MNRB Third quarter 2024 earnings released:
Third quarter 2024 results:
EPS: RM0.11 (up from RM0.091 in 3Q 2023).
Revenue: RM761.3m (down 15% from 3Q 2023).
Net income: RM84.6m (up 19% from 3Q 2023).
Profit margin: 11% (up from 8.0% in 3Q 2023). The increase in margin was driven by lower expenses.
Revenue is expected to fall by 68% p.a. on average during the next 3 years compared to a 1.8% decline forecast for the Insurance industry in Malaysia.

Over the last 3 years on average, earnings per share has increased by 7% per year but the company’s share price has increased by 21% per year, which means it is tracking significantly ahead of earnings growth.

MNRB Holdings Bhd’s net profit for its third quarter ended Dec 31, 2023 surged 47.36% to RM84.61 million or 10.8 sen per share, from RM57.42 million or 7.33 sen per share a year ago, driven by higher revenue from its insurance and takaful segment. Quarterly revenue rose 22.05% to RM980.87 million from RM803.69 million a year ago, mainly contributed by higher investment income and favourable fair value movement of investments. No dividend was declared for the quarter. — MNRB Holdings posts 47% jump in 3Q net profit on higher insurance and takaful revenue

AirAsia parent plans to raise more than $1 billion in debt, equity - FT
Capital A Berhad, the parent of AirAsia, is planning to raise more than $1 billion in debt and equity, and will list some of its businesses through a blank-cheque company, the Financial Times reported on Wednesday.

Capital A CEO Tony Fernandes has agreed to a deal with Aetherium Acquisition, a special purpose acquisition company, and plans to list several businesses through it next year, the FT reported, citing two people familiar with the deal.

This includes a new business extending the AirAsia brand to companies hoping to start airline franchises in developing countries, the report said.

The group has been evaluating fundraising options for a planned U.S. listing after it was hit by pandemic travel restrictions in Asia, leading Bursa Malaysia Securities to classify it as a PN17 company, or financially distressed, last year.

The potential fundraising also includes a $150 million loan from Bangkok Bank this month, FT said.

Capital A and Aetherium Acquisition did not immediately respond to Reuters' requests for comment.

Source: Reuters

AirAsia X's PN17 rejection casts doubt on acquisition of Capital A's aviation business — analysts:: https://theedgemalaysia.com/node/687067

AirAsia X's PN17 rejection casts doubt on acquisition of Capital A's aviation business — analysts:: https://theedgemalaysia.com/node/687067

Budget carrier AirAsia, a part of the Capital A Bhd group, is seeking a US$400m (RM1.8bn) loan, half of it from private credit funds, to refinance debt, according to people familiar with the matter. The loan will be in the form of a revenue bond, with investors to be paid out of ticket sales from ten AirAsia flight routes, the people said, declining to be identified because the matter is private. A representative of the company declined to comment. Capital A is no stranger to private credit. An engineering and maintenance subsidiary Asia Digital Engineering in April secured a US$100m investment from private-credit provider OCP Asia Ltd, according to a statement at the time. (The Edge)

Budget carrier AirAsia, a part of the Capital A Bhd group, is seeking a US$400m (RM1.8bn) loan, half of it from private credit funds, to refinance debt, according to people familiar with the matter. The loan will be in the form of a revenue bond, with investors to be paid out of ticket sales from ten AirAsia flight routes, the people said, declining to be identified because the matter is private. A representative of the company declined to comment. Capital A is no stranger to private credit. An engineering and maintenance subsidiary Asia Digital Engineering in April secured a US$100m investment from private-credit provider OCP Asia Ltd, according to a statement at the time. (The Edge)

AAX
Share Price 7 Day 1 Year
2.25 -7.4% 368.8%

Second quarter 2023 earnings released: EPS: RM0.012 (vs RM1.57 loss in 2Q 2022)
Second quarter 2023 results:
EPS: RM0.012 (up from RM1.57 loss in 2Q 2022).
Revenue: RM512.9m (up 379% from 2Q 2022).
Net income: RM5.54m (up RM658.1m from 2Q 2022).
Profit margin: 1.1% (up from net loss in 2Q 2022).
Revenue is forecast to grow 32% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Airlines industry in Asia.

Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has increased by 48% per year, which means it is tracking significantly ahead of earnings growth.

