AMMB, Top Glove, AAX, Sapura Energy, RHB, CIMB, HLB, Affin Bank, TNB, MAHB, FGV, Maxis, Hengyuan, MMC Corp, Serba Dinamik, Star Media Group and DNeX
KUALA LUMPUR (Feb 26): Based on corporate announcements and news flow today, companies in focus on Monday (March 1) may include AMMB Holdings Bhd, Top Glove Corp Bhd, AirAsia X Bhd, Sapura Energy Bhd, RHB Bank Bhd, CIMB Group Holdings Bhd, Hong Leong Bank Bhd, Affin Bank Bhd, Tenaga Nasional Bhd, Malaysia Airports Holdings Bhd, FGV Holdings Bhd, Maxis Bhd, Hengyuan Refining Co Bhd, MMC Corp Bhd, Serba Dinamik Holdings Bhd, Star Media Group Bhd and Dagang NeXchange Bhd.
AMMB Holdings Bhd has agreed to pay RM2.83 billion to the government as a global settlement on all outstanding claims and actions in relation to the AmBank Group's involvement in the 1Malaysia Development Bhd corruption scandal, announced the Ministry of Finance. The settlement amount is nearly 30% of AMMB's current market capitalisation of RM9.52 billion.
The banking group stressed that it has a sufficient buffer to absorb it. The board revealed that AMMB will make a provision of RM2.83 billion in the final quarter of the group's financial year 2021 (FY21) ending March 31, 2021. This will translate into a pro forma loss of 93.89 sen per share.
Consequently, AMMB will not be proposing any final dividend for FY21.
Top Glove Corp Bhd, which has spent RM1.4 billion on share buy-back exercises, is planning to float new shares in Hong Kong to raise up to RM7.7 billion. Of the total proceeds of RM7.77 billion, the bulk or RM4.61 billion will be used for expansion of production capacity and developing a data-driven manufacturing system.
Long-haul low-cost carrier AirAsia X Bhd (AAX) saw its net loss narrow to RM174.33 million for the fourth quarter of FY20 (4QFY20) ended Dec 31, 2020, from RM308.46 million in the previous three-month period ended Sept 30, 2020. Quarterly revenue, however, slipped 8.8% to RM54.65 million, from RM59.91 million. For the 12-month period ended Dec 31, 2020, it recorded a net loss of RM1.34 billion.
Sapura Energy Bhd has secured a new credit facility of up to RM700 million to finance working capital requirements, in light of the gradual recovery in the energy sector. Sapura Energy announced that it has signed an Islamic facilities agreement with Maybank Islamic Bhd, with a loan tenure of up to five years. It said the financing is in addition to working capital facilities of up to US$135 million secured from CIMB Bank Bhd in November 2019. This brings the combined value of the facilities from the two major banks to RM1.2 billion.
RHB Bank Bhd reported a net profit of RM438.63 million for the 4QFY20 ended Dec 31, 2020 or earnings per share of 10.94 sen, a 29% drop from RM621.01 million or 15.49 sen per share in the previous year. This brought its full-year net profit to RM2.03 billion for FY20, an 18% drop from RM2.48 billion a year ago. Quarterly revenue fell 10% to RM3.08 billion compared with RM3.42 billion a year ago, while annual revenue dropped 7% to RM12.59 billion against RM13.53 billion previously. The bank has proposed a final dividend of 7.65 sen per share subject to the dividend reinvestment plan, bringing the total dividend amount for FY20 to 17.65 sen per share, representing a 34.8% payout.
Meanwhile, RHB also announced that Tan Sri Azlan Mohd Zainol is resigning as the group's non-independent non-executive chairman effective Feb 28. The bank said Azlan, who joined the board of RHB Bank in 2005, will also be resigning from his post as chairman of RHB Investment Bank Bhd.
