KUALA LUMPUR (May 23): Based on corporate announcements and news flow today, companies that may be in focus tomorrow (Tuesday, May 24) could include the following: UMW O&G, Lafarge, JCY, Malakoff, TH Plantations, BAT, Landmarks, Tanjung Offshore, Sunsuria, Rubberex, The Store, EG Industries, CCM, Ho Hup, Genting Plantations, Pos Malaysia, PRG, Axis REIT, Progressive Impact, Multi Sports and Reach Energy.
UMW Oil and Gas Corp Bhd (UMW O&G) posted a net loss of RM65.08 million in the first quarter ended March (1QFY16) compared to a net profit of RM32.15 million a year ago.
The group told the bourse that its revenue more than halved to RM87.68 million from RM312.5 million.
It said both its drilling services and oilfield services segments contributed lower revenue in 1QFY16 due to much lower levels of exploration, development and production activities in the oil and gas industry.
Lafarge Malaysia Bhd's net profit fell nearly 72% to RM20.65 million in the first quarter ended March (1QFY16) from RM73.69 million a year ago, on lower contribution from its cement segment, following continued price competition.
One-off Holcim integration costs also affected earnings, its bourse filing today showed.
"The higher share of loss in an associate, coupled with higher depreciation charges and higher finance cost arising from the borrowings raised late last year to fund the acquisition of Holcim Malaysia, also contributed to the group's lower profit before tax," it said.
Its interest income of RM600,000 for the current quarter was also lower compared with RM1.9 million in the corresponding quarter last year, due to lesser amount of funds placed on short term deposits.
Quarterly revenue, meanwhile, slipped 3.8% to RM669.78 million from RM696.09 million a year earlier, mainly attributed to lower sales contribution from its cement segment, due to stiff competition in the market and continued pricing pressures.
JCY International Bhd has ceased the operation of its subsidiary in China, Foshan YK HDD Co Ltd, with immediate effect in view of the sluggish demand on hard disk drive (HDD).
The integrated HDD component maker told the stock exchange in a filing today the global demand for HDD products continues to face a very challenging global economic environment.
The integrated HDD component maker noted there will be an estimated one-time cost impact arising from fixed assets impairment and/or fixed assets written down of RM12.6 million, being 1.7% of its net assets as at Sept 30, 2015.
Malakoff Corporation Bhd's net profit for the first quarter ended March 31, 2016 (1QFY16) fell 19.1% to RM84.1 million from RM103.9 million a year ago.
The group told the exchange that this was mainly due to higher maintenance costs and share of losses from its associates and joint ventures, offset by lower forex losses and lower finance costs, following the redemption of the unrated Junior Sukuk Musharakah.
Revenue slipped slightly to RM1.34 billion from RM1.35 billion in 1QFY15, following lower revenue from Port Dickson Power Bhd as its power purchase agreement (PPA) expired on Jan 21, while the PPA extension period started on March 1, offset by revenue contribution by Tanjung Bin Energy Sdn Bhd.
TH Plantations Bhd slipped into the red to the tune of RM7.15 million for the first quarter ended March 31, 2016 (1QFY16). In comparison, it reported a net profit of RM6.58 million in 1QFY15.
The group told Bursa Malaysia the loss was due to lower oil palm production on the back of dry weather brought on by the El Nino phenomenon, lower fair value recognition of forestry assets and a foreign currency translation loss from its Indonesian assets.
This was despite the group's revenue for the period increasing 8.77% to RM89.52 million from RM82.3 million.
British American Tobacco (Malaysia) Bhd (BAT) has appointed its North Asia area director Erik Stoel to assume the managing director (MD) post, effective June 1.
Stoel, from the Netherlands, is to replace the group's former MD Stefano Clini who resigned on May 3 this year and will be returning to his home country Italy after concluding his international assignment here.
According to the bourse filing, Stoel held numerous top brand marketing positions in the conglomerate in Korea, Ukraine, Dubai (UAE), Hong Kong, Pakistan, the United Kingdom, Vietnam and Malaysia, over the past 20 years.
Landmarks Bhd's net loss widened to RM6.59 million from RM1.54 million in the first quarter ended March (1QFY16), due to expenses incurred in the course of business commencement and start-ups.
This is despite revenue for the quarter rising nearly 24% to RM23.92 million from RM19.3 million a year ago, attributed to performance of The Andaman, which recorded strong growth in operating results by RM2.52 million for the first three months of 2016.
Tanjung Offshore Bhd's net loss widen by 138.1% to RM4.69 million in the first quarter ended March (1QFY16) from RM1.97 million a year ago, on lower revenue from its engineering packages and higher cost of sale and expenses.
