Frontkn Latest QR Summary

Based on the financial results and data provided in the quarterly report for Frontken Corporation Bhd (FCB) for the second quarter ended 30 June 2024, here's a summary and investment conclusion:

📊 Summary of Key Financial Indicators
1. **Revenue Growth**:
- Q2 2024: RM 134.93 million
- Q2 2023: RM 121.15 million
- **Year-over-Year (YoY) Increase**: RM 13.77 million or **11%**.

2. **Operating Expenses**:
- Q2 2024: RM 86.65 million
- Q2 2023: RM 75.63 million
- **YoY Increase**: RM 11.02 million or **15%**.

3. **Profit Before Tax**:
- Q2 2024: RM 46.40 million
- Q2 2023: RM 44.31 million
- **YoY Increase**: RM 2.09 million or **5%**.

4. **Profit After Tax (PAT)**:
- Q2 2024: RM 36.48 million
- Q2 2023: RM 34.98 million
- **YoY Increase**: RM 1.50 million or **4%**.

5. **Earnings Per Share (EPS)**:
- Basic EPS for Q2 2024: 2.12 sen
- Basic EPS for Q2 2023: 2.03 sen
- **YoY Increase**: 0.09 sen or **4%**.

6. **Total Comprehensive Income**:
- Q2 2024: RM 27.36 million
- Q2 2023: RM 53.65 million
- **YoY Decrease**: RM 26.29 million or **49%**, largely due to foreign currency translation losses.

💰 Financial Position Highlights
1. **Total Assets** (30 June 2024): RM 911.67 million
- **Increase** from 31 December 2023 (RM 885.43 million): RM 26.24 million or **3%**.

2. **Total Liabilities** (30 June 2024): RM 203.05 million
- **Increase** from 31 December 2023 (RM 197.52 million): RM 5.53 million or **2.8%**.

3. **Total Equity** (30 June 2024): RM 708.62 million
- **Increase** from 31 December 2023 (RM 687.90 million): RM 20.72 million or **3%**.

💵 Cash Flow Analysis
1. **Net Cash from Operating Activities**:
- RM 73.57 million, up from RM 50.17 million in the previous period.

2. **Net Cash for Investing Activities**:
- RM 0.80 million, compared to an outflow of RM 10.99 million in the previous period.

3. **Net Cash for Financing Activities**:
- RM 38.99 million outflow, compared to a RM 22.76 million outflow in the previous period.

4. **Net Increase in Cash and Cash Equivalents**:
- RM 35.38 million, significantly higher than RM 16.42 million in the previous period.

⚠️ Investment Conclusion
Frontken Corporation Bhd (FCB) shows strong performance in the second quarter of 2024, with steady increases in revenue and profits. Key highlights include:
- **Revenue and profit growth**, although modest, indicates stable operations.
- **Operating expenses have increased**, but they are in line with revenue growth, maintaining profit margins.
- **Cash flow from operating activities is strong**, indicating good liquidity and financial health.
- **EPS growth** is modest but positive, which is a good sign for shareholder value.

However, the company faced a **significant decline in total comprehensive income** due to foreign currency translation losses. This could be a concern for investors, particularly if the company has significant operations or transactions in foreign currencies.

Overall, FCB appears to be a solid investment opportunity, with steady financial performance and good cash flows. Potential investors should consider the risks associated with foreign currency exposure and conduct further analysis of market conditions and company-specific factors before making a decision.