KUALA LUMPUR (Oct 28): Based on corporate announcements and news flow today, stocks in focus on Monday (Oct 31) may include: Perstima, Ikhmas Jaya, Sinotop, TMC Life Sciences and APM Automotive, Petrol One, and Affin.
Perusahaan Sadur Timah Malaysia (Perstima) Bhd’s net profit slipped 6% to RM13.25 million in the second quarter ended Sept 30, 2016 (2QFY17), from RM14.08 million a year ago, due to lower profit margin.
Revenue was 13% higher at RM199.36 million from RM176.81 million a year earlier, thanks to higher sales volume despite lower selling price. The group also announced an interim single-tier dividend of 20 sen per share, to be paid out on Dec 8.
For the half-year period ended Sept 30 (1HFY17), net profit rose to RM25.04 million, up 7% from RM23.39 million in 1HFY16, while revenue gained 12% from RM335.16 million to RM375.65 million.
Lembaga Tabung Haji (LTH) has emerged as a substantial shareholder in piling and engineering specialist Ikhmas Jaya Group Bhd, after purchasing 26.9 million shares or 5.17% stake in the company.
LTH bought the stake via direct transaction on Oct 25. This means LTH is now the second largest shareholder of Ikhmas Jaya, after Ikhmas Jaya Holdings Sdn Bhd, which holds a 65% stake with 338 million shares.
Sinotop Holdings Bhd has appointed Datuk Justin Soo Sze Ching as executive director today after he became a substantial shareholder in the fabric manufacturer.
Sinotop said Soo, 40, began his career as a civil engineer who had served various construction companies. "With over fifteen years of varied corporate and management experience, Soo has wide in-depth exposure in the construction industry," the group said.
Soo became Sinotop's substantial shareholder after buying 300 million shares or a 15.194% stake in the company last Friday (Oct 21) via an off-market deal. According to Sinotop, he acquired the stake via his private company Noble Pinnacle Sdn Bhd.
TMC Life Sciences Bhd's net profit doubled for the fourth quarter ended Aug 31, 2016 (4QFY16), standing at RM5.87 million from RM2.89 million a year earlier, due to better interest income, while the previous year saw higher corporate exercise cost.
Revenue was higher by 12% at RM33.81 million from RM30.07 million following an increase in recruitment of doctors by the group as well as the offering of additional services.
For the 15-month period ended Aug 31, 2016, TMC's net profit improved 62% to RM20.77 million from RM12.82 million during a similar period previously. TMC's 2016 financial year comprises 15 months due to an adjustment in the financial year end.
Revenue too gained 21% to RM161.51 million from RM133.26 million.
The group announced a single-tier final dividend of 1.54% or 0.154 sen for the year.
APM Automotive Holdings Bhd has formed a 60:40 joint venture (JV) with Japan's Delta Kogyo Co Ltd to develop automobile seating system for Mazda cars.
APM said its wholly-owned subsidiary, Auto Parts Holdings Sdn Bhd, has entered into an agreement with Delta to execture the business of developing, manufacturing, assembling and sale of automobile seating system for cars made by Mazda Motor Corp, including the CX-5.
They will also look into developing and selling the seating system for other generic models as well as cars made by other companies, apart from developing and selling non-seat products.
The investment in the JV company, according to APM, will be financed through internally generated funds.
The move creates the opportunity for the JV company to supply completely knocked-down (CKD) seats, seat frames and components into the Asean market, APM added.
"APM's investment in the JV is expected to generate reasonable returns in the longer term but will have no material effect on the earnings per share, net assets per share, gearing, share capital and substantial shareholders' shareholding of APM for the financial year ending Dec 31, 2016," it added.
Petrol One Resources Bhd said its external auditors Messrs Baker Tilly Monteiro Heng have expressed a disclaimer opinion in the Practice Note 17 (PN17) company’s latest financial statements for the financial year ended June 30, 2016 (FY16).
In its report to the company's shareholders filed to Bursa Malaysia today, Baker Tilly expressed “significant doubt” on Petrol One’s ability to continue as a going concern pending the shareholders approval of a regularisation plan and its successful implementation, the settlement of defaulted debts, and the ability of the company to attain profitable operations to generate sufficient cash flow to fulfil its obligations as and when they fall due.
The auditors said they were unable to obtain sufficient audit evidence to support the carrying value of the group's marine equipment worth US$623,638 (RM2.51 million), which has not been in use since the disposal of the vessel owned by a subsidiary, One Petroleum (L) Ltd.
It was also unable to ascertain the appropriateness of the carrying value of investments in subsidiaries and amount due from subsidiaries -- of RM939,177 and RM66.36 million respectively -- in the books of the company, as the projection of future cash flows prepared by the management to support those values were based on assumptions that its proposed regularisation plan have been implemented.
Tan Sri Lodin Wok Kamaruddin, 67, is stepping down as Affin Holdings Bhd deputy chairman with immediate effect, as his contract is not being renewed.
Lodin, who is also the chief executive of Lembaga Tabung Angkatan Tentera (LTAT), was appointed as a director of Affin on July 19, 1986. He was subsequently appointed as the managing director of the group in February 1991 and redesignated to his current role on July 1, 2008.