KUALA LUMPUR (Nov 19): Based on corporate announcements and news flow today, stocks that are likely to be in focus tomorrow (Nov 20) might be as follows: Mestron Holdings Bhd, Bumi Armada Bhd, Petronas Gas Bhd (PetGas), Petron Malaysia Refining and Marketing Bhd, Pharmaniaga Bhd, IGB Bhd, Apex Healthcare Bhd, Sunway Construction Group Bhd (SunCon), MBM Resources Bhd, Chemical Company of Malaysia (CCM), AirAsia X Bhd, Mega First Corp Bhd, GHL Systems Bhd and Amtel Holdings Bhd.
Mestron Holdings Bhd’s third quarter ended Sept 30, 2020 (3QFY20) net profit surged 183% to RM3.09 million, from RM1.09 million a year prior. Quarterly revenue grew to RM19.07 million from RM17.95 million. The earnings growth was due to a post-Movement Control Order sales recovery. For the nine months ended Sept 30, Mestron posted a net profit of RM3.89 million versus RM1.49 million a year ago, despite lower revenue of RM38.04 million against RM53.32 million earlier.
Bumi Armada Bhd’s 3QFY20 net profit declined 44.2% to RM85.62 million from RM153.37 million. Quarterly revenue was 6.9% higher at RM564.44 million from RM527.81 million. The lower revenue was on the absence of a disposal gain seen in 3QFY20. It saw a net loss of RM18.58 million in 9MFY20 from a net profit of RM293.79 million last year. Revenue was 10.9% higher at RM1.72 billion from RM1.56 billion.
Petronas Gas Bhd (PetGas) saw its 3QFY20 net profit rise by 36.94% to RM591.01 million from RM431.59 million. Revenue grew by 5.22% to RM1.41 billion from RM1.34 billion. The rise in net profit was due to an unrealised forex gain while the revenue increase was due to increases in contributions from the regasification and utilities segments. It declared a dividend of 18 sen payable on Dec 22. This brings the year to date (YTD) payout to RM1, from 50 sen a year prior. 9MFY20 net profit was up 4.1% at RM1.51 billion, from RM1.45 billion. Nine-month revenue was 2.86% higher at RM4.2 billion from RM4.08 billion previously.
In 3QFY20, Petron Malaysia Refining and Marketing Bhd saw its net profit soar 183.64% to RM97.64 million, from RM34.42 million on higher gross profit and cost rationalisations. Lower fuel prices and demand resulted in revenue falling 39.24% to RM1.68 billion, from RM2.77 billion. It posted an RM55.33 million net loss in 9MFY20 from a net profit of RM148.16 million a year prior. Revenue for the period dropped by 42.07% to RM4.95 billion from RM8.54 billion.
Pharmianaga Bhd saw its 3QFY20 net profit surge 200% to RM1.44 million from RM481,000 a year prior on lower operating expenditure during the MCO period. Quarterly revenue declined 13% to RM625.8 million from RM716.85 million in 3QFY19 following lower demand as a result of Covid-19. 9MFY20 net profit expanded 15% to RM33.82 million from RM29.38 million a year earlier, while revenue was slightly lower at RM2.09 billion versus RM2.1 billion
IGB Bhd’s net profit in 3QFY20 slumped 74.44% to RM16.99 million from RM66.46 million a year prior. Quarterly revenue declined 23% y-o-y from RM364.36 million to RM279.8 million. This was the result of lower-income from its property development, retail property investment and hotel divisions. 9MFY20’s net profit slumped by 86.76% to RM19.69 million from RM148.76 million in the corresponding nine months last year. Revenue for the period was down by 27.13% to RM739.75 million from RM1.02 billion in 9MFY19.
Apex Healthcare Bhd’s 3QFY20 net profit was almost flat at RM14.22 million from RM14.12 million a year prior. Quarterly revenue dropped 6% to RM169.12 million from RM180.65 million. Its net profit was helped by measures implemented to rightsize its operating costs in the new business environment. 9MFY20 net profit rose 7% to RM41.63 million from RM38.75 million a year ago, as revenue advanced 4% to RM537.15 million from RM518.15 million.
Lower construction margins dragged Sunway Construction Group Bhd (SunCon)’s 3QFY20 net profit to RM24.04 million from RM33.48 million a year prior. 3QFY20 revenue grew 4.18% to RM419.41 million from RM402.58 million. 9MFY20 declined by 56.4% to RM42.59 million from RM97.69 million a year earlier. Its revenue for the period also dropped by 27.86% to RM925.42 million from RM1.28 billion.
MBM Resources Bhd’s 3QFY20 net profit expanded by 16.52% to RM64.98 million from RM55.76 million a year ago on higher vehicle sales. Quarterly revenue was up 16.52% to RM600 million from RM515.32 million a year ago. 9MFY20 net profit more than halved to RM87.02 million from RM179.46 million for 9MFY19 while revenue also declined 22.57% to RM1.23 billion from RM1.59 billion a year earlier.
AirAsia X Bhd net loss widened to RM308.46 million in 3QFY20 from RM229.89 million last year amid the current Covid-19 air travel slump. Revenue was down 94% to RM59.91 million from RM1.01 billion in 3QFY19. Losses in 9MFY20 widened three times to RM1.16 billion from RM393.67 million in 9MFY19. Nine-month revenue sank 66% to RM1.08 billion from RM3.2 billion.
Chemical Company of Malaysia Bhd (CCM) posted its second consecutive quarterly loss in 3QFY20 with a net loss of RM1.58 million. In contrast, it achieved a net profit of RM3.71 million in 3QFY19. Quarterly revenue stood at RM106.33 million from RM96.95 million. The loss was attributed to lower earnings in its chemical division. 9MFY20 saw a cumulative net loss of RM115,000 versus net profit of RM12.95 million a year ago. However, its revenue increased by 7% to RM306.84 million from RM286.77 million.
Mega First Corp Bhd’s 3QFY20 net profit surged 512.08% to RM89.5 million from RM14.62 million. Quarterly revenue increased by 68.28% to RM211.21 million from RM125.51 million a year prior. The higher earnings were on better earnings from both its resources and packaging and labels divisions. 9MFY20 net profit increased by 223.78% to RM228.24 million from RM70.49 million a year prior. 9MFY20 revenue grew by 9.23% to RM553.16 million from RM506.4 million a year prior.
GHL Systems Bhd’s 3QFY20 net profit jumped 66% to RM12.14 million from RM7.34 million in the previous year’s corresponding quarter, as it recorded higher contribution across its business divisions. Quarterly revenue rose 4.7% to RM91.83 million from RM87.71 million a year earlier. 9MFY20 net profit dropped 64% to RM7.55 million from RM20.85 million in the previous year, while revenue fell 5% to RM247.03 million from RM260.14 million.
Amtel Holdings Bhd is planning a bonus issue with free warrants. The bonus issue will be on the basis of one bonus share for two existing shares held. The free warrants issued after the bonus issue will be issued on the basis of one free warrant for every two existing shares held. 32.52 million bonus shares and 48.78 million warrants are expected to be issued. The warrants’ exercise price has been set at 65 sen. This could raise RM31.71 for working capital and debt repayment assuming all warrants are exercised.