KUALA LUMPUR (Aug 18): Based on corporate news flow and announcements today, stocks that could be in focus tomorrow include Bonia Corp Bhd, Can-One Bhd, Dialog Group Bhd, Focus Dynamics Group Bhd, Inari Amertron Bhd, Malakoff Corp Bhd, Press Metal Aluminium Holdings Bhd, Sarawak Consolidated Industries Bhd, Sunway Construction Group Bhd, and VS Industry Bhd.
Bonia Corp Bhd is buying two parcels of land in Bukit Bintang for RM49.35 million cash, in anticipation of capital appreciation and rental income from the assets.
One parcel is occupied by One Seafood Restaurant, in which Bonia's 30%-owned unit Paris RCG Sdn Bhd holds a stake. Bonia, known for its apparel brand, also has a property division.
Can-One Bhd has agreed to sell the entire stake in sweetened creamer and evaporated creamer manufacturer F&B Nutrition Sdn Bhd to Asia Dairy Creations Sdn Bhd for RM1 billion — equivalent to the maximum price under the sale and purchase agreement inked in June 2019.
The disposal of F&B Nutrition allows it to unlock the value and monetise its investment in F&B Nutrition and recognise a gain on disposal of RM810.8 million. It plans to utilise the gross proceeds from the sale to pare down its bank borrowings.
Dialog Group Bhd's net profit for the fourth quarter ended June 30, 2020 grew 11.3% to RM156.68 million from RM140.71 million a year earlier, mainly due to the strong performances of its Malaysian operations.
Revenue rose 20.2% to RM539.94 million from RM449.34 million. The tank terminal operator recommended a final dividend of 1.9 sen per share for the financial year 2020 (FY20) ended June 30, 2020, bringing its total dividend payout for the year to 3.1 sen per share — as opposed to 3.8 sen for FY19.
For the full FY20, its net profit stood at RM630.36 million, up 17.6% from RM535.84 million, though revenue slipped 3.5% to RM2.3 billion from RM2.39 billion.
Focus Dynamics Group Bhd, whose share price has risen by over 300% this year, has proposed a one-for-three share split together with a rights issue of two irredeemable convertible preference shares for every six split shares held — together with free warrants.
The group seeks to raise up to RM102.21 million from the rights issue, which will be used to part-fund Focus Dynamics' mixed-development project "The Arch" — located along Jalan Tun Razak near nightlife centre TREC.
Inari Amertron Bhd is forming a 51:49 joint venture (JV) in Malaysia with Singapore's MIT Semiconductor Pte Ltd to undertake the supply of customised semiconductor process tools.
The JV, said Inari, will tap into MIT's expertise and technical know-how in providing semiconductor manufacturing solutions customised to Inari Group's OSAT and/or EMS requirements. Inari, meanwhile, has the opportunity to venture into the segment as part of its diversification efforts.
Malakoff Corp Bhd's net profit for its second quarter ended June 30, 2020 doubled to RM104.96 million from RM52.25 million a year earlier, as earnings from Alam Flora Sdn Bhd came on stream, added with a higher contribution from its Tanjung Bin power plant.
The group declared a dividend of 2.8 sen per share — up from 2.44 sen — payable on Oct 16.
Revenue, meanwhile, declined 17.01% to RM1.51 billion from RM1.81 billion, due to lower energy payments from Tanjung Bin Power Sdn Bhd and Segari Energy Ventures Sdn Bhd following coal price declines and lower despatch factor.
For the six-month period ended June 30, 2020, net profit rose 62.79% to RM194.14 million, from RM119.25 million previously. Half-year revenue declined 14.18% to RM3.28 billion from RM3.82 billion previously.
Press Metal Aluminium Holdings Bhd's net profit fell 12.46% for the second quarter ended June 30, 2020 to RM90.07 million, from RM102.89 million a year earlier, on higher tax and as it contended with the impact of the Covid-19 pandemic.
Revenue, meanwhile, fell to RM1.73 billion, from RM2.13 billion, mainly on lower realised aluminium prices. It declared a dividend of one sen per share for the quarter, down from 1.25 sen.
For the six months ended June 30, 2020, Press Metal's cumulative net profit fell to RM192.63 million from RM217.99 million a year earlier while revenue declined to RM3.56 billion from RM4.3 billion.
Sarawak Consolidated Industries Bhd has bagged three engineering, procurement, construction and commissioning contracts worth a combined RM707.24 million in Abu Dhabi, Malaysia and Indonesia.
Two of the three jobs came from subsidiaries of Serba Dinamik Holdings Bhd and are considered recurrent related-party transactions as Serba Dinamik's group managing director cum chief executive officer and major shareholder Datuk Dr Mohd Abdul Karim Abdullah is also Sarawak Consolidated's chairman and major shareholder.
Sunway Construction Group Bhd's (SunCon) net profit for the second quarter of FY20 (2QFY20) ended June 30, 2020 fell to RM2.19 million, from RM16.35 million in the immediate preceding quarter, as it faced the brunt of the Movement Control Order.
Year-on-year, SunCon's net profit slumped 93.39% from RM33.19 million in 2QFY19 on margin squeeze and as revenue fell 68.15% to RM140.18 million from RM440.18 million. SunCon declared a dividend of 1.25 sen per share — down from 3.5 sen last year — payable on Sept 24.
For the six-month period ended June 30, 2020, SunCon's net profit slumped 71.12% to RM18.54 million, from RM64.2 million a year earlier, as revenue dropped 42.51% to RM506.01 million from RM880.21 million.
VS Industry Bhd said it has signed an agreement with Victory Innovations Company Inc to manufacture and supply cordless electrostatic sprayers on a box-built basis.
VS Industry's unit Guardian Southeast Asia Pte Ltd will provide manufacturing, supply chain and logistic services to Victory in accordance with the specifications and purchase orders. However, no contract volume or amount was specified.