KUALA LUMPUR (April 27): Based on corporate announcements and news flow today, stocks in focus tomorrow (Thursday, April 28) could include: Encorp Bhd, Kimlun Corp Bhd, Datasonic Group Bhd, Sunway Real Estate Investment Trust (Sunway REIT), Malaysia Airports Holdings Bhd (MAHB), Tenaga Nasional Bhd (TNB), Sarawak Oil Palms Bhd, Seacera Group Bhd, Tan Chong Motor Holdings Bhd and APM Automotive Holdings Bhd.
Encorp Bhd plans to dispose of a block of office suites in Encorp Strand to Koperasi Permodalan Felda Malaysia Bhd (KPFM) for RM27 million, in a bid to raise funds for working capital and improve cash flow position.
Encorp said it has entered into a sale and purchase agreement with KPFM, an investment holding company, to dispose of 20 leasehold office suites known as Block P within Garden Office @ Encorp Strand commercial development.
"The proposed disposal enables Encorp to unlock its capital from being tied up in long-term assets and to translate Encorp's non-core assets into cash resources for working capital purpose, and also to improve the cash flow position of the group," it said.
Kimlun Corp Bhd has received a RM98.3 million worth of housing development contract in Johor Bahru from Meridin East Sdn Bhd, a subsidiary of Mah Sing Group Bhd.
It told stock exchange that its unit Kimlun Sdn Bhd has received the letter of award from Meridin East today and been tasked to construct a total of 492 units of houses in Mukim Plentong.
"The construction work is expected to be completed by July 2018," it said, adding that the contract is expected to contribute positively to its earnings during the contract period.
Datasonic Group Bhd clinched a five-year contract from the Ministry of Home Affairs (KDN) to supply 13.42 million units of Malaysian Passport Documents, for a contract sum of RM223.38 million.
In a filing with Bursa Malaysia today, the secure identity and personalisation system solutions provider said its wholly-owned subsidiary Datasonic Technologies Sdn Bhd has accepted the letter of award (LoA) from KDN for supplying the passport documents from Dec 1, 2016 to Nov 30, 2021.
Under the terms of the LoA, Datasonic Technologies is required to provide a performance bond of RM2.23 million to KDN, with validity period commencing from Dec 1, 2016 to Nov 30, 2022.
Sunway Real Estate Investment Trust reported a 16.2% increase in net property income (NPI) to RM96.69 million for the third quarter ended March 31 (3QFY16), from RM83.18 million a year ago, on strong growth in the retail and hotel segments.
Sunway REIT said revenue for 3QFY16 rose 17.7% to RM130.35 million, from RM110.71 million, as average occupancy at Sunway Putra Hotel improved, following the completion of its refurbishment in December 2015.
NPI for the nine months ended March 31 (9MFY16) rose 10.6% to RM283.68 million, from RM256.41 million in the previous corresponding period.
For 9MFY16, revenue rose 13.3% to RM383.43 million, from RM338.52 million. Net profit was up 9.4% to RM200.8 million, from RM183.54 million in 9MFY15.
The group proposed a distribution per unit (DPU) of 2.37 sen, an increase of 11.3% as compared to 3QFY15, bringing the payout for 9MFY16 to 7.06 sen. The payment date falls on May 31.
Malaysia Airports Holdings Bhd's (MAHB) net profit for the first quarter ended March 31, 2016 (1QFY16) fell 47.8% to RM17.01 million or 0.13 sen per share, from RM32.58 million or 1.28 sen per share a year ago, due to lower other income and higher taxation.
Revenue for the quarter was 16.4% higher at RM1.02 billion, from RM876.18 million.
No dividend was declared for the current quarter under review.
Tenaga Nasional Bhd (TNB) saw its net profit decline 38.89% to RM1.32 billion or 23.4 sen a share in the second quarter ended Feb 29, 2016 (2QFY16), from RM2.16 billion or 38.21 sen a share a year ago, on recognition of over recoverability of imbalance cost pass through (ICPT).
In a filing with Bursa Malaysia, the utility giant said the recognition of the ICPT also dented revenue by 1.13% to RM10.49 billion, compared with RM 10.61 billion in 2QFY15.
For the first half of financial year 2016 (1HFY16), net profit declined 26.83% to RM3.3 billion or 58.41 sen a share, from RM4.51 billion or 79.88 sen a share in 1HFY15, on the back of a 2.17% decline in revenue to RM21.17 billion, from RM21.64 billion.
Sarawak Oil Palms Bhd’s net profit for its first quarter ended March 31, 2016 (1QFY16) surged by 359.3% to RM25.03 million, from RM5.45 million in the corresponding period a year ago.
The sharp jump in profit was attributed to higher sales volume of palm oil products and gain on fair value changes of RM16.7 million from outstanding derivatives contracts.
The plantation group registered quarterly revenue of RM1.035 billion in 1QFY16, an increase of 64.2% from RM630.9 million in 1QFY15.
Seacera Group Bhd has proposed the acquisition of a company that owns a 250-acre land in Semenyih for RM220 million.
Seacera, which is chiefly involved in manufacturing tiles and other building materials, said the acquisition will enable the group to accelerate the growth of its property development activity.
The group said the land is strategically located, being near Kuala Lumpur City Centre and surrounded by current developments from established property developers such as EcoWorld, Mah Sing, UEM Sunrise and S P Setia.
Tan Chong Motor Holdings Bhd (TCM) has proposed to sell off assets of loss-making subsidiary TC Aluminium Castings Sdn Bhd to sister company APM Automotive Holdings Bhd, for RM5.701 million cash.
TCM said in a filing with Bursa Malaysia that it will pocket-in gains of RM640,000, which will be used for repayment of borrowings.
APM Automotive, in its Bursa Malaysia filing, said it could expand its product base and strengthen its overseas venture by buying the aluminium casting assets.