KUALA LUMPUR (Nov 30): Based on corporate announcements and news flow today, companies that may be in focus on Thursday (Dec 1) could include: Iris Corp, TSH Resources, Affin Holdings Bhd, BIMB Holdings Bhd, KPJ Healthcare, APM Automotive Holdings, Silk Holdings, MWE Holdings, KUB, Malaysia Steel Works, My EG Services, Karyon Industries, Media Chinese International, Eversendai Corp, Cahya Mata Sarawak, Malaysian Resources and UEM Sunrise.
Iris Corp Bhd registered a net loss of RM21.3 million for its second quarter ended Sept 30, 2016 (2QFY17), compared with a net profit of RM4.8 million registered in last year’s corresponding period, due to a steep drop in gross profit.
Revenue for the quarter dropped by 31.4% to RM87.9 million, from RM128.1 million a year ago.
For the cumulative nine-month period (9MFY16), the group suffered a net loss of RM25.24 million, versus a net profit of RM5.5 million seen in last year’s corresponding period, while revenue for the period saw a 26.1% drop to RM 167.7 million compared with RM 226.8 million a year ago.
TSH Resources Bhd plans to privatise its 67.46%-owned subsidiary Ekowood International Bhd at 40 sen a share to restructure the loss-making unit.
Oil palm plantation entity TSH said in its letter to Ekowood today that TSH planned to privatise the wood flooring manufacturer via a share exchange scheme. Under the scheme, Ekowood shareholders will transfer their shares to TSH in exchange for new TSH shares at RM1.92 each.
TSH already owns 113.32 million shares or a 67.46% stake in Ekowood. Persons acting in concert with TSH collectively hold 10.81 million shares or a 6.44% stake in Ekowood.
TSH said the proposed privatisation of Ekowood is "to improve its financial performance".
Affin Holdings Bhd’s net profit rose 36.36% to RM139.65 million in the third quarter ended Sept 30, 2016 (3QFY16) from RM102.39 million a year ago, on higher Islamic banking income, higher other operating income and lower allowance for impairment losses.
Revenue for the quarter rose 9.7% to RM504.4 million, from RM459.79 million a year ago (3QFY15).
In a separate filing, Affin Holdings proposed a single-tier interim dividend of three sen per share for FY16, payable on Dec 29. The ex-date and entitlement date fall on Dec 14 and Dec 16 respectively.
For the cumulative nine months (9MFY16), its net profit rose 44.42% to RM392.61 million, from RM271.86 million a year ago (9MFY15) while revenue for the 9MFY16 period climbed 5.22% to RM1.41 billion, from RM1.34 billion.
Affin Holdings said the Malaysian life insurance industry continued to grow at a moderate rate.
BIMB Holdings Bhd’s net profit rose 17% to RM140.61 million for the third financial quarter ended Sept 30, 2016 (3QFY16) from RM119.82 million a year earlier, on improved contributions from its Islamic banking arm and takaful business.
Revenue came in 10% higher at RM881.39 million from RM802.56 million in the previous year.
For the cumulative nine months, net profit rose 9% to RM419.57 million from RM385.41 million a year earlier, as revenue climbed 10% to RM2.67 billion from RM2.43 billion.
BIMB’s Islamic banking segment — operated by Bank Islam group — saw a 9% year-on-year rise in net profit to RM396.7 million for the period.
Its takaful business — under Syarikat Takaful Malaysia Bhd – saw a 10% rise in revenue to RM1.52 billion from RM1.39 billion in the previous year, due to higher sales by both family and general takaful businesses.
KPJ Healthcare Bhd's net profit dropped by 15% in its third quarter ended Sept 30, 2016 (3QFY16) to RM32.5 million from RM38.16 million a year ago due to higher depreciation and finance costs from newly opened hospitals.
Revenue, however, was up 6% at RM767.04 million from RM721.84 million, its Bursa Malaysia filing today showed.
KPJ also declared an interim dividend of 1.5 sen for FY16, payable on Jan 11, which would bring its cumulative payout year-to-date to 5.05 sen compared with 6.1 sen last year.
