Business & Markets 2013
Written by Ho Wah Foon of theedgemalaysia.com
Tuesday, 21 May 2013 19:34
KUALA LUMPUR (May 21): Based on corporate results released today, stocks that may attract interest tomorrow (May 22) include Bumi Armanda, AFG, CIMB, Dayang, JTI, Eversendai, MMHE, IOI, Green Packet and Protasco.
Bumi Armada Bhd (Armanda) recorded a net profit of RM109.7 million for its first quarter ended March 31, a 22.2% increase from the RM89.7 million it posted in the previous corresponding quarter.
Revenue also rose to RM488.8 million from RM335.1 million in 1Q12.
The group said the rise in profit was due to increased activity in its floating production storage and offloading (FPSO), offshore supply vessel (OSV) and transportation and installation (T&I) segments.
ALLIANCE FINANCIAL GROUP BHD [] (AFG) announced that its net profit for the fourth quarter to March 2013 rose 13.3% to RM138.8 million, from RM122.5 million a year ago.
For the full year, AFG reported a net profit of RM538 million, an increase of 7% compared with RM503 million for the year ended 31 March 2012.
On outlook, AFG said it expects to deliver “satisfactory performance” for the year ending March 2014.
CIMB Group Holdings Bhd said the net profit for its first quarter to end-March 2013 (1QFY13) rose 37.1% year-on-year to RM1.386 billion.
Compared to 4QFY12, the group’s net profit was 28.1% higher, CIMB said in a press statement.
The net profit of 1QFY13 was equivalent to net earnings per share of 18.7 sen. The annualised 1QFY13 net return on average equity was 19.0%.
According to the company, the first quarter results were achieved on the back of a gain on sale of its 51% interest in CIMB Aviva as well as the restructuring charges made.
“Excluding these one-off gains and charges, the group’s net profit would have grown by 4.2% year-on-year," said Datuk Seri Nazir Razak, group chief executive.
On outlook, Nazir said: "We remain mindful of macroeconomic challenges ahead as regional policy-makers respond to the slower external demand, domestic inflationary pressures and strong liquidity inflows."
DAYANG ENTERPRISE HOLDINGS BHD [] announced that its unit Dayang Enterprise Sdn Bhd (DESB) has been awarded a contract from two Shell companies in East Malaysia worth about RM2 billion.
The company told Bursa Malaysia DESB has received a letter of award dated 13 May 2013 from Sarawak Shell Bhd and Sabah Shell Petroleum Company Ltd for the provision of Hook-Up, Commissioning and Topside Maintenance Services for the two oil companies.
“The contract value is estimated to be slightly more than RM2.0 billion. The duration of the contract is for a primary period of five years with an extension option of one year,” Dayang said in its announcement.
The company said the contract is expected to contribute positively to its earnings and net assets for the duration of the contract.
JT INTERNATIONAL BHD [] (JTI) posted a net profit of RM39.7 million for the first quarter to end-March 2013, registering a 5.3% increase over RM37.7 million netted in the first quarter of 2012.
Revenue, however, fell to RM309.9 million from RM321.4 million.
“The decrease in revenues was attributed to a 7% decline in sales volume,” the company said.
But profit was driven higher by increased net margins and better product mix.
For the remainder of 2013, JTI expects the operating environment to “remain challenging” due to the sale of some local brands selling below the government mandated minimum cigarette price and the high prevalence of illegal cigarettes.
The group also anticipates several regulatory measures that had previously been announced by the government to be implemented.
Eversendai Corporation Bhd posted a net profit of RM23.7 million for the first quarter ended March 31, 2013, registering a fall of 13% from RM27.2 million in first quarter of 2012.
For the first quarter of 2013, the group’s revenue stood at RM243.2 million, as compared to RM249.0 million for the first quarter of last year.
“The slight decrease in profit was mainly due to timing differences,” said the company in a press release.
With RM1.5 billion in the group’s current order book, coupled with the fact that Eversendai has a wide geographical spread and number of projects, the company sees its prospects of meeting sustainable financial results good.
Malaysia Marine and Heavy Engineering Holdings Bhd (MMHE) reported that its net profit for first quarter ended March 2013 had fallen 35.35% year-on-year to RM50.6 million.
But revenue for the quarter had increased sharply to RM921.8 million from RM665.3 million due mainly to increase contribution from its offshore segment.
MMHE said its lower profit was due mainly to its offshore segment as work done has to be finalised and profit from the Malikai project has yet to be recognised due to its early stage of completion.
IOI Corp Bhd reported a 3% rise in third quarter net profit from a year earlier. This came on higher income from downstream PLANTATION [] and property operations, currency translation and real estate revaluation gain.
These factors have mitigated the impact of a 11% drop in revenue on lower crude palm oil (CPO) and palm kernel prices, IOI told the exchange today.
IOI said net profit came to RM567.8 million in the quarter ended March 31, 2013 (1QFY13) compared to RM552 million previously. Revenue fell to RM3.2 billion from RM3.58 billion.
GREEN PACKET BHD [] widened its loss for the first quarter from a year earlier.
The company said its net loss for the first quarter ended March 31, 2013 (1QFY13) was RM19.81 million on revenue of RM149.34 million.
In the previous corresponding quarter, its net loss came to RM14.72 million on the back of RM128.17 million in revenue.
Green Packet’s 1QFY13 income statement showed its finance costs for the quarter at RM13.11 million was more than three times higher from a year earlier.
PROTASCO BHD [] announced today that its subsidiary, HCM-Molek JV Sdn Bhd, has been awarded by Jabatan Kerja Raya Malaysia a RM37 million road project.
The project in Kedah is to upgrade the road from Jambatan Sungai Durian to Felcra Bukit Tampoi, Kuala Nerang, for nine months to February 2014.
The company sees this project as contributing positively towards its results for the financial year ending 31 December 2013.