KUALA LUMPUR (Sept 27): Based on corporate announcements and news flow today, companies that may be in focus on Thursday (Sept 28) could include: Astro Malaysia, Yinson, Wong Engineering, PRG Holdings, V.S. Industry, Glomac, Guan Chong and Goh Ban Huat.
Astro Malaysia Holdings Bhd said it faces "no financial or operational impact" from the termination of an agreement with MEASAT Satellites Systems Sdn Bhd (MSS) to supply transponder capacity for MEASAT-3c satellites to the latter.
Astro said the agreement — inked between its wholly-owned unit MEASAT Broadcast Network Systems Sdn Bhd (MBNS) and MSS in May 2013 — was terminated by MSS through a no-fault terminating event, and that no penalties are due under the events.
Under the agreement, MBNS was to utilise the transponder capacity of six Ku-band to MSS in tranches for a fee of US$166.4 million (RM497.5 million at the time). The agreement was for 15 years, beginning with the expected launch of M3c satellites in the third quarter of 2015.
"The satellites M3c did not launch by Nov 15, 2016," said Astro. "Following that, MSS had terminated its satellite agreements to procure M3c."
Yinson Holdings Bhd's net profit grew 38.5% year-on-year for its second quarter ended July 31, thanks to the chartering commencement of a floating production storage and offloading (FPSO) vessel John Agyekum Kufuor or JAK in Ghana under its marine business, and the stronger US dollar against the ringgit.
Net profit rose to RM83.6 million from RM60.36 million a year earlier, while revenue jumped 89.8% to RM217.23 million from RM114.45 million.
The group said the earnings improvement was mainly due to better profit contribution on higher recorded revenue from its marine business, and lower impairment loss on trade and other receivables of RM10.84 million.
Earnings per share stood at 7.68 sen, against 5.54 sen in the same quarter last year. The company declared a 4 sen interim dividend in respect of its FY18, payable on Dec 22.
Wong Engineering Corp Bhd's net profit jumped over 37 times year-on-year in its third quarter ended July 31, 2017, thanks to higher revenue and better operational efficiency.
Net profit for the quarter came in at RM3.05 million, compared with RM82,000 a year ago, while revenue grew 35% to RM11.86 million from RM8.79 million.
"The increase in revenue was driven by higher billings to key customers from the electrical and electronics industry, and profit before tax increased due to cost improvement attributed to better operational efficiency," the group said.
Earnings per share for 3QFY17 jumped to 3.33 sen from 0.09 sen previously.
PRG Holdings Bhd has teamed up with Syarikat Perumahan Negara Bhd (SPNB) to jointly develop RM5 billion worth of affordable housing projects.
PRG said the projects will be undertaken by newly-formed joint venture company Premier Aspirasi Development Sdn Bhd (PADSB), where SPNB Aspirasi Sdn Bhd, a unit of SPNB, will hold a 51% stake and PRG's wholly-owned unit Premier JPC Sdn Bhd, the remaining 49%.
PRG group managing director Datuk Lua Choon Hann said the definitive agreement is another meaningful step towards growing the company, and demonstrates its focus on diversifying its income stream.
"When we were planning our business strategies earlier this year, our highest priority was to reshape our portfolio to accelerate growth. This collaboration will drive transformation growth for PRG and value creation for our shareholders," Lua added.
V.S. Industry Bhd's net profit more than tripled to RM36.81 million in the fourth financial quarter ended July 31, 2017 (4QFY17), from RM10.94 million a year ago, on higher sales orders from existing key customers.
Earnings per share rose to 3.08 sen in 4QFY17, from 0.94 sen in 4QFY16.
Quarterly revenue jumped 77.4% to RM983.39 million, from RM554.2 million a year ago.
The group declared a fourth interim dividend of one sen per share for FY17, payable on Oct 27. It also proposed a final dividend of another one sen, bringing total dividend for the year to 5.9 sen, compared with 4.7 sen in FY16.
For the full year FY17, it posted another year of record net profit and revenue.
Net profit rose 32.6% to RM156.32 million in FY17, from RM117.93 million the previous year, while revenue grew 50.8% to RM3.28 billion, from RM2.18 billion in FY16.
Glomac Bhd posted a 97.5% decline in net profit to RM2.1 million for its first quarter ended July 31, 2017 (1QFY18) compared with RM85.54 million a year ago, as revenue fell on the absence of a one-off land sale gain, which was recorded in the previous year's corresponding quarter.
Revenue came in 61.2% lower year-on-year at RM97.49 million, against RM251.42 million previously.
In the year-ago quarter, Glomac completed the disposal of some 16.9082ha of freehold land in Cheras, Selangor, to Perbadanan PR1MA Malaysia for RM145.6 million, from which it made a gain of RM83.6 million.
The group said the 'more measured pace' of launches over the past two years had also partly contributed to the softer earnings performance in 1QFY18.
Guan Chong Bhd has won the bid to acquire the assets of two companies for US$8.39 million (RM35.43 million) in a sale authorised by a bankruptcy court in New York.
Guan Chong said its indirect unit Carlyle Cocoa Co LLC has inked an agreement with Cocoa Services LLC and Morgan Drive Associates LLC to acquire their assets.
The assets comprise a fully-furnished building with its inventories in New Jersey, a butter melting plant, a butter deodoriser plant and a liquor melting plant, all intellectual property assets owned by the sellers as well as other inventories, including finished goods and work-in-progress.
"The purchase price for the asset acquisition will be funded via a combination of 40% internally generated funds and 60% banking facilities," said Guan Chong in a stock exchange filing, adding that the acquisition is expected to be finalised in the fourth quarter.
Shareholders of Goh Ban Huat Bhd have received a mandatory takeover offer from Paragon Adventure Sdn Bhd (PASB) at RM1.40 per share, a 2.1% discount to its last traded price of RM1.43.
GBH said the takeover offer included GBH warrants not held by PASB, at 40 sen apiece — a 13% or 6 sen discount to its last traded price — having considered its exercise price of RM1 per warrant.
The offer came after PASB emerged as a 51% shareholder of GBH today. It bought the equity stake from Tan Sri Datuk Tan Hua Chun, together with 51% of the total outstanding GBH warrants as well.
PASB intends to keep the listing status of GBH. It said the takeover price of RM1.40 was made after taking consideration, among others, GBH shares' volume-weighted average market price of between RM1.35 and RM1.41 over the past six months.