KUALA LUMPUR (Aug 26): Based on corporate announcements and news flow today, companies that may be in focus tomorrow (Aug 27) include: Malayan Banking Bhd (Maybank), Sime Darby Property Bhd, UOA Development Bhd, Pharmaniaga Bhd, Kerjaya Prospek Group Bhd, Kenanga Investment Bank Bhd, Tenaga Nasional Bhd (TNB), Petron Malaysia Refining & Marketing Bhd (Petron), Star Media Group, Media Prima Bhd, Oriental Food Industries Holdings Bhd, IHH Healthcare Bhd, IGB Commercial Real Estate Investment Trust (REIT), Affin Bank Bhd, PPB Group Bhd, Magnum Bhd, Supermax Corp Bhd, Dutch Lady Milk Industries Bhd, IOI Properties Group Bhd and 7-Eleven Malaysia Holdings Bhd.
Malayan Banking Bhd’s (Maybank) net profit for the second quarter ended June 30, 2021 more than doubled to RM1.96 billion from RM941.73 million reported previously, as loans continued to grow, net interest margin expanded from a more cost-effective funding mix and impairments came in lower a year ago. However, its quarterly revenue declined marginally by 3.87% to RM11.34 billion against RM11.79 billion previously. The bank declared a first interim dividend of 28 sen per share.
Sime Darby Property Bhd’s net profit in the second quarter ended June 30, 2021 stood at RM19.91 million versus a net loss of RM93 million a year earlier while revenue rose to RM502.83 million from RM288.23 million, as the real estate developer’s residential property sales improved significantly due to intensive online marketing at a time when the Malaysian property sector contended with the impact of Covid-19 pandemic-led movement restrictions. The group declared a dividend of one sen a share.
UOA Development Bhd’s net profit for the second quarter ended June 30, 2021 more than doubled to RM54.35 million, from RM23.18 million a year ago, underpinned by the progressive recognition of its ongoing development projects. Its quarterly revenue also rose 53.52% to RM216.28 million, from RM140.88 million a year ago.
Pharmaniaga Bhd, Malaysia’s only license holder for the distribution of the Sinovac vaccine, is looking to grow its Covid-19 vaccine business as its main revenue contribution moving forward, as it seeks to expand its presence into Southeast Asian and African markets.
Kerjaya Prospek Group Bhd’s net profit for the second quarter ended June 30, 2021 jumped 59.04% to RM16 million from RM10.06 million a year earlier, on the back of its quarterly revenue climbing 48.23% to RM189.89 million from RM128.1 million previously, as the group resumed its construction projects except during the Full Movement Control Order from June 1 to June 28, 2021. The group also declared an interim dividend of 1.5 sen per share to be paid on Oct 8.
Kenanga Investment Bank Bhd’s second quarter net profit rose 49.36% to RM30.57 million from RM20.47 million a year earlier, mainly due to higher contributions from the stockbroking and investment management businesses. Quarterly revenue saw a marginal increase of 0.96% to RM212.64 million from RM210.61 million for the same quarter last year, helped by higher interest income, management fee income, and investment banking fee income.
Tenaga Nasional Bhd’s (TNB) net profit for the second quarter ended June 30, 2021 rose 25.75% to RM821.5 million from RM653.3 million a year ago, due to higher operating profit. Its quarterly revenue also grew 14.23% to RM12.44 billion from RM10.89 billion a year ago, mainly due to higher sales of electricity arising from higher consumption from commercial and industrial customers, as certain businesses were allowed to operate during the period, instead of having to stop under the full economic closure caused by the Movement Control Order in the last corresponding quarter. The group has approved an interim dividend of 22 sen per share.
Petron Malaysia Refining & Marketing Bhd (Petron) swung back to the black with a net profit of RM42.01 million for the second quarter ended June 30, 2021, versus the net loss of RM69.29 million it recorded a year ago. This comes on the back of revenue doubling to RM2.03 billion for the quarter from RM1.02 billion in the previous year.
Star Media Group saw its net loss widen to RM37.85 million from RM26.95 million for the second quarter ended June 30, 2021, on higher operating expenses offset by lower finance cost. Its quarterly revenue was 48.34% higher year-on-year at RM46.74 million from RM31.51 million previously.
Media Prima Bhd posted a net profit of RM13.42 million in the second quarter ended June 30, 2021, from a net loss of RM20.11 million a year ago, as its quarterly revenue rose 23.77% year-on-year to RM292.45 million from RM236.28 million, contributed by higher advertising revenue amid higher advertising spending during the Hari Raya festive season.
