MCO 2.0 has less severe impact on Q1 earnings

According to TA Securities head of research Kaladher Govindan, (pic) the earnings of companies related to the healthcare business will remain as a sure winner due to the continued high demand for gloves as well as the elevated average selling prices.

PETALING JAYA: The corporate earnings results in the first quarter of this financial year (Q1FY21) may witness less severe impact amid the current movement control order (MCO 2.0) period with a likely single-digit contraction, say analysts.

This is given that more sectors of the economy are now allowed to operate their business as usual compared with the previous stricter MCO in Q1 and Q2 last year.