FGV Holdings made a strong comeback with core earnings of RM424m for 9MFY21 after stripping out net impairment loss of financial assets (RM7.6m) and net unrealized FX gain (RM5.1m). The 9MFY21 results beat our and consensus full-year forecasts, making up 128% and 122%, respectively. The stronger-than-expected results were mainly led by stronger plantation earnings and a sharp increase in earnings contribution from jointly controlled entity. No dividend was declared for the quarter. In view of the stronger-than-expected results, we revise up our FY221-23F earnings forecasts by 54%-100% after imputing in higher profit margin for plantation segment. Consequently, we raise our SOP-based TP from RM1.59 to RM1.62. We also attach a 20% discount in our valuations in view of the prolonged measures taken to address its ESG concerns.

Topline driven by stronger plantation sales. The Group 3QFY21 sales rose 33% YoY to RM5.3bn contributed by plantation and logistics segments despite weaker sugar sales. Plantation sales jumped 41% YoY to RM4.6bn as realised CPO prices advanced RM2,645/mt to RM3,798/mt despite a 14% drop in CPO production. Meanwhile, 9MFY21 FFB production fell 10% YoY to 2.92m mt, translating into a lower FFB yield of 11.53mt/ha. OER was slightly higher at 20.35%. Meanwhile, sales contribution from 51%-owned sugar business dropped 7.7% YoY to RM548.7m, attributed to a 22% decline in sales volume due to prolonged lockdown and also partly due to annual planned maintenance. Meanwhile, logistics sales rose 4.9% YoY to RM83.5m, underpinned by improved contribution from bulking (+8%) segment, partially offset by weaker transport (-6% YoY) segment.
3QFY21 core earnings surged to RM401m. The Group saw its core earnings jumping from RM218m to RM401m. The plantation pre-tax profit doubled to RM481.2m. Sugar would have made a loss if not because of the gain from liquidation of excess raw sugar hedges amounting to RM30.9m. Earnings contribution from logistics segment rose 41% YoY to RM20.9m, attributed to higher bulking and transport earnings.
Expecting foreign workers to arrive by end-1Q22. The Group, which is currently operating at 70% workforce, expects the first batch of the 7,000 foreign workers that it plans to hire to arrive by the end-1Q22 due to stricter Covid-19 compliance. It added that the impact on production would only be seen by 2Q 2022. Meanwhile, the site assessments by Elevate, which is the independent auditor appointed to assess the group’s operations against the 11 international Labour Organisation indicators of forced labour, is expected to commence in the 1H 2022. Lastly, the upstream plantation has completed 7,573ha of felling and replanted 521ha as at 3QFY21.
Source: PublicInvest Research - 1 Dec 2021

Waa fantastic quarter results FGV

The EKVE highway is expected to be ready by the end of 2022,” said the deputy minister in the Dewan Rakyat today.

He was responding to a query from Temerloh MP Datuk Mohd Anuar Mohd Tahir who asked for details on the completion of the highway.

The EKVE is part of the Kuala Lumpur Ring Road which passes through Bandar Mahkota Cheras, Jalan Hulu Langat , Ampang Reserve Forest and ends at the Middle Ring Road 2 (MRR2).

The highway involves the development of a dual two-lane route which begins from Sungai Long in the Kajang Dispersal Link Expressway (Kajang SILK) until MRR2 in Ukay Perdana.

EKVE spans 36.16km of which 3.5km involves upgrading work in Jalan Ukay Perdana.

Well done AZRB..good profit generated

Today qtr results out?

Today qtrly result out?

Seems like good news to me

The group expects to return to the black with retained earnings of RM1.05 billion after the capital reduction exercise.

Decent dividend of >4% with potential Special dividend again payable in 2022

A weaker sequential result partly on lower electricity sales... 3QFY21 core profit fell 20% QoQ to RM1.08b, despite revenue rising 4%, partly due to the MCO 3.0 which led a 4.4% decline in electricity sales coupled with a higher sales discount of RM394.6m from RM45.1m previously. However, the higher group revenue was largely due to a big 318% jump in ICPT over-recovery of RM1.31b from RM0.31b as fuel cost rocketed. 3QFY21 total fuel costs surged 23% to RM5.45b from RM4.42b as average coal cost jumped 35% to USD124.1/MT from USD92.0/MT while average gas reference market price grew 13% to RM21.4m/mmbtu from RM18.9/mmbtu previously.

