KUALA LUMPUR (Nov 4): Based on corporate filings and news flow today, stocks that may be in focus tomorrow include: AirAsia X Bhd (AAX), Malaysia Airports Holdings Bhd (MAHB), UMW Holdings Bhd, FGV Holdings Bhd, Latitude Tree Holdings Bhd, Fraser & Neave Holdings Bhd (F&N), Gamuda Bhd, Crest Builder Holdings Bhd, Mega First Corp Bhd, Ocean Vantage Holdings Bhd, Ipmuda Bhd and MAA Group Bhd.
AirAsia X Bhd (AAX) has revised its proposed debt restructuring scheme and recategorised its 1,200 into two classes. Class A creditors — which include Malaysia Airports Holdings Bhd (MAHB) — are creditors who are critical or essential and who have secured and other rights. Creditors that do not fall within the parameters of Class A are considered Class B creditors. The move follows MAHB’s bid to be excluded from AAX’s proposed scheme, as the airport operator views itself as a secured creditor.
UMW Holdings Bhd’s automotive segment is on track to meet full-year sales targets on better sales by UMW Toyota Motor (UMWT) and 38%-owned Perusahaan Otomobil Kedua Sdn Bhd (Perodua) in October. Its automotive market share is 58% in October, up from 51.4% a year earlier. UMWT saw a 15.4% increase in sales to 6,468 in October, from 5,605 units in September. Perodua broke its monthly sales record again with total registration of 26,852 units, a 7.3% increase from the 25,035 units in September. For the first 10 months of 2020, Perodua sold 171,864 units, which is 81.8% of its target to sell 210,000 units for the year.
FGV Holdings Bhd is targeting to sell another 1.5 million oil palm seeds in India by 2021. To date, it has secured the sale of one million oil palm seeds to India through its Yangambi ML161 brand, the number one oil palm planting material with a 43% market share in Malaysia. The latest buyer for the seeds was its JV with Pre-Unique Pvt Ltd, FGV Pre Unique.
Latitude Tree Holdings Bhd’s indirect wholly-owned unit in Vietnam received RM7.7 million in insurance compensation over a fire at its premises in April 2018. The fire occurred at the unit’s manufacturing facilities in Binh Duong province. The building houses the assembly and packing line, inventories of work-in-progress and finished goods.
Fraser & Neave Holdings Bhd (F&N) is expecting better earnings for its financial year ended Sept 30, 2021 (FY21). Its CEO Lim Yew Hoe said the group will do no worse than in FY20. He did not reveal any business guidance, owing to current circumstances being fluid. The group will be collaborating with e-commerce platforms to boost sales, while also diversifying its revenue sources to outside of Malaysia, setting up operations in Dubai to expand into the Middle East and Africa market.
Gamuda Bhd and Crest Builder Holdings Bhd have signed an MoU to look at the possibility of joint cooperation and strategic ventures in prospective collaborations, tenders and projects, as well as evaluation of the scope of work to be carried out by both parties.
Mega First Corp Bhd’s 80% subsidy Don Sahon Power Company Ltd has received the all-clear from the Laotian government to start commercial operations for the Don Sahong hydropower project on Oct 1. The concession agreement, inked in 2015 with the government of Laos, will end on Sept 30, 2045. Under the agreement, the electricity generated by the project will be sold to Electricite Du Laos under a power purchase agreement.
Ocean Vantage Holdings Bhd has won a RM29.56 million contract for works at a solar farm in Manjung, Perak. It will be a subcontractor for engineering, procurement, construction and commissioning works at the Manjung 9.99 megawatt large-scale solar farm. The farm is run by Oral Power Sdn Bhd, which is in turn a 70%-owned subsidiary of Minetech Resources Bhd. This the first renewable energy contract for the oil and gas firm, with the contract lasting four months.
Ipmuda Bhd is diversifying into the renewable energy and healthcare sectors in order to diversify itself from its trading segment, which accounts for 99.4% of its revenue as of June 30, 2020. The loss-making company said this would help with future earnings and that it is changing its name to Jentayu Sustainables Bhd, as part of the pivot.
Separately, the group said it is conducting a private placement and restricted placement of 14.93 million shares each to raise RM10.44 million, in order to pay for trade payables and staff costs.
MAA Group Bhd posted a net profit of RM22.76 million in its third-quarter ended Sept 30, 2020, compared with a net loss of RM3.3 million a year earlier, on better earnings from its general insurance business. Quarterly revenue was up 24.26% to RM59.78 million, from RM48.11 million.
Nine-month net profit stood at RM15.43 million from a net loss of RM4.96 million in the previous corresponding period, with revenue up 17.12% to RM164.27 million from RM140.26 million.