For the cumulative nine months (9MFY16), the company's net profit was RM97 million, down 10% from RM108.05 million a year ago, though revenue gained 6% to RM2.28 billion from RM2.15 billion.
APM Automotive Holdings Bhd's net profit increased 80.88% to RM17.46 million or 8.92 sen a share in its third quarter ended Sept 30, 2016 (3QFY16) from RM9.65 million or 4.93 sen a share a year ago, due to higher sales volume and improved gross profit margin.
Its revenue also grew 22.46% to RM313.29 million in 3QFY16 from RM255.84 million a year ago, on higher sales volume and improved gross profit margin due to price adjustments for foreign currency fluctuation by original equipment manufacturers (OEM) customers.
For the cumulative nine-month period ended Sept 30, 2016 (9MFY16), its net profit was down 27.53% to RM33.18 million, against RM45.78 million in the same period last year, though revenue gained 1.83% to RM895.92 million from RM879.86 million.
Silk Holdings Bhd has bagged a RM27.8 million contract to provide an anchor handling tug supply vessel to support a high-pressure high-temperature (HPHT) jack-up drilling rig.
In a filing with Bursa Malaysia today, Silk Holdings said its subsidiary Jasa Merin (M) Sdn Bhd was awarded the contract by Hess Exploration and Production Malaysia BV to support the latter's Malaysian operations.
The contract, which is commencing immediately, is for a primary duration of 18 months, with an option for Hess to extend for another 12 months.
MWE Holdings Bhd is jointly developing a mixed development estimated to have a gross development value of RM1.5 billion on nine plots of leasehold land owned by its indirect subsidiary Melati Mewah Sdn Bhd in Bukit Raja, Selangor, with a private developer.
It inked an agreement to effect the partnership with Pristine Primavera Sdn Bhd today, its bourse filing today showed.
The proposed project, which will have a mix of residential and commercial properties, will be solely funded by Pristine Primavera's internal funds and/or borrowings.
KUB Malaysia Bhd and Malaysia Steel Works (KL) Bhd (Masteel) have mutually agreed to terminate their joint-venture agreement for the proposed RM1.23 billion inter-city rail transit system project in Iskandar Malaysia, Johor.
The two companies announced the mutual termination in filings to Bursa Malaysia today without stating the reason for the termination.
KUB and Masteel had inked the agreement in January 2011 to establish Metropolitan Commuter Network Sdn Bhd, with KUB having a 40% stake and Masteel 60%, to build and operate the 100km inter-city rail transit system in Iskandar Malaysia.
My EG Services Bhd (MyEG) and its managing director Wong Thean Soon have been publicly reprimanded by Bursa Malaysia Securities Bhd for breaching listing requirements. The regulator fined Wong RM50,000.
According to Bursa, MyEG had at a CIMB conference on Jan 6, 2015, disclosed the government's decision for MyEG to implement the fully online renewal of foreign workers' permit from 2015 onwards, while the announcement on the matter was only made to the stock exchange on Jan 9 and 12, 2015.
It added that the disclosure made to Bursa also excluded the details of the deal's impact and implication on MyEG's financials, which was disclosed in MyEG's presentation to fund managers at the CIMB conference.
Karyon Industries Bhd said a fire incident had occurred at a third party premises located adjacent to one of the manufacturing facilities of its wholly-owned subsidiary Hsing Lung Sdn Bhd (HLSB) at Taman Perindustrian Sri Plentong, Johor.
In a filing with the exchange today, it said the incident on Sunday affected a small area of HLSB's factory, resulting in damage to its raw materials and finished products and the disruption of two PVC production lines.
The group said it is unable to finalise the financial impact to Karyon and its subsidiaries, but said the damage is adequately insured pending the insurance company's assessment.
Media Chinese International Ltd's net profit fell 32% in its second quarter of the financial year 2017 (FY17) on softer advertising spending amid weak consumer sentiments, which affected all its business segments.
