Business & Markets 2013
Written by Ho Wah Foon of theedgemalaysia.com
Wednesday, 21 August 2013 20:22
KUALA LUMPUR (Aug 21): Based on corporate results and news flow today, the stocks to watch tomorrow could include KLCCP, Hibiscus, IOI, AirAsia, PPB, Maybank, Maybulk, MAS, Boustead, and Panasonic.
KLCC PROPERTY HOLDINGS BHD [] (KLCCP) said its net profit for the second quarter to end-June 2013 soared 104% year on year to RM186.6 million.
Revenue also rose to RM315.8 million from RM288.6 million in the second quarter a year ago.
The company has declared a dividend of 4.26 sen per share.
Looking forward, KLCCP said the performance for the remainder of 2013 will be in line with expectation. However, the hotel segment will continue to trade in a challenging environment
Hibiscus Petroleum Bhd has sunk further into the red. It told Bursa it posted a net loss of RM9.8 million for its first financial quarter ended June 30, compared to net loss of RM1.2 million.
Revenue for the quarter was RM3.5 million, compared to RM2 million in similar quarter the previous year.
IOI CORPORATION BHD [] posted a lower net profit of RM267.1 million for the fourth quarter to end-June 2013, registering a 33.5% fall in net profit compared to a year ago.
Revenue was also lower at RM2.94 billion, compared to RM3.40 billion in the fourth quarter of the previous year.
Despite this, the mainly PLANTATION [] and property group declared a dividend of 8.5 sen per share.
For the full year to June 2013, total profit was RM1.97 billion, compared to RM1.79 billion in previous year.
Reviewing its fourth quarter results, IOI said lower profit was due mainly to lower profit from the plantation segment and a non-recurring gain arising from dilution of interest in an associate company of RM116.3 million recognised in Q4 FY2012.
AIRASIA BHD [] reported a lower net profit of RM58.3 million for the second quarter to end-June 2013, down 62% year-on-year.
Revenue however rose slightly to RM1.25 billion from RM1.18 billion.
PPB GROUP BHD [] reported a 76% rise in second quarter net profit from a year earlier on higher revenue, and larger contribution from 18%-owned plantation-based Singapore-listed entity Wilmar International Ltd.
PPB said net profit rose to RM191.13 million in the quarter ended June 30, 2013 (2QFY13) from RM108.42 million while revenue climbed to RM818.49 million from RM758.48 million.
PPB said it plans to pay a dividend of eight sen a share for the quarter under review.
Looking ahead, the group said the expansion of its flour-milling capacity in Indonesia and Vietnam is coming on-stream.
Sustained by continuing robust domestic consumption, PPB said its overseas operations are expected to maintain growth for the rest of the year.
MALAYAN BANKING BHD [] (Maybank) reported a 9% rise in second quarter net profit from a year earlier as interest, and Islamic banking income rose. Higher non-interest income had also supported bottom line.
Maybank said net profit rose to RM1.57 billion in the quarter ended June 30, 2013 (2QFY13) from RM1.44 billion. Revenue climbed to RM8.68 billion from RM7.93 billion.
Maybank said "growth in the group's net loans and advances” had supported the rise in interest, and Islamic banking income.
The firm said non-interest income growth came on "higher gain on sale of financial investments available-for-sale and higher brokerage income".
Maybank plans to reward shareholders with a dividend of 22.5 sen a share for 2QFY13.
Looking ahead, Maybank said it expects to perform "in line" with its targets for FY13.
MALAYSIAN BULK CARRIERS BHD []’s (Maybulk) second quarter net profit jumped 1,389% from a year earlier mainly on higher contribution from its oil and gas support- services associate PACC Offshore Services Holdings Pte Ltd.
Maybulk said net profit rose to RM13.1 million in the quarter ended June 30, 2013 (2QFY13) from RM882,000. Revenue climbed to RM65.77 million from RM64.79 million.
"Share of results of an associate – our share of PACC Offshore results increased 167% to RM31.6 million in 1H2013, from RM11.8 million in the same period last year due to the improved offshore services sector," Maybulk said.
Looking ahead, Maybulk said the market supply of vessels is expected to result in downward pressure in shipping rates.
Malaysian Airlines System Bhd (MAS) is on track to break even by the end of 2014 through its business recovery plan.
MAS chief executive officer, Ahmad Jauhari Yahya, said that the group is aiming for sustainable margins in revenue.
The business is plan at the half-way mark of implementation, he told reporters at a press conference today.
MAS yesterday released its second quarter results, which showed its net loss had halved and the national carrier posting a small operating profit.
BOUSTEAD HOLDINGS BHD [] announced that it recorded a profit after tax (PAT) of RM75 million for its second quarter ended June 30, a 33% year-on-year increase.
This was achieved on the back of a flattish revenue of RM2.4 billion.
Consequently, its board of directors have declared a single-tier dividend of 7.5 sen per share for the year ending Dec 31, 2013, whose entitlement date fall on Sept 13 and payable on Sept 30.
Panasonic Manufacturing Malaysia Bhd's net profit fell 10.9% year-on-year in the first quarter ended June 30, 2013 (1QFY14) due to higher operating expenses and lower share of profit from an associate.
Panasonic said net profit fell to RM16.02 million in 1QFY14 from RM17.99 million while revenue climbed to RM219.2 million from RM209.7 million on higher sales of fan products in the domestic market.
Looking forward, Panasonic sees keen competition in certain export markets for home appliances. However, robust sales of fan products in the domestic market are expected to cushion the impact.