Business & Markets 2014
Written by Ho Wah Foon of theedgemalaysia.com
Monday, 26 May 2014 19:56
KUALA LUMPUR (May 26): Based on corporate announcements and results announced today, the companies that may be in focus tomorrow could be:
KPJ Healthcare Bhd posted net profit of RM30.2 million for its first quarter ended March 31, 2014, rising 20% from RM25.1 million in same quarter last year.
Revenue for the quarter increased 11% to RM602.7 million from RM545.1 million in the previous year.
“The higher revenue for the period is mainly due to the increase in revenue of the existing hospitals and newly open hospitals in the group,” said the healthcare group.
KPJ highlighted that its Malaysia, Indonesia, aged care facility and support services, corporate and others segments had all reported higher revenue.
Going forward, the group said it will continue to expand its capacity through building new and expanding existing hospitals.
Three newly completed specialist hospitals are anticipated to be the contributor towards the revenue growth in 2014, said the group.
Kulim (Malaysia) Bhd’s net profit plunged 89% year-on-year (y-o-y) to RM38.1 million in the first quarter ended Mar 31, 2014, from RM345.1 million.
However, revenue grew 16.1% y-o-y to RM829.7 million from RM714.8 million.
The plantation company said its lower net profit was due to higher expenses excluding finance cost and tax, as well as higher income tax expense.
The significantly lower net profit was also due to a higher base comparison in the same quarter last year, as the firm made profit from a discontinued operation net of tax of RM339.3 million.
In terms of production of oil palm fruits and prices, the company said they were higher than a year ago.
UEM Sunrise Bhd’s net profit dropped 71% to RM61.5 for its first quarter ended March 31, 2014, from RM211.1 million in last year’s first quarter.
Revenue was at RM401.6 million in 1QFY14, down 42% from RM697.7 million in 1QFY13.
“The group recorded lower revenue for the current quarter as compared to preceding year corresponding quarter primarily due to sale of the land in Puteri Harbour to Liberty Bridge Sdn Bhd for RM400 million in Quarter 1, 2013,” said the company.
However, excluding the land sale, the company said its revenue increased to RM373 million for the quarter, from RM268 million in the preceding year’s same quarter.
Moving forward, UEM Sunrise said that it is confident of its prospects despite the challenging market.
Lion Corp Bhd's net loss widened to RM92.9 million in the third quarter ended March 31, 2014 from a net loss of RM68.7 million a year earlier.
The Practice Note 17 entity said revenue fell to RM611.9 million from RM727.4 million.
Cumulative nine-month net loss narrowed to RM224.9 million from a net loss of RM257.8 million. Revenue was lower at RM1.82 billion versus RM1.86 billion.
Ta Ann Holdings Bhd’s net profit multiplied 7.1 times to RM28.7 million in the first quarter ended Mar 31, 2014, from RM4.0 million a year ago.
Revenue jumped 40.9% year-on-year to RM211.8 million from RM150.3 million.
Ta Ann declared an interim single-tier ordinary dividend of 10 sen per ordinary share for the financial year ending Dec 31, 2014.
The timber and plantation firm said its net profit surge is mainly due to higher average selling prices (ASPs) for its products and higher sales volume of products that grew by 19% to 43%.
The firm said average prices of export logs went up by 28%, plywood products up by 14%, oil palm fresh fruit bundles up by 33% and crude palm oil up by 18%.
“Demand for timber and timber products which picked up in the first quarter are likely to be carried forward into the second quarter. Oil palm production is expected to increase with the peak crop season approaching towards the end of the second quarter.”
RHB Capital Bhd reported a first quarter net profit of RM450.7million, up 26.2% from a year ago, after registering loan expansion, higher income and reversal of a loan impairment.
Total revenue for the banking and financial group rose to RM2.40 billion for the first quarter to March 31, 2014, from RM2.27 billion in the first quarter last year.
RHB Capital said: “Healthy business momentum supported by sustained loan expansion and stable margin resulted in higher net interest income, and stronger contribution from customer-related transactions and activities boosted non-interest income.
“Significant improvement in the loan impairment charges further contributed to the stronger first quarter performance.”
On prospects for the year, RHB Capital’s managing director Kellee Kam said in the statement: “Barring unforeseen circumstances, we expect 2014 performance to be better than 2013.”
Kumpulan Fima Bhd's net profit fell 55% to RM6.6 million in the fourth quarter ended March 31, 2014, from RM14.8 million a year earlier. Revenue, however, rose to RM136.5 million from RM122.6 million.
Kumpulan Fima said full-year net profit declined to RM59.4 million, from RM77.3 million while revenue was higher at RM504.6 million versus RM486.5 million.
The company recommended payment of a single-tier final dividend of 8% or 8 sen per share for the financial year ended 31 March 2014.
Genting Bhd is said to be ‘suitable’ to hold the state gaming licence in Las Vegas, based on a preliminary finding by the Nevada Gaming Commission (NGC), according to US news reports.
The NGC met last week and found gaming and entertainment conglomerate Genting “suitable for the licence”, under which Genting will build a US$4 billion (RM12.8 billion) Asian themed-based resort on the Las Vegas Strip.
According to Fox 5 KVVU-TV and Las Vegas Review-Journal last week, Genting officials said the group would begin construction of the resort by the second half of this year.
Advance Synergy Bhd (ASB) was issued an unusual market activity (UMA) query by Bursa Malaysia, over the recent rise in price and volume of its shares.
At 5.00 pm market close, the stock rose 7 sen or 37% to settle at its closing price of 26 sen, with some 109.2 million shares exchanging hands. In the past two days, the share price had shot up from 14.5 sen.
The regulator has ordered the company to disclose any corporate development, rumour, report or any other possible explanation for the unusual trading activity.
Malaysia Airlines System Bhd (MAS) has managed to bounce back as far as bookings are concerned, mainly for travel within Southeast Asia, Australia and New Zealand in the past several weeks.
Commercial director Dr Hugh Dunleavy said prospects for the China market continued to be conservative in view of the missing MH370 aircraft but MAS would not abandon the market.
He told Bernama today that shareholders of the national carrier, mainly Khazanah Nasional Bhd, as well as other stakeholders, were engaged in discussions over the company's cost structure, with a view of making it a financially viable entity.
On the airline's turnaround plan, where MAS was expected to return to the black by year-end, he said it would be "delayed by about a year".
Boustead Holdings Bhd's net profit fell 33% to RM66.7 million for its first quarter ended March 31, 2014, from RM99.9 million in the previous year’s same quarter.
Revenue for the quarter was slightly lower at RM2.50 billion, compared to RM2.53 billion in the year before.
The group declared a first single-tier interim dividend payment of 7.5 sen per share with its entitlement date on June 16, 2014.
The group said the listing of Boustead Plantations Berhad this year will be a major corporate undertaking during this financial year.
Time dotCom Bhd’s net profit for the first quarter ended March 31, 2014, fell 18.5% to RM29.42 million from RM36.08 million in similar quarter a year ago.
Group revenue stood lower at RM131.9 million for the quarter, from RM133.01 million a year ago, according to its filing to Bursa Malaysia.