LONBISC financial result review

FY 31/03/10
Financial Result
For the 3Q ending 31/03/10, LONBISC achieved a profit before tax of RM4.8m at the back of RM50.9m in revenue. For the same quarter preceding year, company profit before tax stood at RM4m with RM47.7m revenue. EPS for current quarter drop 10.6% from RM0.058 to RM0.046, basically due to increase in company shares through ESOS.

However, company revenue drop 6.7% from RM54.5m recorded during preceding quarter. Profit before tax also decrease 8.6%.

Technical Outlook
Short term, i don't see any upside for LONBISC. However, it has a strong support(7months) at RM1.00, which is also a psychological support. Any break under will triangle a drop to the next level of RM0.95 then RM0.88 according to Fibonacci retrenchment. 

Stock Valuation
For the last twelve trailing month, LONBISC earning per share is RM0.21. With today's closing of RM1.03, it is trading at P/E 4.9, which is very attractive.
 
Overall
I'm pretty satisfy with the company 3Q10 financial result. It's is fundamental good to be consider a crisis resistant stock, where i don't think overseas economy uncertainty will effect them much. Strong support at RM1.00 also is a backstop  to accumulate this stock.  Don't forget to defend tough!!