Sports Toto Berhad
SPTOTO
Share Price 7 Day 1 Year
1.53 2.7% -17.3%


Full year 2023 earnings released: EPS: RM0.17 (vs RM0.12 in FY 2022)
Full year 2023 results:
EPS: RM0.17 (up from RM0.12 in FY 2022).
Revenue: RM6.10b (up 17% from FY 2022).
Net income: RM221.9m (up 38% from FY 2022).
Profit margin: 3.6% (up from 3.1% in FY 2022). The increase in margin was driven by higher revenue.
Revenue is forecast to stay flat during the next 3 years compared to a 6.4% growth forecast for the Hospitality industry in Malaysia.

Over the last 3 years on average, earnings per share has increased by 25% per year but the company’s share price has fallen by 11% per year, which means it is significantly lagging earnings.

AirAsia X Berhad
AAX
Share Price 7 Day 1 Year
2.31 37.5% 366.7%

New major risk - Share price stability
The company's share price has been highly volatile over the past 3 months.

It is more volatile than 90% of Malaysian stocks, typically moving 12% a week.
This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent.

Currently, the following risks have been identified for the company:
Major Risk
Share price has been highly volatile over the past 3 months (12% average weekly change).
Minor Risk
Shareholders have been diluted in the past year (7.8% increase in shares outstanding).

Another day, another cycle of pump & dump? Enjoy the party while it last. Does the Maybank IB report cover the balance sheet?

SPTOTO | Sports Toto Berhad

Upcoming dividend of RM0.025 per share at 8.3% yield (March 28)
Eligible shareholders must have bought the stock before 04 April 2023.
Payment date: 21 April 2023.
Payout ratio is a comfortable 49% and this is well supported by cash flows.
Trailing yield: 8.3%.
Within top quartile of Malaysian dividend payers (5.4%).
Higher than average of industry peers (5.3%).

NFOs - Recovery in ticket sales on track.

• There is a business continuity concern for operations of NFOs in Selangor, Penang and Negri Sembilan in the event of a change in the state government post the state election, widely expected to be held in Jun 2023 (NFO operations have already been banned three other states due for the state election, i.e., Kelantan, Terengganu and Kedah). There is also concern over sustained high inflation eating into consumer disposable income affecting spending on betting games.

• The good news is that NFO ticket sales are mainly domestically-driven and therefore less directly exposed to external headwinds. We expect the ticket sales recovery to plateau at 80%-85% of pre-pandemic levels before slowly picking up to the 90% level by end-2023. We expect SPTOTO to have a stronger recovery path with ticket sales returning to 87% of pre-pandemic level by FY23 (FYE: June) and 90% by FY24, given the potential boost from a spike in ticket sales of lotto games in the event their jackpots snowball, while MAGNUM (OP; TP: RM1.39) may only see its ticket sales recovering to 78%/80% of the pre-pandemic level by FY23/FY24 as we expect the return of its customers, predominantly in the older-age group, to be gradual. Overall, we prefer SPTOTO to MAGNUM for the former’s stronger recovery of ticket sales and hence superior earnings.

Regulatory risk. Meanwhile, we rate the risk of casino and NFO licenses being revoked in Malaysia as low following the formation of a “unity” government led by a moderate Pakatan Harapan coalition.

https://klse.i3investor.com/web/pricetarget/research/66944
Gaming - Good Old Days Are Returning
Date: 2023-03-29
KENANGA

We maintain OVERWEIGHT on the gaming sector as leisure travel normalises post the pandemic. Tourism Malaysia projects 16.1m tourist arrivals in Malaysia in 2023, up 60% from 10.1m in 2022. Over the causeway, the Singapore Tourism Board expects a big jump in visitor arrivals to the island republic of 12m-14m this year over 4.7m recorded last year, underpinned by the return of international tourists, especially those from China. This should benefit casino operators GENM (OP; TP: RM3.56) and GENS (Not Rated), as well as their parent company GENTING (OP: TP: RM5.86). Meanwhile, we project ticket sales of number forecast operators (NFOs) to return to 90% of pre-pandemic levels by end-2023. Largely domestically-driven, their earnings are less directly exposed to external headwinds. Our top picks for the sector are GENTING, being a proxy to the recovery of tourism in both Malaysia and Singapore, and SPTOTO (OP; TP: RM1.95) given its double-digit dividend yields.

