Jaya Jusco: ANALYSTS see new outlets and better sales at existing ones propelling earnings growth at Jaya Jusco, despite keener competition in the retail industry. GK Goh Research, in a recent note, said same store sales during the recent Hari Raya and Deepavali festive periods were higher than previously. The trend is expected to continue in the December-February peak season. Meanwhile, in the first six months to Aug 31, 2002, Jaya Jusco same store sales grew 10%, compared with 8.5% in the corresponding period before. First half-net profit rose to RM17.6mil, 35% more than in the year-ago period.
Teck Guan: COMMODITY-BASED Teck Guan Perdana saw significant improvement in its third-quarter earnings, thanks to surging cocoa prices on the world market. Pre-tax profit in the first nine months to Oct 31, 2002, rose to RM6.7mil compared with RM1.8mil in the previous corresponding period. With a shareholding of just 20 million, Teck Guan's earnings per share for the period stood at a hefty 31.78 sen, compared with 5.8 sen previously. The company has announced plans for a one-for-one bonus issue to meet the KLSE's requirement for second board companies to have a minimum paid-up capital of RM40mil by the end of 2003.
Phamaniaga: DRUG manufacturer Pharmaniaga (share price adjusted after the completion of its one-for-one bonus issue in mid December) is viewed as a defensive stock with a relatively strong growth potential. In early September, the company announced plans to acquire debt laden Safire Pharmaceutical (M) Sdn Bhd for RM20mil from Danaharta. Analysts said the acquisition would immediately boost Pharmaniaga's manufacturing capacity, currently near 100%. Pharmaniaga had also said it was building a new manufacturing plant in Puchong as a longer-term solution to manufacturing constraints.
HeiTech: HeiTech Padu's growing recurring income business – estimated to make up about 50% of the group's sales in 2003 – provides higher demand visibility for the company compared with other systems integrators in the market, who are more dependent on project-by-project contracts. HeiTech Padu said it expected the IT network management business to grow 10% to 15% this year. While concerns about the entry of smaller players and margin erosion for public sector IT contracts have weighed down HeiTech share price, analysts believed Heitech would be able to bag some of the bigger ones given its capability to handle large projects.
THB Capital: RHB Capital’s NTA per share (NTA/share) had been diluted to RM1.33 from RM1.86 (as at September 2002) following the acquisition of Bank Utama and the privatisation of RHB Sakura Merchant Bankers, a recent Affin-UOB Securities note said. This would be further reduced to RM1.28 after the payment of a net special interim dividend. RHB Cap share price, which has fallen 22% in the past three months, closed last Friday at RM1.41, near its 52-week low of RM1.38. With the acquisition completed on Dec 24, Bank Utama is now a wholly owned subsidiary of RHB Bank, which in turn is 70% owned by RHB Cap.
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