In a filing to the bourse today, Tanjung Offshore said its quarterly cost of sale went up 73.2% to RM11.14 million from a year ago, while its operating expenses expanded by 56.8% to RM5.48 million.
Revenue, however, increased by 47.3% to RM11.99 million in 1QFY16 from RM8.14 million, mostly on contributions from its Operational Reliability and Integrity Gauging of Instrument based Safeguards (ORIGInS) contract secured from Petroliam Nasional Bhd (Petronas) in September 2014.
Sunsuria Bhd has appointed Koong Wai Seng as its new chief executive officer (CEO), with effect from today.
In a filing with Bursa Malaysia today, Sunsuria said Koong, 49, who is currently the group's deputy CEO and executive director (ED) will be replacing Ho Hon Sang, who has resigned from the CEO's post to pursue other interests.
Ho, 59, will be undertaking the advisory role to the founder and executive chairman of Sunsuria, Datuk Ter Leong Yap.
Sunsuria also announced today that its net profit for the second quarter ended March 31, 2016 (2QFY16) more than doubled to RM3.15 million from RM1.47 million a year ago, due to a disposal gain.
Revenue also more than doubled to RM38.82 million from RM17.07 million a year earlier as both its property and manufacturing segments posted better results compared to last year, the group said in a filing today.
Rubberex Corp (M) Bhd's net profit grew 28.9% to RM3.6 million in its first quarter ended March 31, 2016 (1QFY16) from RM2.8 million last year, due to overall improvement in product mix and better production efficiencies.
The group told the bourse that favourable foreign exchange rates of the group's trading currencies such as the US dollar and euro contributed to the improved results.
Revenue came in 5.3% higher at RM74.5 million in 1QFY16 compared with RM70.7 million a year ago, it said.
Rubberex also declared a first interim single tiered dividend of 1.5 sen per share of 50 sen each for the financial year ending Dec 31, 2016 (FY16), payable on July 28. The entitlement date falls on July 1.
The Store Corp Bhd's net profit for the second quarter ended March 31, 2016 (2QFY16) fell 48.3% to RM4.24 million from RM8.13 million a year earlier due to lower sales.
Its revenue for the quarter was 18.4% lower at RM386.78 million versus RM474.07 million in 2QFY15, dragged down by weak consumer sentiments, weakening ringgit as well as implementation of the goods and services tax and increasing cost of living.
For the six-month period (1HFY16), its net profit was 46.33% lower at RM7.39 million as compared to RM13.77 million in 1HFY15 due to the same reason.
Revenue retreated by 14.7% to RM745.47 million from RM874.43 million a year earlier.
EG Industries Bhd has clinched a two-year contract worth US$36 million (RM146 million) from Swedish-based Shortcut Labs AB to be the sole manufacturer of a wireless smart button, known as Flic.
EG Industries group CEO and ED Alex Kang said in a statement the contract has opened prospects for the group to support the fast-growing adoption of smart interconnecting devices, apart from affirming its proposition as a one-stop manufacturing partner.
Chemical Company of Malaysia Bhd (CCM) slipped into the red after posting a net loss of RM250,000 for its first quarter ended March 31, 2016 (1QFY16) compared to a net profit of RM3.95 million in 1QFY15.
This was dragged by lower revenue and trading margins, and higher loss from its discontinued fertiliser division.
The group said in a bourse filing today that it registered a revenue of RM151.5 million for 1QFY16, which is 7.1% lower compared to RM163.1 million a year ago.
Ho Hup Construction Company Bhd is revising its growth in profit after tax (PAT) downwards to between 15% and 20% in financial year ending Dec 31, 2016 (FY16), in view of the slowdown in the property market.
Ho Hup initially targeted an increase of 20% to 25% in PAT in FY16.
Ho Hup CEO Datuk Derek KL Wong said after the company's annual general meeting today, the group is readjusting the timing of property launches, and the management is cautious given the slowdown in the property market.
The group also told the bourse today that its net profit for the first quarter ended March 31, 2016 (1QFY16) dropped 5.04% to RM19.08 million from RM20.09 million a year ago, due to additional financing cost incurred for corporate acquisitions as well as cost for funding new project developments.
Revenue dropped 7.83% to RM81.08 million from RM87.96 million, due to no progress billings for the quarter pertaining to the joint development agreement with Pioneer Haven Sdn Bhd, in relation to the joint venture in Bukit Jalil City and Tower C joint venture with Gemilang Eramaju Sdn Bhd.