Its net profit came in at RM21.3 million for the quarter ended Sept 30, 2016 (2QFY17) from RM31.5 million a year ago. Revenue was down 12% at RM353.4 million from RM402.4 million, its bourse filing today showed.
It is paying a first interim dividend of 0.36 US cents per share or 1.45 sen per share, which will go ex on Dec 13, and be payable on Dec 30.
For the cumulative first half (1HFY17), its net profit shrank 38% to RM42.1 million from RM68 million a year ago, as revenue slipped 15% to RM695.8 million from RM815.9 million on continued market weakness across all its business segments.
It expects the operating environment in 2HFY17 to "remain difficult and challenging" with the publishing and printing segment to see more intense competitive pressures, along with declining print advertising expenditures.
Weak consumer sentiments as well as safety concerns and cut-throat competition will also continue to affect the group’s travel business in the quarters ahead, it said.
Eversendai Corp Bhd achieved a historic RM2.7 billion order book as at the end of its third quarter ended Sept 30, 2016 (3QFY16).
It has secured RM1.8 billion worth of new contracts to date with the possibility of exceeding a RM2 billion threshold before the end of the year, the group said in a statement today.
About 39.4% of the order book came from the group's traditional stronghold in the Middle East region, 25.1% from South East Asia, 20.2% from India and the remaining 15.3% is from the oil and gas segment.
For 3QFY16, the group's net profit halved to RM7.28 million or 94 sen per share from RM14.58 million or 1.88 a share in 3QFY15 while revenue fell 21% to RM371.36 million from RM471.48 million, the group said in a Bursa Malaysia filing today.
Cahya Mata Sarawak Bhd's net profit dropped 11% to RM58.7 million in its third quarter ended Sept 30, 2016 (3QFY16), compared with RM65.5 million last year as revenue fell.
Revenue came in 14% lower at RM356.06 million from RM411.84 million a year ago, as the previous year recorded a revenue arrears reinstatement from routine maintenance works.
For its cumulative nine months (9MFY16), net profit fell 59% to RM67.7 million from RM163.6 million last year, as revenue slipped 14% to RM1.1 billion versus RM1.28 billion.
The substantially weaker earnings, it said, were due to its share of substantial losses in its associates and lower earnings from its cement and construction and road maintenance divisions.
However, Cahya Mata Sarawak said the group's core business remains resilient during the period, and it is confident the company would achieve an acceptable performance for the full year, evidenced by strong recovery profits in 3QFY16.
It closed down five sen or 1.38% at RM3.57 for a market capitalisation of RM3.8 billion.
Malaysian Resources Corp Bhd (MRCB) recorded a surge in its net profit of over four times to RM29.39 million for 1.49 sen per share in its third quarter ended Sept 30, 2016 (3QFY16) compared with RM5.64 million or 0.32 sen per share in the previous corresponding quarter.
Meanwhile, revenue for the quarter was up 47.36% to RM551.22 million, compared with RM374.06 million in the previous corresponding quarter (3QFY15), attributed to the group’s core operating activities, namely property development and investment, MRCB said in a statement released today.
However, the cumulative net profit for the nine months ended Sept 30, 2016 (9MFY16) fell to RM79.28 million, down 73.9% from RM303.6 million from the previous corresponding nine-month period (9MFY15).
According to MRCB, this was due to the RM278.5 million gain recorded from disposals of the group’s non-core assets in 2015.
Revenue was up 5% at RM1.376 billion, from RM1.31 billion.
UEM Sunrise Bhd reported a 23% decline in its net profit to RM36.33 million or 0.8 sen per share for the third quarter ended Sept 30, 2016, from RM47.74 million or 1.05 sen per share in the previous year’s corresponding quarter.
Revenue rose 19% to RM421.25 million from RM353.06 million, it said in a filing today.
The higher revenue, it said, was mainly due to revenue contribution from the progress made by its Residensi 22, Serene Heights and Australian projects.
Net profit for the cumulative nine months fell 49% to RM94.01 million from RM184.79 million in the previous year. Revenue climbed 7% to RM1.22 billion from RM1.14 billion.