PUTRAJAYA (Jan 5): The palm oil industry, being the fourth largest contributor to the Malaysian economy, is expected to maintain its 2021 performance in 2022, backed by various marketing and promotional efforts to be conducted by the Ministry of Plantation Industries and Commodities and its agencies.
As of November 2021, total exports of Malaysian palm oil and its derivatives stood at 22.14 million tonnes and due to high palm oil prices, total revenue increased by 40% to RM91.4 billion as compared to 2020. This morning Mabel's collection of BioFuel Plantation continue to rise..
The FCPO price extended its rally, reinforcing our view of a base building mode. With momentum staying elevated, the FCPO price could challenge its Jan 2022 high of MYR5,228 soon. Note that MACD and RSI indicators also show positive readings.
1. grain and agri-business contributed RM3.77 billion (76%) revenue 2. consumer products at RM645 million (13%) revenue 3. environmental engineering and utilities at RM205 million (4%) revenue 4. film exhibition and distribution at RM116 million (3%) revenue 5. property at RM115 million (2%) revenue 6. other operations at RM90 million (2%) revenue
Film exhibition which is GSC Cinemas will deliver stronger earnings growth after 1st April 2022 border reopening. High inflation this year will push the consumer products segment revenue too. Somemore RM10K EPF and BKM (BRIM alike) will help the product volume of high inflation impact. PPB is defensive stock. No worries. Enjoy the uptrend with cigar. puff puff~~
KEY STOCK DATA P/E Ratio (TTM) 16.13(04/07/22) EPS (TTM) RM1.05 Market Cap RM24.47 B Shares Outstanding N/A Public Float 431.48 M Yield 2.06%(04/07/22) Latest Dividend RM0.25(06/01/22) Ex-Dividend Date 05/13/22
Integrity. Intelligent. Industrious. 3iii (iiinvestsmart)$€£¥ - your name is too long my friend. however, what you said is correct. PPB has a very strong balance sheet and indeed the PPB stock price is at a fair price today.
Good news for PPB: Malaysia's wholesale, retail trade sale up 8.5% to RM117.2bil in 2022.
Malaysia’s wholesale and retail trade sales increased by 8.5 per cent year-on-year (y-o-y) to RM117.2 billion in February 2022, according to the Department of Statistics Malaysia (DOSM). In a statement today, chief statistician Datuk Seri Dr Mohd Uzir Mahidin attributed the better performance to the retail trade sub-sector which increased by 10.2 per cent or RM4.5 billion to RM48.8 billion.
The retail sales of food, beverages and tobacco also increased by 8.6 per cent.
"This was followed by wholesale of food, beverages and tobacco which grew by 9.2 per cent to RM10.9 billion," said Mohd Uzir, adding that the wholesale of agricultural raw materials and live animals also increased 15.9 per cent to RM4.7 billion.
Other groups in this sector also recorded positive growth, name retail sales of household goods (+9.8 per cent) and retail sales in specialised stores (+5.6 per cent), for retail sales in non-specialised stores which also grew 15.9 per cent or RM2.5 billion to RM18.3 billion.” he said.
SERC sees Malaysia’s services sector recovery continuing.
The Socio-Economic Research Centre (SERC) says services sector such as wholesale, retail sector, entertainment, food & beverage will regain the strongest growth.
Its executive director Lee Heng Guie said in a virtual briefing the growth this year will be underpinned largely by a sustained rebound in domestic demand, especially private consumption and public spending.
According to Lee, domestic demand will anchor the recovery in 2022. While he revised higher his private consumption growth estimate to 6.5% in 2022 from 5.9% previously.
”While we reckon that pent-up demand, cash handouts and the fourth round of Employees Provident Fund (EPF) withdrawals will support consumer spending,”he said.
He said the services sector will regain the strongest growth, which is estimated at 6.1% in 2022 (1.9% in 2021), mainly due to the revival of domestic demand and the anticipated rebound of tourism and related services sectors, thanks to the reopening of international borders.
general sentiment on economy for PPB sector is nice.. huge potential for PPB's consumer product & PPB's GSC Cinemas to deliver stronger earnings growth.
1. PPB UTILITIES SEGMENT: Current Orderbook RM360 million + Soon RM400 million Brunei PPB managing director Lim Soon Huat said the group is optimistic that its utilities segment will see a steady recovery in 2022 with the relaxation of social restrictions and recovering markets.
“We now qualify to participate in government tenders as a main contractor for water and sewage projects, and the market has recognised us as a capable infrastructure works contractor, thus opening more opportunities for the group."
“The group’s subsidiary Chemquest Sdn Bhd (CQ) has tendered for water projects in Malaysia and Brunei worth RM400 million and will continue to focus on opportunities in water, sewage and infrastructure projects," he added.
Last year, Chemquest Sdn Bhd CQ completed two water treatment plants in Johor and Sarawak worth RM87 million and secured three water projects in Sarawak, Johor and Kedah worth RM212 million, bringing its order book to a total of RM360 million as of Dec 31, 2021.
2. PPB ENTERTAINMENT SEGMENT: Launching 8 Big Cinema Halls & 50 New Screens This Year. PPB Group Bhd, the owner of Golden Screen Cinemas Sdn Bhd (GSC), is optimistic that lifting of movement controls, relaxation of social restrictions and a strong line-up of movie blockbusters would boost cinema admissions.
“We are launching eight BIG cinema halls to provide a better immersive experience, and opening at least two Happy Food Co outlets during the year.