Snack food and confectionery manufacturer Oriental Food Industries Holdings Bhd’s net profit for the first quarter ended June 30, 2021 fell 75% to RM1.08 million from RM4.34 million a year ago as it recorded lower revenue and gross profit margins amid higher operating costs. Revenue retreated 18.22% to RM60.21 million from RM73.62 million. The group announced an interim dividend of 0.1 sen per share, down from the 0.5 sen per share it declared for the corresponding quarter last year.
IHH Healthcare Bhd posted a net profit of RM483.31 million for the second quarter ended June 30, 2021 versus a net loss of RM120.64 million a year earlier, on the back of stronger earnings before interest, taxes, depreciation and amortisation. Quarterly revenue jumped 66.47% to RM4.27 billion from RM2.56 billion the same quarter last year, as more patients returned to the group’s hospitals for treatment in some markets including Malaysia, Singapore, India and Turkey as lockdowns eased.
The restricted offer for sale (ROFS) of IGB Commercial Real Estate Investment Trust (REIT) units to IGB Bhd shareholders under the REIT’s listing exercise has received lukewarm responses. At the closing of the restricted offering on Aug 20, which it previously extended to from July 6, the REIT’s manager had received valid acceptances for 241.95 million ROFS units and 362.92 million corresponding distribution-in-specie (DIS) units. This represents a subscription rate of 78.72% out of the total 307.34 million ROFS units and 461 million corresponding DIS units available for subscription.
Affin Bank Bhd’s net profit for the second quarter ended June 30, 2021 surged 85% to RM174 million from RM93.64 million in the previous year’s corresponding quarter, amid higher net interest income (NII). Revenue for the quarter rose 25% to RM578.9 million, from RM462.46 million. The bank attributed the improvement to higher NII and net fee and commission income, as well as lower modification loss, which was offset by lower gain on sales of financial instruments and higher allowance for impairment losses and operating expenses.
PPB Group Bhd’s net profit fell 44.86% in the second quarter ended June 30, 2021 to RM183.47 million from RM332.73 million, as the group’s grain and agribusiness division fell into the red while contribution from consumer products also fell. This came despite a 13.59% rise in quarterly revenue to RM1.08 billion from RM953.34 million. The group has announced an interim dividend of 10 sen per share, up from 8 sen for the same period last year.
Sarawak Oil Palms Bhd (SOPB) reported a 156.43% surge in its second quarter net profit to RM98.32 million, from RM38.34 million a year earlier, thanks to higher palm products prices. Quarterly revenue expanded 51.59% to RM949.05 million, from RM626.06 million the same quarter last year.
Magnum Bhd’s net profit declined 72.7% to RM2.05 million for its second quarter ended June 30, 2021 from RM7.52 million in the immediate preceding quarter, amid lower revenue, as tax expenses rose. The group’s revenue declined 14.9% to RM326.49 million from RM383.88 million, after the cancellation of 15 draws during the reporting quarter following the closure of selling outlets nationwide due to the full lockdown that came into force on June 1, as opposed to Sarawak outlets being allowed to operate in the immediate preceding quarter.
Glove maker Supermax Corp Bhd saw its net profit drop below the RM1 billion mark for the first time in the fourth financial quarter ended June 30, 2021, after breaching the mark for two straight quarters, to RM958.71 million, down 4.6% from RM1.01 billion the immediate preceding quarter, due to lower average selling prices as more glove supply becomes available in the market. Revenue for the quarter was also lower by 3.2% to RM1.88 billion, compared with RM1.94 billion in the immediate preceding quarter. It declared a special dividend of 15 sen per share for FY21, payable on Sept 30.
Dutch Lady Milk Industries Bhd’s net profit for the second quarter ended June 30, 2021 rose 28.51% to RM27.29 million from RM21.23 million a year ago, thanks to higher demand for its products combined with a favourable portfolio and channel mix, which helped offset higher prices of global dairy raw materials it had to contend with. Revenue grew 3.84% to RM284.04 million from RM273.52 million a year prior, driven by the growth of liquid milk product portfolio on the back of a successful Ramadan campaign.
IOI Properties Group Bhd posted a net profit of RM118.37 million for the fourth quarter ended June 30, 2021, a 169% jump from RM44.06 million in the previous year’s corresponding quarter, amid higher share of results from joint ventures. Revenue for the quarter increased 8% to RM658.65 million from RM610.47 million a year earlier. The group declared an interim dividend of two sen per share for the financial year ended June 30, 2021.
7-Eleven Malaysia Holdings Bhd’s net profit rose 8.42% to RM1.12 million in the second quarter ended June 30, 2021 from RM1.03 million a year earlier, as its quarterly expanded 4.15% to RM676.67 million, from RM649.73 million in the previous year’s corresponding quarter.