KUALA LUMPUR (March 21): AirAsia X Bhd (AAX) pared down gain in Tuesday (March 21) morning trade, two days after hitting a one-year high of RM1.68, which prompted an unusual market activity (UMA) query from Bursa Malaysia.

At the time of writing, AAX had dropped nine sen or 6.08% to RM1.39 a share, after 18.11 million shares changed hands. It fell as low as RM1.35 earlier.

Meanwhile, Capital A Bhd dipped two sen or 2.5% to 78 sen, after 20.07 million shares were traded.

Last Friday, Bursa Malaysia Securities Bhd issued a UMA query to AAX, after a sharp rise in its share price and trading volume recently.

AAX jumped 27 sen or 19.15% to close at RM1.68 last Friday, giving it a market capitalisation of RM688.59 million.

In response to the query, AAX said that except for the ongoing development of its proposed regularisation plan to holistically restructure its business and financial condition, it was not aware of any other corporate development, rumour or report which may account for the UMA.

Capital A and AAX are working on their respective regularisation plans, which entail the potential disposal of Capital A's aviation assets to AAX.

The deadline falls on April 28 for AAX to submit its regularisation plan to Bursa, followed by July 7 for Capital A.

Only short covering & the die hard gamblers flogging a dead horse.

Big boys run road liao. Long way to go before AAX exit PN17.

https://klse.i3investor.com/web/announcement/detail/1761797

Even CSan, the blogger who started this bull run on AXX, has advised his followers to cash out at 1.13.
https://klse.i3investor.com/web/blog/detail/shareseatreasure/2023-03-06-story-h-296469887-THE_MOST_UNDERVALUED_TOURISM_STOCK_IN_THE_HISTORY_OF_BURSA_THAT_COULD_I

https://klse.i3investor.com/web/stock/financial-summary/5238

Apparently, it was reported that AAX has :
Short term Assets RM455.84m
Liabilities RM1.1
Long Term Assets RM1.53b
Liabilities RM1.48b

Short Term Liabilities: AAX has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: AAX has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.

https://www.msn.com/en-sg/news/other/maybank-singapore-s-profit-before-tax-doubles-to-s-655-92m-in-2022/ar-AA1819w1?ocid=msedgntphdr&cvid=097806b930914174b0f87496709f8964&ei=19

Sports Toto Berhad
SPTOTO
Share Price 7 Day 1 Year
1.52 -0.7% -20.0%
Second quarter 2023 earnings released: EPS: RM0.048 (vs RM0.04 in 2Q 2022)
Second quarter 2023 results:
EPS: RM0.048 (up from RM0.04 in 2Q 2022).
Revenue: RM1.41b (up 13% from 2Q 2022).
Net income: RM64.9m (up 22% from 2Q 2022).
Profit margin: 4.6% (up from 4.3% in 2Q 2022). The increase in margin was driven by higher revenue.
Revenue is forecast to grow 2.5% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Hospitality industry in Malaysia.

Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has fallen by 16% per year, which means it is significantly lagging earnings.

ASB, EPF, TH....... buy & sell among themselves.

Coming budget may include higher tax on gaming companies.

Coming budget may include higher tax on gaming companies.

MNRB Holdings Berhad
MNRB
Share Price 7 Day 1 Year
1.00 8.7% -13.0%


Third quarter 2023 earnings released: EPS: RM0.091 (vs RM0.028 loss in 3Q 2022)
Third quarter 2023 results:
EPS: RM0.091 (up from RM0.028 loss in 3Q 2022).
Revenue: RM893.9m (up 32% from 3Q 2022).
Net income: RM71.2m (up RM93.3m from 3Q 2022).
Profit margin: 8.0% (up from net loss in 3Q 2022). The move to profitability was driven by higher revenue.
Revenue is forecast to decline by 71% p.a. on average during the next 3 years, while revenues in the Insurance industry in Malaysia are expected to remain flat.

Over the last 3 years on average, earnings per share has fallen by 22% per year but the company’s share price has remained flat, which means it is well ahead of earnings.

Inflation bite seen less painful in 2023; 50 bps OPR hike still likely - The Edge Markets http://www.theedgemarkets.com/node/649787#.

TSMC engineers would jump at higher pay & free education for their children.

