Matrix FY15Q1 Financial Report
| MATRIX | FY15Q1 | FY14Q4 | FY14Q3 | FY14Q2 | FY14Q1 |
| Revenue | 317.6 | 151.0 | 148.8 | 163.7 | 134.7 |
| Gross Profit | 187.1 | 97.5 | 83.8 | 74.6 | 67.8 |
| Gross% | 58.9 | 64.6 | 56.3 | 45.6 | 50.3 |
| PBT | 155.4 | 73.8 | 58.5 | 58.6 | 54.0 |
| PBT% | 48.9 | 48.8 | 39.3 | 35.8 | 40.1 |
| PAT | 115.4 | 56.5 | 45.1 | 42.4 | 38.6 |
| Prop Rev | 315.5 | 150.5 | 148.8 | ||
| Prop OP | 158.4 | 77.6 | 61.2 | ||
| Edu Rev | 1.4 | 0.5 | 0.0 | ||
| Edu OP | -1.8 | -2.9 | -1.9 | ||
| Club Rev | 0.8 | 0.0 | 0.0 | ||
| Club OP | -0.6 | -0.4 | -0.4 | ||
| Total Equity | 758.3 | 686.0 | 643.5 | 613.5 | 582.0 |
| Total Assets | 1154.6 | 996.2 | 1000.9 | 944.5 | 964.5 |
| Trade Receivables | 192.6 | 79.5 | 174.9 | 160.0 | 144.3 |
| Prop dev cost | 583.5 | 566.2 | 556.3 | 524.4 | 523.5 |
| Inventories | 2.3 | 2.1 | 0.7 | 0.7 | 0.7 |
| Cash -OD | 84.3 | 58.7 | 23.3 | 29.4 | 96.0 |
| Total Liabilities | 396.4 | 310.2 | 357.4 | 331.1 | 382.5 |
| Trade Payables | 171.8 | 195.7 | 274.7 | 253.7 | 299.3 |
| ST Borrowings | 68.8 | 42.3 | 23.6 | 32.2 | 34.4 |
| LT Borrowings | 82.3 | 35.8 | 21.4 | 1.5 | 13.2 |
| Net Cash Flow | 25.8 | -10.1 | -45.5 | -39.4 | 27.2 |
| Operation | -18.4 | 130.0 | 65.3 | 68.8 | 85.6 |
| Investment | -22.9 | -93.2 | -63.9 | -55.7 | -29.4 |
| Financing | 67.2 | -46.9 | -46.9 | -52.5 | -29.0 |
| Dividend paid | 17.1 | 77.6 | 60.5 | 45.3 | 30.1 |
| EPS | 25.20 | 12.40 | 10.50 | 14.00 | 12.80 |
| NAS | 1.64 | 1.50 | 1.41 | 2.02 | 1.92 |
| D/E Ratio | 0.09 | 0.03 | 0.03 | 0.01 | Net cash |
From
a glance at Matrix latest quarterly financial result, we know that
there must be some significant gain from industrial land sales.
Its revenue and net profit jump 100% compared to preceding quarter.
Due
to GST, industrial land sales were rushed to be completed before 1st of
April. So revenue contribution from this segment increases almost
3-fold from usual RM35mil per quarter to RM95.6mil in FY15Q1.
Revenue
from residential and commercial development also increases 2-fold from
RM106.8mil in FY14Q4 to RM221mil in current quarter due to the same
reason.
New property sales in FY15Q1 is RM156.8mil, which is not too bad and it is about 25% of total sales in FY2014.
Because of high revenue recognition in current quarter, unbilled sales drop to RM392mil from RM429mil a quarter ago.
Matrix
has launched new properties worth RM135mil in FY15Q1. It plans to
launch RM1.07bil worth of property in FY15. Target sales are RM600mil
for residential/commercial properties and RM100mil for industrial land.
In
its presentation slides, its KL project near PWTC with RM400mil GDV is
expected to commence in Q3 of 2015 but it is not included in the
RM1.07bil total target new launch. It is a bit of surprise to me as I
don't expect this project to launch so soon.
Notable
new launch in FY15Q1 include Sendayan Merchant Square phase 1 (GDV
RM135mil) with 163 units of double-storey shop offices. It recorded 40%
take up rate in 2 months.
These
shops have a good 22' width and are just next to Matrix Global School
and d'Tempat Club House. Its price starts from RM920k and I think it can
generate good sales as Bandar Sri Sendayan is expected to grow into a
big mature township.
Average take-up rate for its Sendayan & Taman Seri Impian projects are 74% & 81% respectively. Overall it is 75.9%.
FY2015 New Projects Targeted Launch
Revenue
from education segment increases to RM1.4mil while its operating loss
narrows to RM1.8mil. Matrix Global School has 430 students as at 31 Mac
2015. Target student count is 800 by the end of 2015.
Base on average, 800 students might give just about RM2.6mil revenue to Matrix.
Anyway,
management targets its investment properties segment, which include the
school, clubhouse & perhaps future mall, to contribute 10% of the
group's revenue in the next 5 years. Matrix's total revenue in FY14 is
about RM600mil.
Sendayan Merchant Square
For
its balance sheet, gearing increases slightly as more bank borrowings
are needed to acquire land. Operating cashflow is in negative territory
due to substantial increase in trade receivables. However, it is
expected to turn positive toward the end of the year.
As
usual, first interim dividend of 4.25sen in FY15 is declared. It is 28%
higher than last year. Dividend payout policy remains at at least 40%.
Going
forward, though subsequent quarters' results will "normalized" to about
RM150mil revenue a quarter or even lower, Matrix should be able to beat
its FY14 financial performance in FY15.
Property slow down is still a real concern, but it is hard for me to even think of selling Matrix shares at the moment.
