Business & Markets 2014
Written by Chong Jin Hun of theedgemalaysia.com
Wednesday, 11 June 2014 18:46
KUALA LUMPUR (June 11): Based on Bursa Malaysia announcements and news flow today, stocks to watch tomorrow (June 12) may include the following companies:
SP Setia Bhd’s net profit fell 21% to RM74.3 million in its second quarter ended April 30, 2014 from RM94.2 million a year earlier.
Profit fell on higher minority interest, and as the property developer factored in the impact of the goods and services tax, and included long-term incentive plan expenses for employees in its financials.
Revenue, however, rose 26% to RM952.4 million from RM753.7 million. Despite lower profit, SP Setia plans to pay a dividend of four sen a share for the quarter.
Plantation group Felda Global Ventures Holdings Bhd and its 51%-owned subsidiary MSM Malaysia Holdings Bhd may be closely watched.
MSM expects to review or "revisit" sugar prices, a move which may affect the sugar producer's profit margin, according to President and Group CEO Datuk Sheikh Awab Abod.
Sheikh Awab said MSM foresaw lower profit margin this year compared with last year, arising from new supply of sugar in the market, primarily, from Thailand; higher sugar prices with the removal of sugar subsidy; and imports being permitted into Malaysia.
Pasdec Holdings Bhd may attract attention after Bursa Malaysia issued an unusual market activity query on the property developer. The query followed the recent rise in the price and trading volume of Pasdec shares.
Pasdec fell 2.5 sen or 3% to close at 76.sen today. At this price, the stock had risen 30% from the 59 sen level seen early this month.
Pasdec had not responded to Bursa's query at the time of writing.
China-based shoe maker Maxwell International Holdings Bhd foresees lower revenue and profit this year compared to a year earlier on large industry inventory and costlier labour, according to Chief Financial Officer Tan Swee Song.
Tan said the shoe industry in China had been facing surplus inventory since 2012, while labour cost had risen in the coastal areas.