation Bhd had a rather significant contribution from unusual items relative to its profit to March 2025. All else being equal, this would likely have the effect of making the statutory profit a poor guide to underlying earnings power. Note: we always recommend investors check balance sheet strength. Click here to be taken to our balance sheet analysis of PWF Corporation Bhd. As we discussed above, we think the significant positive unusual item makes PWF Corporation Bhd's earnings a poor guide to its underlying profitability. For this reason, we think that PWF Corporation Bhd's statutory profits may be a bad guide to its underlying earnings power, and might give investors an overly positive impression of the company. In further bad news, its earnings per share decreased in the last year. Of course, we've only just scratched the surface when it comes to analysing its earnings; one could also consider margins, forecast growth, and return on investment, among other factors. So while earnings quality is important, it's equally important to consider the risks facing PWF Corporation Bhd at this point in time. You'd be interested to know, that we found 3 warning signs for PWF Corporation Bhd and you'll want to know about them. Today we've zoomed in on a single data point to better understand the nature of PWF Corporation Bhd's profit. But there are plenty of other ways to inform your opinion of a company. Some people consider a high return on equity to be a good sign of a quality business. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks with significant insider holdings to be useful. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
20-04-2025
- Business
- Yahoo
The Return Trends At PWF Corporation Bhd (KLSE:PWF) Look Promising
To find a multi-bagger stock, what are the underlying trends we should look for in a business? Firstly, we'd want to identify a growing return on capital employed (ROCE) and then alongside that, an ever-increasing base of capital employed. If you see this, it typically means it's a company with a great business model and plenty of profitable reinvestment opportunities. So when we looked at PWF Corporation Bhd (KLSE:PWF) and its trend of ROCE, we really liked what we saw. We've discovered 3 warning signs about PWF Corporation Bhd. View them for free. For those that aren't sure what ROCE is, it measures the amount of pre-tax profits a company can generate from the capital employed in its business. To calculate this metric for PWF Corporation Bhd, this is the formula: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) 0.094 = RM46m ÷ (RM592m - RM106m) (Based on the trailing twelve months to December 2024). Thus, PWF Corporation Bhd has an ROCE of 9.4%. In absolute terms, that's a low return but it's around the Food industry average of 9.7%. View our latest analysis for PWF Corporation Bhd While the past is not representative of the future, it can be helpful to know how a company has performed historically, which is why we have this chart above. If you'd like to look at how PWF Corporation Bhd has performed in the past in other metrics, you can view this free graph of PWF Corporation Bhd's past earnings, revenue and cash flow. Even though ROCE is still low in absolute terms, it's good to see it's heading in the right direction. The data shows that returns on capital have increased substantially over the last five years to 9.4%. Basically the business is earning more per dollar of capital invested and in addition to that, 30% more capital is being employed now too. The increasing returns on a growing amount of capital is common amongst multi-baggers and that's why we're impressed. In another part of our analysis, we noticed that the company's ratio of current liabilities to total assets decreased to 18%, which broadly means the business is relying less on its suppliers or short-term creditors to fund its operations. So shareholders would be pleased that the growth in returns has mostly come from underlying business performance. All in all, it's terrific to see that PWF Corporation Bhd is reaping the rewards from prior investments and is growing its capital base. Since the stock has returned a staggering 162% to shareholders over the last five years, it looks like investors are recognizing these changes. So given the stock has proven it has promising trends, it's worth researching the company further to see if these trends are likely to persist. PWF Corporation Bhd does have some risks though, and we've spotted 3 warning signs for PWF Corporation Bhd that you might be interested in. If you want to search for solid companies with great earnings, check out this free list of companies with good balance sheets and impressive returns on equity. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Yahoo
10-03-2025
- Business
- Yahoo
Why You Might Be Interested In PWF Corporation Bhd. (KLSE:PWF) For Its Upcoming Dividend
Some investors rely on dividends for growing their wealth, and if you're one of those dividend sleuths, you might be intrigued to know that PWF Corporation Bhd. (KLSE:PWF) is about to go ex-dividend in just 3 days. Typically, the ex-dividend date is two business days before the record date, which is the date on which a company determines the shareholders eligible to receive a dividend. The ex-dividend date is of consequence because whenever a stock is bought or sold, the trade can take two business days or more to settle. This means that investors who purchase PWF Corporation Bhd's shares on or after the 14th of March will not receive the dividend, which will be paid on the 4th of April. The company's next dividend payment will be RM00.01 per share. Last year, in total, the company distributed RM0.06 to shareholders. Based on the last year's worth of payments, PWF Corporation Bhd stock has a trailing yield of around 5.8% on the current share price of RM00.77. If you buy this business for its dividend, you should have an idea of whether PWF Corporation Bhd's dividend is reliable and sustainable. That's why we should always check whether the dividend payments appear sustainable, and if the company is growing. Check out our latest analysis for PWF Corporation Bhd Dividends are usually paid out of company profits, so if a company pays out more than it earned then its dividend is usually at greater risk of being cut. PWF Corporation Bhd paid out a comfortable 48% of its profit last year. That said, even highly profitable companies sometimes might not generate enough cash to pay the dividend, which is why we should always check if the dividend is covered by cash flow. Over the last year it paid out 55% of its free cash flow as dividends, within the usual range for most companies. It's encouraging to see that the dividend is covered by both profit and cash flow. This generally suggests the dividend is sustainable, as long as earnings don't drop precipitously. Click here to see how much of its profit PWF Corporation Bhd paid out over the last 12 months. Stocks in companies that generate sustainable earnings growth often make the best dividend prospects, as it is easier to lift the dividend when earnings are rising. If business enters a downturn and the dividend is cut, the company could see its value fall precipitously. It's encouraging to see PWF Corporation Bhd has grown its earnings rapidly, up 28% a year for the past five years. Many investors will assess a company's dividend performance by evaluating how much the dividend payments have changed over time. PWF Corporation Bhd has delivered 11% dividend growth per year on average over the past 10 years. It's exciting to see that both earnings and dividends per share have grown rapidly over the past few years. Is PWF Corporation Bhd an attractive dividend stock, or better left on the shelf? Earnings per share have grown at a nice rate in recent times and over the last year, PWF Corporation Bhd paid out less than half its earnings and a bit over half its free cash flow. Overall we think this is an attractive combination and worthy of further research. On that note, you'll want to research what risks PWF Corporation Bhd is facing. In terms of investment risks, we've identified 3 warning signs with PWF Corporation Bhd and understanding them should be part of your investment process. Generally, we wouldn't recommend just buying the first dividend stock you see. Here's a curated list of interesting stocks that are strong dividend payers. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
