Malaysia Morning Wrap | Earnings Reporting Season for the July-September Quarter Concludes This Week
Good morning mooers! Here are things you need to know about today's market:
● U.S. Stock Market Climbed Friday After a Week of Waiting and Reacting to Nvidia Earnings
● PM Will Meet South Korea’s Conglomerate Leaders, Attract Foreign Investment
● Chinese Exports Are Set To Reach an All-Time High Ahead of Trump’s Second Term
● Stocks to Watch: MAYBANK, PBBANK, RHBBANK, SUNWAY, etc.
- Moomoo News MY
Wall Street Summary
The market climbed last Friday after a week of waiting and reacting to Nvidia earnings and Bitcoin's all-time highs.
The market overall advanced last Friday. Just past 4 pm ET the $S&P 500 Index (.SPX.US)$ traded +0.35%, the $Dow Jones Industrial Average (.DJI.US)$ climbed 0.97%, and the $Nasdaq Composite Index (.IXIC.US)$ climbed 0.16%.
Breaking News
PM Will Meet South Korea’s Conglomerate Leaders, Attract Foreign Investment
Prime Minister Datuk Seri Anwar Ibrahim is embarking on an official visit to South Korea to bolster bilateral ties and attract foreign direct investments. Scheduled to meet with South Korean "chaebol" leaders and speak at a business forum, Anwar aims to enhance trade and investment initiatives. As of October 2024, Malaysia-South Korea trade reached $19.8 billion, with South Korea being Malaysia's seventh-largest trading partner. The visit includes discussions on economic cooperation, defense, infrastructure, energy, agriculture, and cultural exchanges. Anwar will also engage with the Korean Muslim Federation and deliver a lecture at Seoul National University, highlighting the strategic partnership between the two nations as they approach the 65th anniversary of diplomatic relations in 2025.
Chinese Exports Are Set To Reach an All-Time High Ahead of Trump’s Second Term
Economists anticipate a record high in Chinese exports this year, driven by concerns over potential tariff increases under President-elect Donald Trump. The Q4 export growth is expected to climb to 7%, elevating total exports to $3.548 trillion, surpassing the previous peak. This is largely due to foreign companies' panic-stockpiling ahead of a possible trade war. Meanwhile, China's GDP is projected to grow 4.9% in Q4, and the central bank may ease lending by reducing the reserve requirement ratio, indicating a proactive approach to economic stimulus.
Stocks to Watch
The corporate earnings reporting season for the July-September quarter concludes this week. Among the companies set to announce their financial results are banking groups $MAYBANK (1155.MY)$ , $PBBANK (1295.MY)$, $RHBBANK (1066.MY)$, and $HLBANK (5819.MY)$, as well as the utility giant $TENAGA (5347.MY)$.
Several property developers and construction firms are also expected to release their earnings, including $SPSETIA (8664.MY)$, $SUNWAY (5211.MY)$, $MAHSING (8583.MY)$, $IJM (3336.MY)$, and $MRCB (1651.MY)$ .
$ALLIANZ (1163.MY)$ saw a 7.4% decrease in net profit for the third quarter ending September 30, 2024 (3QFY2024), falling to RM183.2 million from RM197.9 million in the corresponding quarter of the previous year. This decline was due to increased expenses, a decrease in dividend income, and lower fair value gains from investments. Despite this, the company's quarterly revenue increased by 10.3% to RM1.44 billion, up from RM1.31 billion. No dividends were declared for the quarter.
$ARMADA (5210.MY)$ reported a 19% increase in net profit for 3QFY2024, rising to RM211.33 million from RM177.77 million in the same quarter of the previous year. This growth was attributed to expanded operating margins and reduced costs. The company's quarterly revenue also saw a slight increase of 5.2%, reaching RM551.86 million from RM524.8 million. No dividends were declared for this quarter either.
$BIPORT (5032.MY)$ experienced a 13.68% decrease in net profit for the 3QFY2024, dropping to RM28.05 million from RM32.49 million in the same period of the previous year. This was due to a significant increase in operating costs, particularly in service contracts and repair and maintenance expenditures. However, the company's revenue for the quarter increased by 8.71% to RM202.77 million, up from RM186.53 million. A third interim dividend of three sen per share was declared, with the payment scheduled for December 26.
$D&O (7204.MY)$ maintained a stable net profit of RM18.25 million for 3QFY2024, similar to the same period last year, despite a reduced gross margin. The company's quarterly revenue also remained steady at RM273.25 million, compared to RM271.95 million. The group announced a first interim dividend of 0.3 sen per share, to be paid on December 30.
$SWKPLNT (5135.MY)$ recorded a 14.6% increase in net profit for 3QFY2024, climbing to RM31.07 million from RM27.12 million in the same quarter of the previous year. This was largely due to a higher fair value gain on biological assets. However, the company's quarterly revenue decreased by 13.7% to RM149.07 million from RM172.65 million, as lower sales of crude palm oil (CPO) and palm kernel (PK) offset higher average selling prices. A second interim dividend of 15 sen per share was declared, payable on December 27.
