Tuesday, February 26, 2013

Market Roundup | 25 Feb 2013


FBMKLCI 1627.35      +5.27pts (+0.32%)           Volume  850.48mil         Value RM1,412mil
 
1) KLCI continued its recovery, closing at day's high after reversing morning losses as gains were led by banks (MAYBANK, PBBANK) and telcos (TM, DIGI). Regional markets were also positive despite China's HSBC PMI dipping to 50.4 in Feb its four month low and HK government doubled a sales tax. Market breadth stayed positive as gainers led decliners 326:295. Future closed 1624 (3.35points discount)
 
2) Heavyweights: MAYBANK+0.89% RM9.15, TM+2.11% RM5.32, PBBANK+0.51% RM15.82, DIGI+0.66% RM4.58, KLK+1.16% RM20.84, PCHEM+0.64% RM6.25, PCHEM+0.64% RM6.25, CIMB+0.28% RM7.07, AXIATA-0.31% RM6.35
 
3) DBT: KASSETS 64.5mil @ RM0.048 (12.38% PUC, 12% discount), EDUSPEC 60.485mil @ RM0.005 (15.78% PUC, 25% discount)
 
4) Situational:
 
SPSETIA-3.9% RM3.19: Shares of SPSetia came under selling pressure Monday after the completion of private placement of new shares, which represented 15 percent of its enlarged paid up capital or 320.7 million new shares were listed Monday at RM 2.94, a steep discount to current market price.
 
5) Parkson: HY12/12 Rev+4% RM1.767b Net-32% RM133.3m EPS 12.29s Div 10s

 

Results trails consensus RM373m by 29%.
 
For 6 months ended 12/12, the Group's Retailing Division registered a growth of 3%, improvement mainly attributable to new stores' contribution & SSSG in Malaysia (4%) & Indonesia (7%). Sales growth in Parkson China & Parkson Vietnam, on the other hand, were adversely impacted by the slowed economic growth, resulting in weaker consumer spending and negative SSSG of -2% (China) & -7% (Vietnam). In addition, the late arrival of the Lunar New Year in the current year delayed some consumer spending to the next quarter, when compared to 2011. Together with initial losses of new stores, a lower profit was recorded for the current quarter & financial y-t-d compared with LY. Qoq, Rev+11%, PBT+26%, due to increased festival retail buying arising from the year end holidays & promotion periods. Ahead, the retail operations across China, Malaysia & Vietnam are expected to benefit from the surge in consumer spending during the Chinese New Year festivities - Hold.
 
6) Market: relief rally on the back of speculation that parliament dissolution will be delayed for 2 weeks but the bounce is likely to be weak with resistance at KLCI 1630-1635 levels.