CIMB Group Holdings Bhd's net profit rose 10.56% to RM214.98 million in 4QFY20 ended Dec 31, 2020, from RM194.44 million in the preceding quarter. The group's revenue was up 5.63% to RM4.72 billion, from RM4.46 billion in 3QFY20. On a year-on-year basis, the group saw a near fourfold decline in net profit from RM846.64 million in 4QFY19, hit by the lower profit recorded in the consumer banking segment. Revenue rose marginally by 4% from RM4.52 billion. CIMB has declared an interim dividend of 4.81 sen, amounting to a total payout of RM477 million. For the full-year period, the group's net profit fell 74% to RM1.19 billion, from RM4.56 billion in FY19, due to elevated loan provisions arising from accounting adjustments incorporating macroeconomic factors and management overlay. Full-year revenue dropped slightly to RM17.19 billion, from RM17.8 billion.
Hong Leong Bank Bhd's (HLB) net profit for 2QFY21 ended Dec 31, 2020 slipped 4.42% to RM670.79 million, from RM701.81 million a year earlier, mainly due to higher allowances for impairment losses. The group's revenue, however, increased by 13.13% to RM1.4 billion from RM1.24 billion for 2QFY20. Consequently, earning per share (EPS) dipped to 32.77 sen from 34.29 sen a year ago. It also declared an interim single-tier dividend of 14.78 sen per share, payable on March 25, 2021. For the first half of FY21 ended Dec 31, 2020, net profit inched up 0.67% to RM1.4 billion from RM1.39 billion for the corresponding period in the previous year, while revenue rose by 12.08% to RM2.75 billion from RM2.45 billion.
Affin Bank Bhd has reported a net loss of RM9.36 million for 4QFY20 ended Dec 31, 2020, compared with a net profit of RM122.11 million a year ago, due to a higher allowance for impairment losses and operating expenses. This is the bank's first quarterly loss in more than 16 years when it reported a net loss of RM14.72 million for 2QFY03. Quarterly revenue was, however, up 28.6% to RM620.8 million from RM482.66 million in 4QFY19. The group declared a dividend of 3.5 sen per share. On a quarter-on-quarter basis, the bank's loss compared with a net profit of RM48.72 million in 3QFY20, while revenue was down 10.6% from RM694.2 million. For the full FY20, the bank's net profit fell 52.8% to RM230.32 million, from RM487.77 million in FY19, while revenue grew 18.3% to RM2.26 billion from RM1.91 billion.
Tenaga Nasional Bhd's (TNB) net profit for 4QFY20 ended Dec 31, 2020 surged to RM1.21 billion from RM653.3 million a year earlier, due mainly to a higher tax credit resulting from the claim of the reinvestment allowance incentive. The utility giant's quarterly revenue fell 15% to RM10.32 billion from RM12.18 billion due to lower sales of electricity. EPS rose to 21.27 sen from 11.49 sen. TNB declared a final single-tier dividend of 18 sen per share and a special single-tier dividend of 40 sen per share. For FY20, TNB said net profit declined to RM3.59 billion from RM4.53 billion a year ago, on the back of reduced revenue of RM43.98 billion versus RM50.94 billion.
Malaysia Airports Holdings Bhd (MAHB) slipped into the red in 4QFY20 ended Dec 31, 2020 when it posted a net loss of RM685.02 million, from a net profit of RM29.51 million a year ago, as Covid-19 battered passenger movements. The group's quarterly revenue fell 80.4% to RM263.64 million against RM1.34 billion a year ago on the back of travel restrictions imposed by Malaysia and other countries. Consequently, it posted losses per share of 42.16 sen compared with EPS of 0.91 sen previously. For the full FY20, the airport operator recorded a 64.2% lower revenue of RM1.87 billion compared with RM5.21 billion a year ago. It posted an annual net loss of RM1.11 billion compared with a net profit of RM537 million.
Plantation giant FGV Holdings Bhd saw its net profit for 4QFY20 ended Dec 31, 2020 soar by 87.9% year-on-year (y-o-y) to RM134.93 million from RM71.81 million for 4QFY19, driven by higher crude palm oil prices. Quarterly revenue was up 27.09% y-o-y at RM4.01 billion from RM3.15 billion a year prior. The planter also declared a dividend of three sen per share for 4QFY20. On a full-year basis, the group swung back into the black in FY20, posting a net profit of RM150.02 million from a net loss of RM246.17 million for FY19. Annual revenue increased by 6.2% y-o-y to RM14.08 billion from RM13.26 billion for the previous financial year.
