Qian Hu

Qian Hu

Postby millionairemind » Wed Jul 16, 2008 9:13 am

Published July 16, 2008
Qian Hu plans further expansion

SINGAPORE'S ornamental fish exporter Qian Hu plans to further expand into foreign markets and expects to generate more than half of its sales in Asia by 2013, its head said yesterday

The company exports its aquarium and pet accessories to 20 to 30 countries and hopes that figure could rise to between 70 and 80 countries in five years.

The expansion plans come despite worsening market sentiment as it believes the pet industry is relatively immune to economic downturns.

'Despite the fact that the economic situation is very choppy around the world, pet industries or the ornamental fish industry is relatively recession-proof,' Kenny Yap, executive chairman and managing director of Qian Hu, told Reuters in an interview. 'Even during an economic downturn, I don't think anyone who loses their job will think of going home to kill their pets as the first thing to do. Pets will still have to be fed and taken care of, so that partly cushions the slowdown.'

Qian Hu exports ornamental fish to 75 countries and expects that to increase to 100 in five years.

Mr Yap is also bullish on China, where he expects the rise of its middle class to fuel demand for Qian Hu's fish. He predicts it could generate a fifth of group sales and profit in China within five years.

The firm's ornamental fish is available at more than 150 shops in China, a number Mr Yap expects to rise to 250 in the next three years.

In line with Qian Hu's vision to become the world's biggest exporter of ornamental fish, the firm is also looking out for joint ventures in India, Indonesia, Vietnam and the Middle East to develop its distribution network.

It is one of only three listed ornamental fish exporters in the world, along with Taiwan's Taikong Corp and Malaysia's Xian Leng.

Qian Hu's ornamental fish segment accounts for half of sales, while accessories make up 30 per cent. But with faster growth in accessories, Mr Yap expects half of revenues from that segment by 2013. 'We need to look for different pillars of growth and balance instead of relying on one product or segment. We are trying to spread our revenue base to get a balance as diversifying equates to stability.'

Qian Hu, which is worth US$41.3 million on the stock market, reported a 34 per cent jump in net profit to S$1.27 million for the first quarter of this year, with sales from aquarium accessories recording the biggest growth.

Shares of Qian Hu were trading at S$0.135 at 0807 GMT, down 18 per cent year-to-date. -- Reuters
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Re: Qian Hu

Postby helios » Wed Jul 16, 2008 9:37 am

personal comments: i met Kenny Yap in 1 of e ACE conference, like his magnetism & expression. he's a charismatic speaker (motivator).

but i don't like e biz, too much hype.
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Re: Qian Hu

Postby millionairemind » Tue Jul 22, 2008 10:08 am

Published July 22, 2008

Qian Hu swims ahead with 31% rise in Q2 net

By JAMIE LEE

ORNAMENTAL fish exporter Qian Hu Corporation yesterday reported a net profit of $1.51 million for its second quarter ended June 30, up 30.6 per cent from a year earlier.

It expects sales and profit to increase in the second half on higher sales of accessories such as dog shampoo, fish food and fish tank filters and sales of dragon fish to the Chinese market, it said.

Qian Hu plans to raise the number of distribution points in China to 150 from 100 by year-end.

Quarterly revenue was up 5.1 per cent to $23.6 million from the same quarter in 2007.

The fish export business expanded 4.4 per cent to $11.8 million. Plastic manufacturing reported the biggest increase in revenue, up 13.4 per cent to $3.06 million, thanks to a broader customer base and a bigger variety of plastic products, which are mainly plastic bags used to pack fish.

Earnings per share (EPS) came in at 34 cents, up five cents on a fully diluted basis.

Net profit for the first six months rose 32 per cent to $2.77 million, with sales rising 4.9 per cent to $46.6 million.

The fish export segment - which makes up about half of total sales - rose 5.2 per cent to $23.4 million.

The accessories segment - which contributes more than 40 per cent of revenue - was up 4.9 per cent to $17.5 million. Half-year EPS jumped 10 cents to 62 cents.

'It is our intention to grow our accessories revenue to be equivalent to that of our ornamental fish business,' executive chairman and managing director Kenny Yap said.

Qian Hu will boost efficiency at its Guangzhou factory and strengthen its research and development capabilities to meet increasing orders for its manufactured products, he added.

The company has a market value of $54 million. The stock fell one cent yesterday to close at 13 cents.
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Re: Qian Hu

Postby Apong » Tue Jul 22, 2008 10:57 am

I read until blur..


