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Lysaght Galvanized Steel Berhad (KLSE:LYSAGHT) Passed Our Checks, And It's About To Pay A RM00.35 Dividend

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          🞛 This publication is a summary or evaluation of another publication 🞛 This publication contains editorial commentary or bias from the source
It's positive to see that Lysaght Galvanized Steel Berhad's dividend is covered by both profits and cash flow, since this is generally a sign that the dividend is sustainable, and a lower payout ratio usually suggests a greater margin of safety before the dividend gets cut.
The article from Yahoo Finance discusses Lysaght Galvanized Steel Berhad (KLSE:LYSAGHT), a company that has shown significant growth in its earnings per share (EPS), increasing from RM0.007 to RM0.078 over the last year, which represents a 1014% growth. Despite this impressive EPS growth, the company's revenue has decreased by 12% to RM122m, suggesting that the profit surge might be due to factors other than revenue increase, such as cost reductions or one-time gains. The article also notes that while the company's EBIT margins have remained stable, the lack of revenue growth raises concerns about the sustainability of this earnings growth. Furthermore, the CEO's compensation is highlighted as being relatively low at RM16k, which might reflect well on governance but also raises questions about the company's strategy and future growth prospects. Overall, the article advises investors to consider these mixed signals when evaluating Lysaght Galvanized Steel Berhad as an investment opportunity.

Read the Full Yahoo Finance Article at [ https://sg.finance.yahoo.com/news/lysaght-galvanized-steel-berhad-klse-014236444.html?prefer_reader_view=1&prefer_safari=1 ]