KUALA LUMPUR (June 17): Based on corporate announcements and news flow today, stocks in focus on Wednesday (June 18) may include: MSM Malaysia Holdings Bhd, Eversendai Corp Bhd, Sarawak Consolidated Industries Bhd (SCIB), Genting Malaysia Bhd (GENM), Duopharma Biotech Bhd, MRCB-Quill Real Estate Investment Trust (MQREIT) and TRC Synergy Bhd.
MSM Malaysia Holdings Bhd aims to make its financial year ending Dec 31, 2020 (FY20) a profitable one, helped by improved efficiency and higher utilisation rate at its Johor plant under MSM Sugar Refinery (Johor) Sdn Bhd.
Its group chief executive officer Datuk Khairil Anuar Aziz said the country's largest refined sugar producer aims to maximise the potential of its Johor operations, which involve aggressive product diversification into premix and liquid sugar, besides fine syrup, to cater to industrial demand across Asia.
Eversendai Corp Bhd is proposing to issue 390.55 million new free warrants on the basis of one warrant for every two existing ordinary shares. The price of the initial three-year warrant exercise has been fixed at 32 sen per warrant.
From the third anniversary date up to one market day prior to the fourth anniversary date, the 1st step-up warrant exercise price has been fixed at 38 sen per warrant. From the 4th anniversary date up to the maturity date of the warrants, the 2nd step-up warrant exercise price has been fixed at 45 sen per warrant. The entitlement date will be determined and announced during the company’s upcoming annual general meeting.
Sarawak Consolidated Industries Bhd (SCIB), whose first quarter net profit jumped by nearly 170%, has announced a dividend policy of at least 30% of profit for each financial year. It said the dividend policy will exclude any unrealised income from adjustments due to accounting policies that are non-cash in nature.
SCIB reported a net profit of RM4.28 million for the first quarter ended March 31, 2020, compared with RM1.59 million a year earlier, mainly on the back of a sharply higher revenue. The quarterly revenue swelled 198% to RM51.78 million from RM17.44 million previously, boosted by construction contract revenue generated locally and abroad.
Genting Malaysia Bhd (GENM) is cutting 3,000 jobs, according to people familiar with the matter. The dismissals have already started, said the people, who asked not to be named as the matter is private. The company, which had more than 20,000 employees in 2019, had offered pay cuts earlier this year as part of the first group-wide salary cut since conglomerate Genting Bhd was founded in 1965.
Separately, GENM said its hilltop casino will resume operations this Friday (June 19), after being shut for three months since March 18 due to the Movement Control Order. The group’s Resorts World Genting will reopen at 10am on Friday, with enhanced safety measures in place to ensure the health and safety of all its guests and employees.
Duopharma Biotech Bhd said its strategies moving forward include expanding its consumer healthcare (CHC) product portfolio and diversifying into high-value biologicals and niche products. Its managing director Leonard Ariff Abdul Shatar said the CHC business had contributed greatly to the group’s overall strong results.
According to him, the sector’s strong performance was largely driven by the group’s Flavettes Effervescent vitamin C product, which had rapidly become the bestseller among immune-boosting products. Leonard Ariff said the group is also well into expanding its CHC product offering.
MRCB-Quill Real Estate Investment Trust's (MQREIT) net property income for 1QFY20 climbed 1.29% to RM32.8 million, from RM32.38 million last year, thanks to higher revenue generated from Menara Shell, Wisma Technip and Tesco. The REIT, which has exposure to both the commercial and retail segments, also noted a 0.85% increase in property operating expenses to RM9.42 million, from RM9.34 million.
The higher earnings was recorded on the back of a 1.19% increase in quarterly revenue to RM42.22 million, from RM41.72 million, on higher contributions from the three assets mentioned above. On prospects, MQREIT said 19% of its total net lettable area, or some 371,000 sq ft, is due for renewal this year.
TRC Synergy Bhd has secured a subcontract worth RM113.99 million to build Sungai Buloh-Serdang-Putrajaya Mass Rapid Transit Line 2 (MRT2 SSP) elevated stations. In a bourse filing, TRC Synergy said its unit Trans Resources Corp Sdn Bhd accepted the contract award yesterday (June 16).