WORKING TOGETHER: Peugeot and IBM said they planned to develop services for drivers and passengers, as well as back-end applications that could perform preventive car maintenance and traffic management functions.
Energy
Brent crude was 0.80% higher to US$50.60 per barrel at 3.54pm.
Forex
Ringgit down 0.07% to 4.2845 versus the US dollar at 3.56pm.
Top foreign stories
Peugeot hits new profit record as pricing prevails: PSA Group increased sales and profit in the first half, the maker of Peugeots and Citroens said, beating analyst expectations with a new profitability record at its core manufacturing division. Net income rose 3.6% to 1.26 billion euros (US$1.46 billion) on a 5% increase in revenue to 29.17 billion. — Reuters
LafargeHolcim Q2 profit beats forecasts, new CEO to join early: LafargeHolcim posted slightly better-than-expected second-quarter results and brought forward the start date for its new CEO as the world’s biggest cement maker sought to put a scandal over payments to armed groups in Syria behind it. The Franco-Swiss company reported adjusted operating profit rose 10.1% on a like-for-like basis to 1.735 billion Swiss francs (US$1.82 billion) for the three months ended June 30. — Reuters
Thailand tightens credit-card rules to battle high household debt: Thailand’s central bank on Wednesday tightened controls on credit cards and unsecured personal loans, a move that should contain high household debt levels and could cut domestic consumption. The measures take effect on Sept 1. At the end of March, Thailand’s household debts were 78.6% of gross domestic product, among the highest in Asia. — Reuters
Hyundai Motor profit slumps, warns China, US sales malaise to persist: Hyundai Motor posted its smallest quarterly net profit in five years, falling dismally short of estimates, and warned the second half of 2017 would be challenging as political headwinds hit sales in China and slow US demand continues. Hyundai Motor said its second-quarter net profit halved from a year ago to 817 billion won ($729.14 million) - its 14th straight year-on-year fall and the smallest since the first quarter of 2012. Analysts on average had expected 1.35 trillion won. — Reuters
Seadrill extends US$14b debt restructuring, warns of Chapter 11: Offshore drilling contractor Seadrill delayed the restructuring of its US$14 billion in debt and liabilities on Wednesday and reiterated that Chapter 11 bankruptcy proceedings were likely. — Reuters
China to convert all giant state companies into joint-stock firms by end-2017: All big Chinese companies owned by the central government will be registered as limited liability companies or joint-stock firms by the end of the year, as Beijing moves to make its state-owned giants more nimble, efficient and modern. About 90% of China’s state-owned firms have already completed the process, the cabinet said on its website on Wednesday. — Reuters
Top local stories
FGV’s Sulaiman says calls for his resignation ‘highly misplaced’: Acting Felda Global Ventures Holdings Bhd (FGV) chairman Tan Sri Dr Sulaiman Mahbob has brushed off calls for his resignation by a group calling itself Suara Generasi ke-2 Felda as “highly misplaced” and vows to execute the tasks mandated to him by the Government to turn around the company. — Bernama
Bursa Q2 earnings rise to RM60m, declares dividends of 35 sen: Bursa Malaysia Bhd’s earnings rose 20.3% to RM59.54mil in the second quarter, while revenue increased nearly 10% to RM142.67mil. The exchange operator said it it remained cautiously optimistic about the growth momentum for the remainder of 2017. Burse an interim dividend of 20 sen a share and special dividend of 15 sen per share. — StarBiz
KPJ to cap dividends at RM80m of net profit to repay debt: KPJ Healthcare Bhd will put a cap on future dividend payouts at a maximum RM80mil of its net profit to allocate more cash to repayment of its borrowings, said executive director Aminudin Dawam. “Instead of a percentage, it will be an absolute cap,” he said. — StarBiz
LBS Bina plans affordable homes in Seri Kembangan with RM600m GDV: LBS Bina Group Bhd is buying nearly eight acres of land in Seri Kembangan, Selangor, for RM63mil for a mixed development consisting four towers of service apartments totaling about 1,323 units. The project has an estimated gross development value of RM600mil. — StarBiz
Sasbadi nearnings down 33%: Sasbadi Holdings Bhd’s net profit fell 33.3% to RM2.56mil in the third quarter mainly due to the drop in revenue and higher operating costs. Its revenue was down 3.25% to RM21.69mil, while earnings per share fell to 0.92 sen against 1.38 sen a yaer earlier.
Mustapa: DFTZ, NESR to boost e-commerce contribution to GDP: The recent launch of Digital Free Trade Zone (DFTZ) and National e-Commerce Strategic Roadmap (NeSR) initiatives will boost e-commerce’s contribution to Malaysia’s gross domestic product (GDP), said International Trade and Industry Minister Datuk Seri Mustapa Mohamed. The two initiatives, coupled with efforts to drive the national digital economy agenda, will lift the e-commerce contribution to GDP to 9% to 10% by 2020, he said. — Bernama
IOI Corp CEO says CPO prices may stay at current levels: IOI Corp Bhd CEO Datuk Lee Yeow Chor expects crude palm oil (CPO) prices to continue to trade at current levels of RM2,500 to RM2,650 per tonne in the next two months. He said the prices could be sustained despite CPO production seen increasing. — StarBiz
Luxchem Q2 earnings down by one-third to RM8.65m: Luxchem Corporation Bhd’s earnings fell 33.5% to RM8.65mil in the second quarter on lower contribution from its trading and manufacturing segment. Revenue was up 15.5% to RM203.11mil from RM175.85mil a year ago, while earnings per share were 3.12 sen compared with 4.86 sen. It declared an interim dividend of 2.5 sen, similar to a year ago. — StarBiz
Islamic banks to continue providing affordable home financing: Malaysia’s Islamic banking institutions will continue to provide home financing to eligible customers through schemes, said the Association of Islamic Banking Institutions Malaysia. It said a total of RM14.25bil was approved by Islamic banks for purchases of residential properties as at May 2017. — Bernama
Mah Sing to focus on landbank expansion in Klang Valley: Property developer Mah Sing Group plans to increase its landbank in the Klang Valley to make up 75% of its total landbank in the next two to three years from 67% currently. Executive director Datuk Steven Ng, said considering the company’s low gearing of 0.02 times, it could borrow up to RM1bil for future land acquisitions. — Bernama
MMC and Japan group eye high speed rail project: MMC Corp Bhd is working with a Japanese consortium to provide mechanical and engineering solutions for the High Speed Rail (HSR) project that the group is bidding for, said group managing director Datuk Seri Che Khalib Mohamad Noh. — StarBiz
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