… but still a solid quarter YoY. YoY, 3QFY21 core profit rose 9% from RM986.8m last year, on the back of 17% expansion in revenue, owing to: (i) 37% decline sales discount and (ii) ICPT over-recovery of RM1.31b vs. ICPT under-recovery of RM0.96b on a surge in fuel costs. However, electricity revenue in Peninsular fell 8% as demand contracted 6.7%. YTD, 9MFY21 core profit leapt 38% to RM3.89b from RM2.82b while revenue rose 10% for the same reason above as the COVID-19-led sales discount fell sharply by 81% to RM0.46b from RM2.38b for the same period last year. In general, total fuel costs rose 11% which was mainly led by 59% jump in average coal prices.

On track to meet FY21 forecast and a better FY22. We expect a comparable sequential result in 4QFY21 as the higher hydro revenue in 1HFY21 is not sustainable. On the other hand, with COVID-19 now treated as endemic, new drastic lockdowns are unlikely; thus, we do not expect further COVID-19 impact in FY22. As such, we remain optimistic on its earnings prospects post-COVID pandemic as its earnings resiliency remains solid. Post 3QFY21 results, we keep our FY21 forecast unchanged but cut FY22 estimates slightly by 3% to reflect the one-off prosperity tax.

Attractive valuation; OP maintained. Share price is still lacklustre given the ESG concerns but heavy selling is somewhat abating. It has RE expansion plan and is committed to be coal-free by 2050 to address the ESG issue. Thus, its forward FY22E PER of 10x seems fairly attractive which values the stocks at 1.5SD below its 3-year mean. As such, we continue to rate the stock an OUTPERFORM with revised TP of RM11.41 from RM11.80, which embedded a RM2.05 ESG discount from its mean valuation of RM13.46. It is also supported by a decent dividend yield of >4% with potential special dividend. Downside risk to our recommendation is weaker-than-expected earnings from non-

Fgv very cheap for a palm oil plantation powerhouse

Air asia was already in a mess before covid

Air asia fundamentally have been reporting a loss since pre covid in early 2019

Saya dah pesan dulu…dun overpay for this share..cash burn approx 50 million satu bulan dan tak tentu lagi flight bila border open…flight aircraft operasi mereka akan dapat passenger load more than 80% utk setiap penerbangan

KUALA LUMPUR (Nov 18): Sime Darby Plantation Bhd said on Thursday (Nov 18) its third-quarter net profit from continuing operations more than tripled to RM635 million from RM190 million a year earlier, driven by the stronger performance of its upstream segment,

Simeplantation qtr results recently announced wasd fantastic!

Add sum more at 1.46 today. Portfolio updated

Whatever unit they are disposing are peanuts

Epf has 950 million tenaga shares 16.7%

My theory - FELDA will mop up as much as they can and make offer for those who have not sold yet

Where got misled…capital reduction by cancelling RM2billion worth of its issued share capital

Toll concession business not started yet

Defining a Rights Issue
A rights issue is an invitation to existing shareholders to purchase additional new shares in the company. This type of issue gives existing shareholders securities called rights. With the rights, the shareholder can purchase new shares at a discount to the market price on a stated future date. The company is giving shareholders a chance to increase their exposure to the stock at a discount price.

KEY TAKEAWAYS
A rights issue is one way for a cash-strapped company to raise capital often to pay down debt.
Shareholders can buy new shares at a discount for a certain period.
With a rights issue, because more shares are issued to the market, the stock price is diluted and will likely go down.
Until the date at which the new shares can be purchased, shareholders may trade the rights on the market the same way that they would trade ordinary shares. The rights issued to a shareholder have value, thus compensating current shareholders for the future dilution of their existing shares' value. Dilution occurs because a rights offering spreads a company’s net profit over a larger number of shares. Thus, the company’s earnings per share, or EPS, decreases as the allocated earnings result in share dilution.

