KLSE
-INFOTEC Dividend declaration has proposed two possible outcomes.
1. Trade receivables received from customers are inflating the free cash flow and retained earnings.
2. Higher revenues and profits are foreseen with orders from Malaysia, India and perhaps China as the economy is improving in the said countries, not to leave out Singapore and Japan markets.
3. Dividend (DPS) compounding kicking off denotes the Profit (EPS) Growth sustainability.
4. Profit (EPS) Growth is the driver of intrinsic value compounding which will kick off the investors' capital compounding sooner or later.
Infoline Tec Group is a 5 stars stock in light capital business model which Warren Buffett has advocated to retailers to invest in for capital compounding + dividend compounding.