...
The fish export business ...

Earnings per share (EPS) came in at 34 cents, up five cents on a fully diluted basis.


At current price of 14 cents per share... we have a PER of 4.1x... may be it is the kind of fishy business nobody is interested in...

...
The accessories segment... Half-year EPS jumped 10 cents to 62 cents.


Is this 62 cents annualized figure, and NOT fully diluted ?? Just now was 34 cents only...

I also saw Kenny Yap's naked photo in the Qian Hu advertisement (he was sitting on plastic bags of fishes)... this guy is really different...
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Re: Qian Hu

Postby kennynah » Tue Jul 22, 2008 11:02 am

and it is a family run business.... and some family run businesses are dubious in nature...especially when it comes to accounting principals..

kenny yap is way too interested in publicity than he is in running a business ... he inherited this business and was tasked to be the chief simply becos he was the most educated (but i was told that the doctorate was purchased)

i am acquainted with kenny through a mutual friend. this friend does not own qian hu shares.
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Re: Qian Hu

Postby la papillion » Tue Jul 22, 2008 11:34 am

Apong wrote:I read until blur..


...
The fish export business ...

Earnings per share (EPS) came in at 34 cents, up five cents on a fully diluted basis.


At current price of 14 cents per share... we have a PER of 4.1x... may be it is the kind of fishy business nobody is interested in...

...
The accessories segment... Half-year EPS jumped 10 cents to 62 cents.


Is this 62 cents annualized figure, and NOT fully diluted ?? Just now was 34 cents only...

I also saw Kenny Yap's naked photo in the Qian Hu advertisement (he was sitting on plastic bags of fishes)... this guy is really different...


The report by Jamie Lee is erroneously wrong. The EPS figures quoted in the report differs by 2 decimal places!

The diluted EPS of 0.34 cts is for the quarter ending 30 June. Half year diluted EPS is 0.62 cts. To find out the PE ratio, I prefer to use last financial year's diluted EPS. Since the results only have half year diluted EPS of 0.52 cts, I'll annualise it by multiplying by 2 to give a rough estimate of 1.04 cts. The share price now is 14 cts per share, that gives a PE of 13x (14/1.04 = 13.46).

To summarise:

2Q07 diluted EPS ----- 0.29 cts
2Q08 diluted EPS ----- 0.34 cts

1H07 diluted EPS ---- 0.52 cts
1H08 diluted EPS ---- 0.62 cts

You can read more about it here: http://info.sgx.com/webcoranncatth.nsf/ ... penelement
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Re: Qian Hu

Postby helios » Tue Jul 22, 2008 11:35 am

Agreed w K on this.

i like kenny.yap as a professional speaker, rather than a biz operator.

was in bluesky festival last week, he was there - networking session ... haaa ...
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Re: Qian Hu

Postby Apong » Tue Jul 22, 2008 11:50 am

la papillion wrote:...
The report by Jamie Lee is erroneously wrong. The EPS figures quoted in the report differs by 2 decimal places!
...


Thanks for point out Jamie's error ! [So much for responsible reporting... :twisted: ]

The diluted EPS of 0.34 cts is for the quarter ending 30 June. Half year diluted EPS is 0.62 cts. To find out the PE ratio, I prefer to use last financial year's diluted EPS. Since the results only have half year diluted EPS of 0.52 cts, I'll annualise it by multiplying by 2 to give a rough estimate of 1.04 cts. The share price now is 14 cts per share, that gives a PE of 13x (14/1.04 = 13.46).

To summarise:

2Q07 diluted EPS ----- 0.29 cts
2Q08 diluted EPS ----- 0.34 cts

1H07 diluted EPS ---- 0.52 cts
1H08 diluted EPS ---- 0.62 cts


Thanks for that as well !

So, it was "0.34 cts for 2Q08", not "34 cts for last 12 months"....

[ I usually compute by Current Price/last 12 months' EPS. ]

Almost took out some money to buy...
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Re: Qian Hu

Postby la papillion » Tue Jul 22, 2008 11:57 am

You're welcome, apong :)

Qianhu net margins of 6-7% isn't fantastic and ROE of around 10-11% is okay only. At current PE of 13x, I'll give it a miss. What's more, I don't understand why people will fork out so much to buy ornamental fishes. They don't really make good and responsive pets (unlike say cats or dogs). Maybe for fengshui purpose? haha
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Re: Qian Hu

Postby helios » Tue Jul 22, 2008 12:42 pm

my God ... pap shld write in to alert jamie ... ...
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