On the 5th and 8th nov..tan sri bought 10million shares again

my theory = felda is going to make another takeover offer higher that 1.50 for the remaining shares after they already scoop up whatever they can get now until they make the announcement

What can he contribute? Branding again? - air asia brand stink like shit

Former adidas know jack shit about airline business

Well i ain’t selling FGV. Too juicy

A company may generally reduce its share capital in any way. In particular, a company may do so by cancelling or reducing the liability on partly paid shares, repaying any paid-up share capital in excess of the company's wants, or cancelling any paid-up share capital that is lost or unrepresented by available assets.

Supply vs demand - limited supply of shares available to trade will provide the opportunity to increase the value of the shares especially when the company is reporting good profitable numbers

After a capital reduction, the number of shares in the company will decrease by the reduction amount. While the company's market capitalization will not change as a result of such a move, the float, or number of shares outstanding and available to trade, will be reduced.

Increases in the total capital stock may negatively impact existing shareholders since it usually results in share dilution. That means each existing share represents a smaller percentage of ownership, making the shares less valuable.

parkson recovery this quarter seems to be good

This is the key statement gents

The group expected to return to black with retained earnings of RM1.05 billion after the capital reduction exercised

… expected to enhance the credibility of the company with bankers, customers, suppliers, investors and other stakeholders..

The way i see it - any activity that will help to show profit reporting is welcome

Capital reduction is the process of decreasing a company's shareholder equity through share cancellations and share repurchases, also known as share buybacks. The reduction of capital is done by companies for numerous reasons, including increasing shareholder value and producing a more efficient capital structure.


Understanding Capital Reduction
After a capital reduction, the number of shares in the company will decrease by the reduction amount. While the company's market capitalization will not change as a result of such a move, the float, or number of shares outstanding and available to trade, will be reduced.

The act of capital reduction may also be enacted in response to a decline in a company's operating profits or a revenue loss that cannot be recovered from a company's expected future earnings. In some capital reductions, shareholders will receive a cash payment for shares canceled, but in most other situations, there is minimal impact on shareholders.

A company is required to reduce its share capital using a set of specific steps. First, a notice must be sent out to creditors of the resolution of the capital reduction. Second, the company has to then submit an application for entry of the reduction of share capital no earlier than three months after publication of the initial notice. Share capital reduction is then expected to be paid to shareholders no earlier than three months after the entry of reduction in the commercial register.

Example of Capital Reduction
Many companies decide to reduce capital through repurchase agreements (buybacks). For example, Sirius XM Radio, an American broadcasting company that provides ad-free satellite radio services, announced on January 29, 2019 that its Board of Directors had approved an additional $2 billion common stock repurchase. The additional $2 billion repurchase in 2019 will bring the company's buyback authorizations to $14 billion in total since 2013. Sirius XM will fund the repurchase through cash on hand, future cash flow from operations, and future borrowings.

Tan sri has more than 55% controlling interest…setakat 10 juta shares celah gigi aje

Prosperity tax is against the principle of greed is good for foreign funds and local retailers

Air asia share price close lower again. Caveat emptor

Properity tax may have an impact on reducing dividend in 2022..better introduce gst laaa

So many unhappy “customers”

It is a scam. You ticket money will go to fund air asia startups

Not enough seat sold will lead to flight cancellation at the last minute and your ticket purchase will not be refunded but given credit instead.

The economic planning body is considering capping the price at which miners can sell thermal coal to alleviate pressure on power producers. China is also urging miners to deliver about an additional 100 million tons of the fuel by the end of the year to help meet winter demand.

Yes good news coal spot prices are in a freefall as china regulate the coal price

FGV is mving north gents 1.53

To be profitable their passenger load needs to be more than 80% per flight. Having 113 weekly flights counts for nothing if the passenger yield is low

Listen to the analyst - dun pay for overprice non performing company

Air asia been loss making since 2019 before covid. Good luck those who want to overpay for air asia shares

Air asia people think it is recovery and will be profitable but think again. They are just kicking the can down tje road. They have been loss making before pre covid in 2019

Loan secure pun mana cukup RM1billion.. singapore airline secure more than RM49 billion funding to help them recover