AISB ... Sept 2008

Steel pipe maker AISB expects overseas sales to contribute more than a quarter of its total earnings by 2010, driven by its newly formed joint venture (JV) with Singapore’s HG Metal Manufacturing Ltd.
AISB and HG Metal were planning to set up a spiral-welded (SW) steel pipe manufacturing plant in Nusajaya to cater for the water and infrastructure sectors in Malaysia, and especially Singapore.

While AISB’s steel products now catered mainly for the construction and engineering, and manufacturing industries, the new plant in Nusajaya would enable the company to widen its reach to the water and the oil and gas (O&G) industries.

For its second quarter ended June 30, 2008, AISB’s net income surged more than eightfold to RM10.76 million from RM1.32 million a year earlier, mainly due to higher steel prices coupled with the stronger demand for steel products.
Revenue rose 90% to RM65.02 million from RM34.14 million a year earlier, while earnings per share increased to 9.29 sen from 1.12 sen.

AISB has been actively buying its own shares. From February 2006 to this July 2008, the company collected about 4.9 million shares at an average price of 58 sen.

Its current NTA is at 87 sen per share.