KUALA LUMPUR (May 25): Based on corporate announcements and news flow today, companies that may be in focus tomorrow (Thursday, May 26) could include the following: Kelington, Telekom, Sime Darby, RHB Capital, TSH Resources, WCT, Dayang, BAssets, Boustead Holdings and Axiata.
Kelington Group Bhd's wholly-owned subsidiary Kelington Technologies Sdn Bhd (KTSB) has bagged a RM70 million civil and structural works job.
KTSB has obtained a letter of award from Meranti Tiga Sdn Bhd to undertake civil and structural works and provide mechanical and electrical services for a project located in Batang Padang, Perak.
The completion period for the works is 17 months, and it is targeted to be completed by September 2017.
Telekom Malaysia Bhd saw its net profit balloon 150% to RM322.44 million for the first quarter ended March 31, 2016 (1QFY16) from RM128.92 million a year ago.
The group attributed its performance on increase in operating profit and net finance income for the quarter arising from foreign exchange (forex) gain on group's borrowings with the strengthening of the ringgit against the US dollar in 1QFY16.
Revenue increased 3.25% to RM2.86 billion from RM2.77 billion, according to its bourse filing.
Sime Darby Bhd saw its net profit for the third quarter ended March 31, 2016 (3QFY16) surge 60% to RM663.44 million from RM414.62 million a year ago, due to its asset monetisation exercise.
The exercise involved the deconsolidation of the property division's two subsidiaries in Singapore for RM406.3 million. This, coupled with gain on compulsory land acquisition for the Damansara-Shah Alam Elevated Expressway and West Coast Expressway of RM138.7 million, contributed to the net profit jump.
Revenue totalled RM10.23 billion, which is 2.3% higher than the 3QFY15 revenue of RM10 billion.
RHB Capital Bhd's first quarter net profit rose 16% to RM552.02 million from a year earlier, on higher net interest and Islamic banking income, besides lower operating expenses.
RHB Capital said its RM552.02 million net profit in the first quarter ended March 31 rose from RM476.28 million. Revenue was higher at RM2.73 billion versus RM2.7 billion.
"The strong performance was primarily contributed by net interest income growth and positive results of our cost-improvement efforts," it said.
TSH Resources Bhd's net profit grew more than eight times to RM54.7 million in the first quarter ended March 31 from RM6.4 million a year ago, mainly due to a higher exchange gain of RM39.2 million.
TSH said revenue came in 1.8% lower at RM202.27 million compared with RM206 million a year ago.
WCT Holdings Bhd's net profit for the first quarter ended March 31 fell 73.4% to RM8.83 million from RM33.21 million a year ago, mainly due to an unrealised foreign exchange loss of RM23.14 million compared to a gain of RM18.46 million in 1QFY15.
Revenue grew 37.9% to RM484.96 million from RM351.62 million, helped by higher contribution from the group's local construction and property development segments.
Dayang Enterprise Holdings Bhd has plunged into the red, reporting a net loss of RM26.39 million for the first quarter ended March 31, compared to a net profit of RM34.36 million a year earlier.
In its filing with the exchange, the group said it saw lower vessel utilisation and lower value of work orders during the period, driving revenue down 41% to RM111.83 million from RM190.05 million.
The lower value of work orders had compressed margins for the quarter, impacting its bottom line which was also affected by higher interest incurred due to higher borrowings, it said.
Berjaya Assets Bhd (BAssets), which will see the resignation of two directors this month end, sank into the red for the third quarter ended March 31 with a net loss of RM2.54 million, against a net profit of RM18.96 million a year ago.
The group said in a bourse filing that the drop was due to lower profit contribution from its gaming business segment operated by Natural Avenue Sdn Bhd (NASB).
Revenue for the quarter dropped 7.8% to RM97.77 million from RM106.09 million, also due to lower contribution from NASB, which was impacted by rampant illegal gaming activities.
In a separate filing, BAssets has announced the resignation of its executive director Tan Thiam Chai with effect from May 31, due to other work commitments and responsibilities.
Datuk Dickson Tan Yong Loong, a non-independent and non-executive director of BAssets, will also step down from his post on May 31.
Boustead Holdings Bhd posted a net loss of RM21.5 million for the first quarter ended March 31 compared with a net profit of RM100,000 a year earlier, as its heavy industries division took a hit.
Revenue for the quarter came in at RM1.86 billion, a tad lower from RM1.89 billion a year earlier.
Boustead declared a first interim dividend of five sen per share.
Axiata Group Bhd reported that first quarter net profit fell 37% to RM368.26 million from RM584.84 million a year earlier on lower profit from its Malaysia and Bangladesh mobile telecommunication network operations.
Axiata said higher operating cost curbed the group's profit growth during the first quarter ended March 31. Revenue, however, rose to RM5.01 billion from RM4.75 billion a year ago.