United Envirotech

United Envirotech: record FYMar13 results beats expectations. Revenue more than doubled to $185.0m from $85.3m, while net profit nearly tripled to $29.5m from $10.5m. This was driven by strong improvements in both the engineering business (+132% to $144.5m) and water treatment business (+77% to $40.6m). Mgt intends to continue to invest in more recurring income projects, particularly the higher margin industrial wastewater treatment projects. The group believes there will be extensive opportunities to apply its membrane technologies in tandem with the growing water treatment market in china. Believes in advanced membrane technologies, particularly Membrane Bioreactor (MBR), have a competitive edge in treating wastewater of a greater complexity to meet the stricter discharge limits and also to reclaim the treated wastewater for reuse more effectively and efficiently. The group proposes a final div of 0.5 cts, up from 0.3 cts declared in the previous yrs. At $1.00 last close, the stock trades at 15.5x P/E, 2.2x P/B.