MNRB Holdings Berhad

Share Price 7 Day 1 Year
0.89 4.1% -23.9%

Second quarter 2023 earnings released: EPS: RM0.018 (vs RM0.05 in 2Q 2022)
Second quarter 2023 results:
EPS: RM0.018 (down from RM0.05 in 2Q 2022).
Revenue: RM810.2m (up 20% from 2Q 2022).
Net income: RM14.0m (down 64% from 2Q 2022).
Profit margin: 1.7% (down from 5.7% in 2Q 2022). The decrease in margin was driven by higher expenses.
Over the last 3 years on average, earnings per share has fallen by 23% per year but the company’s share price has only fallen by 7% per year, which means it has not declined as severely as earnings.

https://www.theedgemarkets.com/article/asiapacific-reinsurance-sector-faces-increasing-downside-risks-says-sp

Playing victim, deleting its aggressor role & atrocities in WWII from history books instead of admitting & atoning for them would not bring closure for Japan.

https://klse.i3investor.com/web/blog/detail/AmInvestResearch/2022-08-05-story-h1627147582-Syarikat_Takaful_Malaysia_Keluarga_Higher_claims_reserving_for_motor_in

MNRB
Share Price 7 Day 1 Year
0.99 1.0% -23.3%

Full year 2022 earnings released: EPS: RM0.15 (vs RM0.24 in FY 2021)
Full year 2022 results:
EPS: RM0.15 (down from RM0.24 in FY 2021).
Revenue: RM2.69b (up 7.6% from FY 2021).
Net income: RM114.4m (down 40% from FY 2021).
Profit margin: 4.3% (down from 7.6% in FY 2021). The decrease in margin was driven by higher expenses.
Over the last 3 years on average, earnings per share has fallen by 2% per year whereas the company’s share price has fallen by 4% per year.

May 28
First quarter 2022 earnings: EPS exceeds analyst expectations while revenues lag behind
First quarter 2022 results:
RM0.022 loss per share (up from RM0.086 loss in 1Q 2021).
Revenue: RM1.72b (up 176% from 1Q 2021).
Net loss: RM126.5m (loss narrowed 74% from 1Q 2021).
Revenue missed analyst estimates by 9.8%. Earnings per share (EPS) exceeded analyst estimates by 12%.

Over the next year, revenue is forecast to grow 80%, compared to a 83% growth forecast for the industry in Malaysia.

Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 65 percentage points per year, which is a significant difference in performance.

Flash in the pan. Back to pre-Covid performance.

TOPGLOV | Top Glove Corporation Bhd

Jun 11
Third quarter 2022 earnings: EPS and revenues miss analyst expectations
Third quarter 2022 results:
EPS: RM0.002 (down from RM0.25 in 3Q 2021).
Revenue: RM1.46b (down 65% from 3Q 2021).
Net income: RM15.3m (down 99% from 3Q 2021).
Profit margin: 1.0% (down from 49% in 3Q 2021). The decrease in margin was driven by lower revenue.
Revenue missed analyst estimates by 11%. Earnings per share (EPS) also missed analyst estimates by 90%.

Over the next year, revenue is forecast to grow 5.4%, compared to a 62% growth forecast for the industry in Malaysia.

Over the last 3 years on average, earnings per share has increased by 55% per year but the company’s share price has fallen by 12% per year, which means it is significantly lagging earnings.

TENAGA | Tenaga Nasional Berhad

May 31
First quarter 2022 earnings: Revenues exceed analysts expectations while EPS lags behind
First quarter 2022 results:
EPS: RM0.16 (down from RM0.17 in 1Q 2021).
Revenue: RM15.7b (up 36% from 1Q 2021).
Net income: RM893.1m (down 6.8% from 1Q 2021).
Profit margin: 5.7% (down from 8.4% in 1Q 2021). The decrease in margin was driven by higher expenses.
Revenue exceeded analyst estimates by 8.7%. Earnings per share (EPS) missed analyst estimates by 25%.

Over the next year, revenue is expected to shrink by 8.3% compared to a 4.8% growth forecast for the industry in Malaysia.

Over the last 3 years on average, earnings per share has increased by 3% per year but the company’s share price has fallen by 11% per year, which means it is significantly lagging earnings.

