Business & Markets 2014
Written by Jeffrey Tan of theedgemalaysia.com
Monday, 24 March 2014 19:39
KUALA LUMPUR (Mar 24): Based on news flow and corporate announcements today, the following companies may be in focus tomorrow:
SapuraKencana Petroleum Bhd said its net profit soared 172% year-on-year (y-o-y) to RM337.2 million in the fourth quarter ended Jan 31, 2014, from RM123.9 million a year ago.
But revenue fell 3.7% y-o-y to RM1.88 billion from RM1.96 billion.
In a statement to Bursa Malaysia, the oil & gas player attributed the higher net profit to its drilling and energy segment’s results that included the financial results of the tender rig business subsequent to the completion of acquisition on Apr 30, 2013.
SapuraKencana said the lower revenue was due to lower contribution from its offshore construction & subsea services segment as the Domgas project reached its completion stage.
The firm said this was offset by higher contribution from its drilling and energy business segment following inclusion of revenue from the above-mentioned tender rig business.
For the full-year period, net profit stood at RM1.09 billion versus RM524.6 million in the previous year, while revenue recorded RM8.38 billion from RM6.91 billion a year ago.
MMC Corporation Bhd and Gamuda Bhd via their MMC-Gamuda joint venture said it would not be the contractor for the RM340 million KL Sentral pedestrian tunnel works, refuting allegations made by MRT Watch, a non-government organisation.
In a statement, it said “MMC-Gamuda will not be the works package contractor for the KL Sentral pedestrian linkway tunnel project”, as it is not a bidder for the works package.
However, the MMC-Gamuda joint venture clarified the construction of the pedestrian linkway would be under the purview of the scope of its contractual obligations [held by MMC Gamuda KVMRT (PDP) Sdn Bhd] for the KVMRT SBK Line.
But it will not be part of the underground works contractual scope [held by MMC Gamuda KVMRT (T) Sdn Bhd – underground works contractor] for the project.
JAKS Resources has been awarded a contract for the design and construction of a sewerage pipe network by the Ministry of Energy, Green Technology & Water.
The contract is valued at RM339.3 million, for a duration of four years.
The sewerage pipe network will be constructed at Batu, Jinjang Kepong, Kuala Lumpur and is expected to be completed by April 2018.
Manulife Holdings Bhd proposed a first and final single-tier dividend of 10 sen per share and a special single-tier dividend of 2.5 sen per share.
The firm said the date of entitlement and date of payment will be determined and announced in due course.
Boustead Holdings Bhd (BHB) reported it has received approval from the Securities Commission for the proposed listing of its wholly-owned subsidiary, Boustead Plantations Bhd (BPB) on the Main Board of Bursa Malaysia.
The diversified conglomerate said the proposed listing would consolidate its plantation assets under BPB, allowing for greater economies of scale and streamlined operations with a view to optimising performance.
Upon listing, the total enlarged and paid-up share capital of BPB will be RM800 million comprising 1.6 billion shares.
Plantation stocks may continue to see gains if the bullish view of leading analyst Dorab Mistry still has impact. But they could also fall if profit-taking sets in tomorrow.
Mistry said last Friday palm oil prices could rise faster than expected and hit 3,000 ringgit per tonne in April.
PPB Group Bhd and Kuala Lumpur Kepong Bhd led the rise in plantations stocks today. Felda Global Ventures Holdings Bhd, United Plantations Bhd and IOI Corporation Bhd were also among the gainers.
But profit-taking could set in for plantation stocks if investors go for short-term gains.
The palm oil futures market, which rose substantially across the board in earlier trades today, fell across the board at market close.
Pacific & Orient Bhd said it has acquired a piece of land in Miami in the US for RM24.5 million (US$7.418 million) for mixed property development.
The financial and IT services provider said its wholly-owned subsidiary P & O Global Technologies Inc had on Mar 20, 2014, entered into an agreement of purchase and sale with Bianca Investments LLC for the land.
The freehold land, measuring 3.22 acres, is zoned for a mixed residential and commercial development.