Furniture Business: Liihen (7089), Hevea (5095), Latitube (7006) mini review

LII HEN INDUSTRIES BHD, Liihen (7089), is a malaysian furniture manufacturer, 100% operates wholly in Malaysia, but 82% market is from America, followed by Asia (9%) and Malaysia (7.5%), in 2011. In other words, the main income of Liihen is from exporting furniture to America in 2011.

In terms of PE and dividend valuation, Liihen is not bad investment even with its market price > RM1.50. HOWEVER, latest annual report reveals one biggest challenging for furniture business in Malaysia, that is, minimum wage.

Should We Spend One Hour or More to Get Discount?

Yes or No. Mathematically speaking, it is mainly dependent on your income or the ability to earn money. In this post, I am going to use a very simple mathematic to explain my argument.

To answer such question, we need to know our monthly income. It is very straightforward for those have stable monthly salary or income. Otherwise, you may consider using the average income for the following computation.