Genting Plantation Bhd's net profit slumped 48.75% to RM26.99 million in the first quarter ended March 31, 2016 (1QFY16) from RM52.66 million a year ago, due to lower contributions from Malaysia's plantation and property businesses.
According to the group's announcement to the bourse, the group's revenue fell 19.58% to RM260.87 million from RM324.4 million in 1QFY15.
The group also noted its profit before tax in Plantation-Malaysia fell 28% to RM49.1 million, while property, slumped 62% to RM11.4 million.
Pos Malaysia Bhd's net profit for its fourth quarter ended March 31, 2016 (4QFY16) fell 27.89% to RM14.35 million from RM19.9 million a year ago, mainly on higher transportation cost for its transhipment business, and higher recognition of expired postal order in the previous year's corresponding quarter.
Quarterly revenue, however, rose 9.63% to RM433.64 million from RM395.54 million in 4QFY15.
For the full year (FY16), Pos Malaysia's net profit halved to RM63.09 million from RM127.05 million, as profitability was affected by higher staff and transportation costs.
Revenue, meanwhile, grew 14.95% to RM1.72 billion from RM1.49 billion, due to strong growth in its international and courier business.
PRG Holdings Bhd posted a net profit of RM1.57 million or 1.07 sen per share for the first quarter ended March 31, 2016 (1QYF16) driven by the profit recognition from Picasso Residence and progress billings on the progress of works from the construction contract in Ipoh.
It had recorded a net loss of RM361,000 or 0.25 sen per share for 1QFY15.
Revenue rose 15.7% to RM31.02 million from RM26.82 million a year.
Axis Real Estate Investment Trust (REIT) has proposed to acquire a warehouse facility in Pasir Gudang, Johor, for RM33 million cash. This will increase the total assets under the trust's management to RM2.19 billion.
In a filing with Bursa Malaysia today, Axis REIT Managers Sdn Bhd, the manager of the trust, said the trust will be acquiring the facility in the Pasir Gudang Industrial Area from Orientant Int Sdn Bhd.
The property, located within Iskandar Malaysia, is a parcel of 2.51 acres of industrial land together with a single-storey warehouse building and other ancillary buildings erected on it.
Progressive Impact Corp Bhd sank into the red with a net loss of RM2.79 million in its first quarter ended March 31, 2016 (1QFY16) from a net profit of RM2.49 million a year earlier, mainly due to loss incurred by Saudi operations and foreign exchange loss from its subsidiaries.
This marked the second consecutive quarter it sank into the red. In the immediate preceding quarter, it registered a net loss of RM9.7 million on revenue of RM21.55 million.
According to its bourse filing, its revenue for the quarter rose marginally by 0.65% to RM20.05 million from RM19.92 million a year earlier.
Paramjit Singh Gill, a major shareholder of Multi Sports Holdings Ltd, has requisitioned an extraordinary general meeting to seek the appointment of five individuals to the company's board.
The shoe sole maker said in a filing with Bursa Malaysia that Paramjit claimed he is the beneficial owner of not less than 10% of the paid-up capital of the company held through JF Apex Nominees (Tempatan) Sdn Bhd.
He is seeking the appointment of Kasinathan Tulasi, Naren Anand Gill, Clarence Yeow Kong Chew, Cheh Chee Mun and Guan Swee Kee as directors of the company.
Reach Energy Bhd planned to raise up to RM180 million via placement of new shares, to facilitate its qualifying acquisition (QA).
In a bourse filing today, the company said it will issue up to 305.08 million new shares for the placement to raise the said amount, supposing 25% of its shareholders vote against the QA.
The issue price will be fixed at a discount of not more than 15% to the five-day volume weighted average market price (VWAMP) of its shares immediately preceding the price-fixing date, but shall not be lower than the par value of one sen per share.
Reach Energy planned to acquire a 60% stake in Palaeontolol Cooperatief UA's wholly-owned unit based in the Netherlands, Palaeontolol BV, for US$154.9 million as its QA. Palaeontolol owns the Emir-Oil fields in Kazakhstan.
Companies in the news - UMW O&G, Lafarge, JCY, Malakoff, TH Plantations, BAT, Landmarks, Tanjung Offshore, Sunsuria, Rubberex, The Store, EG Industries, CCM, Ho Hup, Genting Plantations, Pos Malaysia, PRG, Axis REIT, Progressive Impact, Multi Sports and Reach Energy
http://www.theedgemarkets.com/my/article/umw-og-lafarge-jcy-malakoff-th-plantations-bat-landmarks-tanjung-offshore-sunsuria-rubberex