“GSC also targets to introduce new cinemas in Bintulu, Johor, Kuala Lumpur, and Putrajaya, with a total of 50 new screens," he said.
3. PPB PROPERTY SEGMENT: Residential Construction Completion On This 2Q22 PPB said its Megah Rise residential construction is nearing completion by the second quarter of 2022 (2Q22), adding that it is focusing on the retail mall’s scheduled opening in 4Q22. “The management is also reviewing potential new developments in Penang and Bedong, Kedah," Lim added.
4. PPB GRAIN SEGMENT: “We are committed to optimising operational efficiencies through our group’s extensive grain procurement experience and technical competency to mitigate the impact of rising raw materials and operating costs," he said.
PPB group is a conglomerate involves in sugar refining, grains trading, flour and feed milling and film exhibition and distributions. PPB group supplies 50% of domestic sugar requirements. It is also a market leader supplies more than 40% of Malaysian flour requirements. In the leisure sector, it has 400 screens in 40 locations nationwide. PPB’s strategic acquisitions and business ventures over the years have enabled it to successfully diversify its businesses to include Environmental Engineering and Utilities led by the Chemquest Group, in which PPB has 55% equity interest. This segment provides water engineering, sewage treatment and flood mitigation services. PPB owns and manages several retail and commercial properties comprising a shopping centre, Cheras LeisureMall, an office building, Cheras Plaza in Taman Segar, Kuala Lumpur, as well as New World Park and the Whiteaways Arcade in Georgetown, Penang. Two wholly-owned subsidiaries of PPB, PPB Hartabina Sdn Bhd and PPB Property Development Sdn Bhd, carry out property development and provide project and property management services, respectively, for projects undertaken and properties owned by PPB Group companies and affiliates.
In June 2007, PPB disposed its oil palm businesses to Wilmar International for a 18.3% stake. PPB is an 18 percent shareholder in associate company Wilmar International, an agribusiness group based in Singapore. Wilmar is one of the largest cultivators of palm oil and the largest palm oil trader in the world. The total planted area is 232,053 hectares (ha) as at 31 December 2020, of which about 65% is in Indonesia, 26% in East Malaysia and 9% in Africa. Due to Wilmar's size, it contributes to more than half of PPB's pre-tax profits (under the equity method of recognizing its share of Wilmar's profits in its own profit or loss).
The Tropical Oils (Plantation, Manufacturing and Merchandising) segment comprises the Group’s entire value chain of palm oil assets from plantations and palm oil mills to processing, merchandising, branding and distribution of palm oil and lauric related products including oleochemicals, specialty fats and biodiesel.
FERTILIZER Wilmar’s fertilizer operations and markets are located in Indonesia and Malaysia. We are one of the largest fertilizer players in Indonesia, with 1.2 million MT per annum production capacity dedicated to nitrogen, phosphorus and potassium (NPK) compound fertilizers. We have a further 100,000 MT capacity in Sabah to complement the Group’s activities in East Malaysia. We also engage in the trading and distribution of various straight fertilizers and agrochemicals, making us a one-stop supplier for agriculture inputs.
PPB group In June 2007, PPB disposed its oil palm businesses to Wilmar International for a 18.3% stake. PPB is an 18 percent shareholder in associate company Wilmar International, an agribusiness group based in Singapore. Wilmar's contributes more than half of PPB's pre-tax profits (under the equity method of recognizing its share of Wilmar's profits in its own profit or loss).
Singapore, 22 Feb. 2022 – Wilmar International Limited. Wilmar International Limited, founded in 1991 and headquartered in Singapore, is today Asia’s leading agribusiness group. Wilmar is ranked amongst the largest listed companies by market capitalization on the Singapore Exchange.
Asia’s leading agribusiness group, reported a record US$1.89 billion net profit for the year ended 31 Dec. 2021 (“FY2021”) as against US$1.53 billion ("FY2020"). This is the highest full year net profits attained by the Group since listing. The Board has proposed a final tax exempt (one-tier) dividend of S$0.105 per share. Including the interim dividend of S$0.05 per share paid in August 2021, the total dividend paid and proposed for FY2021 is S$0.155. This represents the highest cash dividend by the Group since listing.
Mr. Kuok Khoon Hong, Chairman and CEO of Wilmar said Palm Processing, Palm Plantation and Sugar Milling segment should perform well. Barring unforeseen circumstances, we expect results for FY2022 to be satisfactory.”
Oil prices are hitting all-time highs worldwide, creating long lines and panic buying. If that reads like an old story, consider this: we're not talking about fuel oil here. We're talking about food oil, and sunflower oil and palm oil in particular.
In the case of sunflower oil, it's because of a sharp decrease in supply due to the war in Ukraine. Russia and Ukraine together accounted for 75 percent of sunflower oil production before the war began, with Ukraine the world's largest exporter. With harvests in Ukraine stalled , and sanctions in place against Russian firms, production and exports have slumped: exports from Ukraine are down 95 percent since the invasion, and if the war grinds on, Ukrainian farmers risk missing their harvesting and planting windows.
The sunflower oil shortage has hit some Western countries particularly hard. Sunflower oil is one of the most popular cooking oils in Germany and the UK, both of which love their deep-fried foods and value (or valued) sunflower oil for its relatively low price point and comparatively high smoke point. The shortage has created runs on sunflower oil in both countries, with grocery stores rationing sales after shelves were cleared of all supplies, and some restaurants in Germany taking fries off the menu.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....