GENM | Genting Malaysia Berhad

May 28
First quarter 2022 earnings: EPS exceeds analyst expectations while revenues lag behind
First quarter 2022 results:
RM0.022 loss per share (up from RM0.086 loss in 1Q 2021).
Revenue: RM1.72b (up 176% from 1Q 2021).
Net loss: RM126.5m (loss narrowed 74% from 1Q 2021).
Revenue missed analyst estimates by 9.8%. Earnings per share (EPS) exceeded analyst estimates by 12%.

Over the next year, revenue is forecast to grow 80%, compared to a 83% growth forecast for the industry in Malaysia.

Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 65 percentage points per year, which is a significant difference in performance.

MNRB | MNRB Holdings Berhad

May 31
Full year 2022 earnings released: EPS: RM0.15 (vs RM0.24 in FY 2021)
Full year 2022 results:
EPS: RM0.15 (down from RM0.24 in FY 2021).
Revenue: RM2.70b (up 8.0% from FY 2021).
Net income: RM114.4m (down 40% from FY 2021).
Profit margin: 4.2% (down from 7.6% in FY 2021). The decrease in margin was driven by higher expenses.
Over the last 3 years on average, earnings per share has fallen by 2% per year whereas the company’s share price has remained flat.

Malayan Banking Berhad
MAYBANK
Share Price 7 Day 1 Year
8.99 0.3% 9.6%

First quarter 2022 earnings: EPS exceeds analyst expectations while revenues lag behind
First quarter 2022 results:
EPS: RM0.17 (down from RM0.21 in 1Q 2021).
Revenue: RM5.88b (down 1.2% from 1Q 2021).
Net income: RM2.04b (down 14% from 1Q 2021).
Profit margin: 35% (down from 40% in 1Q 2021). The decrease in margin was primarily driven by higher expenses.
Revenue missed analyst estimates by 5.3%. Earnings per share (EPS) exceeded analyst estimates by 4.0%.

Over the next year, revenue is forecast to grow 22%, compared to a 18% growth forecast for the industry in Malaysia.

Jaya Tiasa Holdings Berhad
JTIASA
Share Price 7 Day 1 Year
0.87 -8.4% 24.3%

Third quarter 2022 earnings: EPS and revenues miss analyst expectations
Third quarter 2022 results:
EPS: RM0.019 (up from RM0.028 loss in 3Q 2021).
Revenue: RM180.1m (up 19% from 3Q 2021).
Net income: RM17.9m (up RM44.8m from 3Q 2021).
Profit margin: 9.9% (up from net loss in 3Q 2021). The move to profitability was primarily driven by higher revenue.
Revenue missed analyst estimates by 1.4%. Earnings per share (EPS) also missed analyst estimates by 38%.

Over the next year, revenue is forecast to grow 5.3%, compared to a 6.7% growth forecast for the industry in Malaysia.

https://www.channelnewsasia.com/world/eu-moves-help-ukraine-export-grain-russia-blocks-sea-routes-2681411

https://www.channelnewsasia.com/world/eu-moves-help-ukraine-export-grain-russia-blocks-sea-routes-2681411

https://www.theedgemarkets.com/article/malaysias-april-cpo-inventory-rises-174-mom-%E2%80%94-mpob

https://www.theedgemarkets.com/article/malaysias-april-cpo-inventory-rises-174-mom-%E2%80%94-mpob

https://www.theedgemarkets.com/article/malaysias-endapril-palm-oil-stockpile-seen-first-time-six-months

MNRB | MNRB Holdings Berhad

Mar 03
Third quarter 2022 earnings: EPS in line with analyst expectations despite revenue beat
Third quarter 2022 results:
RM0.028 loss per share (down from RM0.064 profit in 3Q 2021).
Revenue: RM675.2m (down 3.9% from 3Q 2021).
Net loss: RM22.1m (down 147% from profit in 3Q 2021).
Revenue exceeded analyst estimates by 3.0%.

https://www.fwi.co.uk/news/ukrainian-farmers-wear-bulletproof-vests-to-sow-spring-crops

https://farmpolicynews.illinois.edu/2022/05/ukraine-farmers-plant-30-of-expected-spring-acreage-as-brazil-begins-fertilizer-diplomacy/#:~:text=%E2%80%9CThe%20union%20said%20Ukraine%20planned,occupation%20of%20territories'%20and%20mining.