Maxis Bhd's net profit for 4QFY20 ended Dec 31, 2020 (4QFY20) dipped 9.63% to RM319 million from RM353 million a year earlier. The telco stated that its latest quarterly net profit was down on a y-o-y basis following a lower service revenue. It declared a fourth interim dividend of five sen per share, payable on March 31. Maxis' quarterly revenue was also down by 12.7% at RM2.26 billion from RM2.59 billion a year prior. It noted that the decline was largely due to the temporary lack of international roaming income on account of Covid-19, but this was offset by growth seen in its enterprise and fibre businesses. On a quarter-on-quarter basis, the group's net profit declined by 12.6% from RM365 million, while quarterly revenue increased from RM2.21 billion. Full-year net profit came in 8.6% lower y-o-y at RM1.38 billion from RM1.51 billion, while revenue declined by 3.73% y-o-y to RM8.97 billion from RM9.31 billion.
Hengyuan Refining Co Bhd saw its net profit surge by nearly eightfold to RM171.52 million in its 4QFY20 ended Dec 31, 2020, from RM21.57 million in the previous year, thanks to higher average market prices of oil products. EPS, accordingly, jumped to 57.17 sen, from 7.19 sen. Quarterly revenue, however, was down 42% to RM1.82 billion, from RM3.15 billion in 4QFY19, no thanks to lower sales volume as a result of the Movement Control Order that was implemented since mid-March of last year. The group also declared an interim dividend of four sen per share, in respect of FY20, payable on April 15. For the full FY20, its net profit grew by over seven times to RM250.98 million, from RM34.98 million in the previous year, while revenue was 43.2% lower at RM7.18 billion, from RM12.64 billion.
MMC Corp Bhd's net profit soared 163% to RM179.13 million in 4QFY20 ended Dec 31, 2020 from RM68.07 million in the previous year. Quarterly revenue increased by 18.38% to RM1.3 billion from RM1.09 billion in 4QFY19. It said the higher profit was mainly due to higher container volume handled at Pelabuhan Tanjung Pelepas (PTP) and Northport (Malaysia) Bhd, a higher contribution from Klang Valley Mass Rapid Transit Sungai Buloh-Serdang-Putrajaya Line (KVMRT-SSP Line) upon completion of tunnelling works, sale of land at Senai Airport City (SAC) and lower operating expenses and finance costs across the group. These were offset by lower passenger and cargo volumes at Senai Airport, which was affected by the Conditional Movement Control Order imposed. For the full FY20, MMC Corp's net profit climbed 47% to RM375.3 million from RM255.17 million a year ago. However, annual revenue slipped 4.72% to RM4.5 billion from RM4.71 billion due to lower work progress from KVMRT-SSP Line, lower passenger and cargo volumes at Senai International Airport, and a lower volume handled at Penang Port Sdn Bhd, it said. These were partially offset by higher volume handled at PTP and Northport as well as sale of land at SAC.
Serba Dinamik Holdings Bhd's net profit for 4QFY20 ended Dec 31, 2020 jumped 43.47% to RM202.15 million, from RM140.88 million a year earlier. Revenue climbed 33.45% to RM1.82 billion from RM1.26 billion in 4QFY19. Serba Dinamik declared a fourth interim dividend of 1.65 sen per share, to be paid on March 31. This brought the total dividend payout for FY20 to 5.45 sen per share. For the full year, the group said net profit increased 27.2% to RM631.75 million, from RM496.64 million in FY19. Full-year revenue jumped 32.8% to RM6.01 billion, from RM4.53 billion.
Star Media Group Bhd has appointed Alex Yeow Wai Saw as its new chief executive officer (CEO) effective March 1. The group said Yeow will fill the position left vacant for nine months following the departure of former CEO Andreas Vogiatzakis on May 16 last year.
Dagang NeXchange Bhd (DNeX) has been slapped with a penalty of RM10.3 million for infringement against the Malaysia Competition Commission (MyCC). The group's wholly owned unit Dagang Net Technologies Sdn Bhd received a notice of finding of an infringement from MyCC pursuant to Section 40 of the Competition Act 2010, it said in a statement today.