FBMKLCI
1572.54 -24.28pts
(-1.52%) Volume 2.061b Value RM 1.950b
1) The KLCI slipped another 1.52% today as the broad market
continue to face selling pressure despite the stronger global market overnight
which gained after EU finance ministers agreed to launch a 3rd bailout
programme for Greece. Region was mixed as the STI -1.51% lost the most grounds
amongst the bourses, followed by HSI -0.74%,
while SHCOMP +0.71% remained steady as the PBOC fixed the Yuan rate
higher than Friday's close, ASX closed +0.21% higher. TECHNOLOGY -3.79% index
and CONSTRUCTION -2.57% index fell the
most today weighed by INARI -4.26%, JCY -6.20%, UNISEM -4.14% & MITRA
-7.82%, GAMUDA -3.48%, IJM -0.97% respectively. Market breadth was negative
with losers beating gainers by 836 : 149. Futures closed at 1555pts (17pts
discount).
2) Heavyweights : SKPETRO -11.39% RM1.71, GENTING -4.8%
RM7.14, PBBANK -1.20% RM17.98, TENAGA -1.70% RM10.40, MAYBANK -1.20% RM8.19,
DIGI -2.37% RM4.93, SIME -1.61% RM7.90, CIMB -1.40% RM4.90.
3) DBT: GLOTEC 20mil @ RM0.06, HAPSENG 20mil @ RM5.30,
TAKASO 5.441mil @ RM0.55.
4) Situational:-
MAHSING -2.02%
RM1.45 - Mah Sing's wholly-owned subsidiary Grand Prestige Development SB has
rescinded its proposed acquisition of a piece of prime freehold land located in
Rantau, Seremban for RM359.6m. Mah Sing said the sales and purchase agreement
was void due to, among others, misrepresentation and/or breach of terms and
conditions by the vendors and/or events that were unlawful had occurred.
5) PHARMANIAGA
1H June 2015
Tover -1% RM984.7m Net +13.7%
RM48m EPS 18.6sen
10% below cons(f) RM106m
The higher earnings recorded was largely due to
favourable profit margins from the Manufacturing Division, driven by reduced
manufacturing costs as a result of continuous efficiency improvement
initiatives. This includes batch consolidation, enhanced procurement exercises
and increased production yields. However, this was moderated by higher
amortization of the Pharmacy Information System. There was also a higher
allocation of profit towards a talent development programme and ongoing
pre-clinical studies for the Group's biotechnology herbal project, Kacip
Fatimah. Revenue also saw a slight decline to RM984.7 million from
RM993.7 million in last year's corresponding period due
to lower demand in the concession segment.
The company declared an interim div of 7sen bringing 1H
payout to 14sen.
Strong cash flow model will allow the company to continue
to payout a healthy dividend potentially yields 5%. Defensive buy.
6) Market - Weakness expected to prevail as investors
prefer to remain sidelined with no positive catalyst in the near term. Any
technical likely to be met with selling especially ard the 1600pts levels.