$FAVCO (7229.MY)$ reported a net loss of RM7.58 million for 3QFY2024, marking its first quarterly loss since its listing in 2006, compared to a net profit of RM12.1 million in the same quarter of the previous year, due to a foreign exchange loss. Despite this, the company's quarterly revenue increased by 26.56% to RM189.88 million from RM150.04 million. No dividends were declared for the quarter.
$CSCSTEL (5094.MY)$ saw a 21% drop in net profit for 3QFY2024, falling to RM6.87 million from RM8.35 million in the same quarter of the previous year, due to competitive pressures from "unfair trade practices" and overcapacity, among other challenges. The company's revenue for the quarter was only slightly higher at RM404.89 million, compared to RM404.21 million. No dividends were declared for the quarter.
$BMGREEN (0168.MY)$ reported a 55% surge in net profit for the second quarter ending September 30, 2024 (2QFY2025), reaching a record high of RM13 million from RM8.38 million in the same quarter of the previous year. Revenue also increased by 15.8% to a record high of RM137.1 million from RM118.4 million. No dividends were declared for the quarter.
$SKYWLD (5315.MY)$ has completed the due diligence process for a proposed joint development of a property in Vietnam's Binh Duong province, marking its second venture in the country. The company is currently negotiating a term sheet before finalizing a shareholders' agreement and sales and purchase agreement. In August, it proposed the joint development of the remaining plots of the Guocoland Commercial Complex project in Thuan An City with SkyVenue Land Group Joint Stock Company, SkyBridge Company Ltd, and the shareholders of SkyVenue.
$LAGENDA (7179.MY)$ indirectly owned subsidiary, Opti Vega Sdn Bhd, has secured the rights to develop a 139-acre land in Kota Tinggi, Johor, for RM99.62 million in cash, after exercising an option in a development rights agreement signed with Intact Corporate Approach Sdn Bhd earlier this year. The final purchase price is subject to change. Opti Vega plans to develop a mixed-use project consisting of residential and commercial units on the land, with an estimated gross development value (GDV) of RM889 million.
$SLVEST (0215.MY)$ wholly owned subsidiary, Atlantic Blue Sdn Bhd, has been awarded a RM142 million engineering, procurement, construction, and commissioning (EPCC) contract from SM01 Sdn Bhd, a special purpose vehicle (SPV) in which the group holds a 33% stake. The contract is for the construction of a 29.99 megawatts of alternating current (MWac) solar photovoltaic energy generating facility in Gurun, Kedah. Solarvest is joined by other shareholders Shizen Malaysia Sdn Bhd, which holds a 49% stake, and HSS Engineering Sdn Bhd, with an 18% stake.
$SMI (4375.MY)$ has received a call from its largest shareholder, Target 1 Sdn Bhd, for an extraordinary general meeting scheduled for January 9, 2025, to appoint six new directors to the company's board, including former Perak police chief Datuk Pahlawan Mior Faridalathrash Wahid. Target 1, controlled by Hong Seng Consolidated Bhd (KL:HONGSENG) and Revenue Group Bhd's (KL:REVENUE) executive director Leong Seng Wui, holds a 30.67% stake in SMI. Alongside Mior, the other candidates are She Pei Sze, Lee Keng Fatt, Datuk Sok One Esen, Ho Pui Hold, and Leong Weng Loong.
$ICON (5255.MY)$ has entered into definitive agreements for a series of previously announced acquisitions of 40 maritime assets valued at over RM400 million, which will more than double its fleet size. The transactions are expected to be completed by the first quarter of 2025.
$TOPGLOV (7113.MY)$ wholly owned subsidiary, Top Quality Glove Sdn Bhd (TQG), has formed a joint venture (JV) with US glove importer Tronex (Asia) Ltd and Polywel International Trade Co Ltd for the production and distribution of high-density polyethylene gloves. Under the agreement, TQG will hold a 60% stake in the JV company TG Meditech Sdn Bhd, while Tronex and Polywel will each own 20%. The business is expected to commence operations by December 2024.
$MNRB (6459.MY)$ has appointed Datuk Rudy @ Rodzila Che Lamin as the interim president and group chief executive officer (CEO), effective from Friday. He succeeds Zaharudin Daud, who left after his contract expired.
$CHGP (7187.MY)$ has established a RM500 million perpetual notes program. The funds raised from these perpetual notes will be used for capital expenditures, refinancing of existing financing or borrowings, working capital, and other general corporate purposes.
Source: Dow Jones Newswires, Bursa Malaysia, The Malaysian Reserve, The Star, The EDGE
Disclaimer: Moomoo Technologies Inc. is providing this content for information and educational use only.
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101550592 :
Clement Lemons : okk
102188459 : Thank you
103677010 : noted