Monday, August 23, 2010

C&O Pharmaceutical posts record full-year net profit of $27.2m; Rose 5.3% today

Mainboard-listed C & O Pharmaceutical Technology (Holdings) announced a record net profit of HK$156 million ($27.2 million) on revenue of HK$651 million, up 44% and 19% respectively for the full year ended 30 June 2010 (FY2010).


Today, C&O share price rose more than 5.3% and declared a final divdend payout of 1.35 cents/share vs 1.05 cents/share year earlier, bringing total dividend for fiscal FY10 ended June to 8.15 cents/share, representing hefty 17.3% yield based on Friday’s closing price. This final payout exceeds 0.12 as predicted by the Phillips Research. From the figure above, there are now TWO cum-dividends (CD) and this "phenomenon" is rare.

Downside risk to pharmaceutical business in China
Beijing’s recent proposal to reform drug pricing policy, which would result in lower selling prices, will be closely watched by investors for impact on C&O’s profitability. Orderbook quotes suggest price not expected to clear $0.50.

I am going to enjoy both dividends!

No comments:

Post a Comment

Do provide your constructive comment. I appreciate that.