Highlights of the day
§
Felda
Global Ventures (Results Review): 3QFY12:
Below house expectation (Maintain HOLD, TP: RM4.85) [download
report]
Felda Global Ventures’s 9MFY12 adjusted net profit of
RM666.5m came below house expectations, making up 64% of estimate. It did
however meet market expectations, which made up of 73% of estimates. While
3QFY12 adjusted net profit decreased by 40% y-o-y, the y-o-y comparison is not
too meaningful as there was a significant change in operations in early FY12.
Nevertheless, the decrease was caused by lower CPO prices and lower FFB
production. We maintain HOLD recommendation with a TP of RM4.85 as FFB production
is expected to improve and the turnaround of the company’s downstream segment
appears to be producing positive results.
§
Telekom
Malaysia
Excluding 9MFY12 tax incentive of RM128.4m from TM’s YTD normalised
PATAMI of RM592.5m, 9MFY12 adjusted net profit of RM464.1m came in below house
consensus full year estimates at 69% and 57%, respectively. TM’s share price has depreciated by 10% since
our SELL recommendation on 30 August 2012. Nonetheless, it is still trading
above of our revised target price, implying a total expected downside of 15%.
Maintain SELL.
Other reports
§ Economics (Money and
Banking): October 2012: Loans growth is stable, money supply grows stronger. [download
report]
Other Malaysian news
§
Tenaga: Awards RM2.5bn job to Samsung Engineering
§
YTL Corp: Focuses on UK
§ Felda Global: Unveils
growth strategy
§
SapuraKencana: Berantai
gas output started in October
§
Malaysia Airports: Seek
Ibrahim Nasir International
Airport
§
MAS: To buy 10 B737-400s from AAR
§
Supermax: To set up plant in South America
§
MK Land: Plans to sell some land to
raise cash
§ Bolton : Danajamin guarantees Islamic notes
§
Brahim’s: BLSG stake deal imminent
§
Ibraco: Form JV with BDA
§
Scomi Engineering: Trains to run in Mumbai
§
Tiger Synergy: Board likely to be removed
§ IPO: Iskandar Waterfront mulls listing in 2013
Global news
§ US
§ China
§ South Korea
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