Sime Darby Plantation, Tri-Mode, S P Setia, Widad, AirAsia, KLK, Batu Kawan, Samchem, Berjaya Food, Kelington, Grand Hoover, Tomei, Kawan Food, Central Global, Komarkcorp and Tasco
KUALA LUMPUR (Aug 18): Based on corporate announcements and news flow today, companies that may be in focus tomorrow (Aug 19) include: Sime Darby Plantation Bhd, Tri-Mode System (M) Bhd, S P Setia Bhd, Widad Group Bhd, AirAsia Group Bhd, Kuala Lumpur Kepong Bhd, Batu Kawan Bhd, Samchem Holdings Bhd, Berjaya Food Bhd, Kelington Group Bhd, Grand Hoover Bhd, Tomei Consolidated Bhd, Kawan Food Bhd, Central Global Bhd, Komarkcorp Bhd and Tasco Bhd.
Sime Darby Plantation Bhd’s net profit for the second quarter ended June 30, 2021, jumped 63.2% to RM617 million from RM378 million a year ago, on the back of its revenue growing 37.2% to RM4.41 billion from RM3.22 billion in the previous corresponding quarter. The higher earnings were attributed to the sharp rise in crude palm oil prices, and palm kernel prices, on top of the increase in fresh fruit bunch production.
Tri-Mode System (M) Bhd has inked an agreement with Pulau Indah Industrial Park (PIIP) master developer Central Spectrum (M) Sdn Bhd for the purchase of 5.38 acres of industrial land in PIIP Phase 3, with an investment cost of RM17 million. The land will be used to construct a new Class A warehouse and distribution hub with a built-up area of approximately 150,000 sq ft with a total investment value of RM42 million.
S P Setia Bhd announced a net profit of RM74.81 million in the second quarter ended June 30, 2021, supported by a profitable property division and absence of impairment of completed inventories, a marked improvement compared with the net loss of RM134.34 million in the corresponding quarter last year. Quarterly revenue more than tripled to RM1.08 billion from RM331.33 million, as property development contributions jumped.
Widad Group Bhd has announced that its wholly-owned subsidiary Widad Builders Sdn Bhd has secured an RM53.2 million contract from the Public Works Department for the construction of a new school and other facilities at SMK Bukit Mahkota in Bangi, Hulu Langat.
AirAsia Group Bhd’s logistics outfit Teleport is acquiring a 100% stake in e-commerce platform Delivereat for US$9.8 million (RM41.52 million) in both cash and Teleport shares, as part of its expansion in the online delivery space. The acquisition will see Delivereat come under Teleport’s umbrella by the end of September.
Kuala Lumpur Kepong Bhd (KLK)’s net profit for the third quarter ended June 30, 2021, more than doubled to RM783.94 million from RM368.7 million a year earlier, mainly due to a fair value surplus on the deemed disposal of an associate company. Quarterly revenue rose 39.38% to RM5.17 billion from RM3.71 billion, underpinned by the plantation segment.
Batu Kawan Bhd’s net profit for the third quarter ended June 30, 2021 soared 81.73% to RM386.46 million, from RM212.65 million a year earlier, on higher revenue by its business segments. Quarterly revenue jumped 41.24% to RM5.4 billion from RM3.82 billion the corresponding quarter a year earlier.
Integrated chemicals and lubricants distributor Samchem Holdings Bhd’s net profit jumped 119.56% to a record high of RM19.24 million for the second quarter ended June 30, 2021 from RM8.76 million a year ago, on the back of improved profit margins and a reduction in finance costs. Quarterly revenue rose 84.77% to RM371.56 million from RM201.09 achieved a year earlier, thanks to higher sales volume in the Malaysia, Vietnam and Singapore markets, with higher average selling prices of chemicals.
Berjaya Food Bhd booked a net profit of RM14.27 million in the fourth quarter ended June 30, 2021, versus a net loss of RM30.16 million a year earlier, as it managed the impact of the latest Covid-19 lockdowns, undertook cost management and recognised the income upon termination of the old Starbucks reward programme. Quarterly revenue rose 61.98% to RM180.72 million from RM111.57 million a year earlier.
Engineering solutions provider Kelington Group Bhd has secured a contract worth approximately RM45 million to undertake specialty gas systems distribution (Ultra High Purity) works for GlobalFoundaries Inc’s new semiconductor fabrication plant in Singapore.
Grand Hoover Bhd’s wholly-owned subsidiary, Pembinaan Att Sdn Bhd, has been appointed by R.M.E. Sdn Bhd as the main contractor for an RM69.88 million construction project in Terengganu. According to the letter of award, the works shall commence on Aug 19, 2021, and to be completed by Aug 18, 2024.
Tomei Consolidated Bhd’s net profit for the second quarter ended June 30, 2021, fell 28.24% to RM1.36 million from RM1.89 million in the corresponding quarter last year, as gross profit fell amid the increase in carrying cost due to higher gold prices last year. Quarterly revenue, however, almost doubled to RM146.64 million from RM76.13 million a year before, mainly due to an increase in sales volume in both its retail and manufacturing and wholesale segments.
Kawan Food Bhd’s net profit fell 29.02% to RM6.28 million for the second quarter ended June 30, 2021, from RM8.85 million a year earlier, due to lower output as it was only allowed to operate at 60% capacity under the Full Movement Control Order. Quarterly revenue declined 30.63% to RM55.03 million, from RM79.33 million, which the group attributed to the restricted production capacity, coupled with shortage of containers, deferment of shipment in export sales and temporary two-week suspension of operations arising from Covid-19 infected cases.
Central Global Bhd has opted to downsize its proposed two-for-one bonus issue to just one bonus share for every share held, which entails an issue of up to 108 million bonus shares from the 216 million proposed previously. As such, a subsequent proposal for issuance of free warrants is also downsized to a cap of 108 million warrants, from 162 million previously.
Komarkcorp Bhd, after completing two rounds of private placement to fund its face mask business venture, now plans to raise up to RM81.78 million through a rights issue, which entails the issuance of up to 817.82 million rights shares and up to 272.61 million free detachable warrants, on the basis of three rights shares and one warrant for every three shares held. The rights issue with warrants is expected to be completed by the fourth quarter of this year.
Logistics solutions provider Tasco Bhd has been certified as an authorised economic operator by the Royal Malaysian Customs Department, which enables it to offer a number of benefits to its selected customers, which include priority customs clearance both at origin and destination, lower rate of physical inspections of imported or exported goods, faster release of shipments, deferred payment of duties, as well as enhanced security and improved risk mitigation.