Sime Darby's earnings

Sime reported its earnings last night.

Here's Business Times news clip:

• Sime Darby net profit soars to RM4.2b
  
  By Ooi Tee Ching Published: 2012/08/30
  
  Sime Darby Bhd’s net profit for the year ended June 2012 rose 13 per cent to RM4.2 billion from RM3.7 billion a year ago, thanks to strong performances in its car and heavy machinery divisions, said president and group chief executive officer Datuk Mohd Bakke Salleh.
  
  The plantation business, which typically makes up more than half of the group’s annual profits, saw a slight dip.
  
  In a briefing held here yesterday, Bakke said plantation net profit of RM3.2 billion was 2.3 per cent lower than the previous year because the group harvested less fresh fruit bunches.
  
  Erratic weather conditions, alternating between drought and heavy rainfall, stressed the oil palm trees and these had led to lower yields.
  
  Sime harvested 9.8 million tonnes of palm fruits, 3.4 per cent lower than last year’s 10.1 million tonnes.
  
  Interestingly, the group managed to sell its palm oil at RM2,925 per tonne, marginally higher than RM2,906 per tonne in the previous year.
  
  Oil extraction rate, however, was a little bit higher at 21.8 per cent compared with 21.4 per cent, previously.
  
  Following Indonesia’s palm oil tax restructure in October 2011, Sime’s refinery business suffered RM62.3 million in losses.
  
  This has narrowed from the previous year’s RM74.6 million loss which included an impairment of RM114 million.
  
  Sime’s heavy machinery division experienced brisk business when it sold more mining equipment in Australia. This division chalked up RM1.4 billion in pre-tax profit, 27 per cent higher than previously, as it included maiden contribution from the newly-acquired Bucyrus business.
  
  The property division’s operating profit inched 2 per cent to RM467 million from RM456 million.
  
  Meanwhile, the energy and utilities division operating profit climbed 36 per cent to RM335 million, thanks to recognition of the deferred revenue from its power plant in Malaysia. Its China seaport business enjoyed higher cargo handling throughput at Weifang Port.
  
  The healthcare division’s operating profit maintained at RM26 million, as the high number of patients was moderated by the slower nursing education sector and start-up expenses for the new Ara Damansara hospital.
  
  Sime’s other businesses posted RM68.8 million in profits, a welcome relief from last year’s RM42 million loss.
  
  The turnaround was attributed to higher contribution from Tesco and the insurance brokerage business, which included RM29.7 million profit from the impairment of an investment sale.
  
  
  For the full-year ended June 2012, Bakke highlighted Sime’s RM4.2 billion net profit surpassed its key performance indicator of RM3.3 billion by 27 per cent.
  
  “Return on average shareholders’ funds improved 16.6 per cent, surpassing our 13.3 per cent target. This is the second consecutive year we’ve exceeded our targets.
  
  “We are well on track to realise the long-term targets outlined in our five-year strategy blueprint,” he added.
  
  On the outlook for the current year ending June 2013, Bakke warned of challenging times as the group’s earnings are highly dependent on palm oil prices.
  
  “Palm oil is trading at a significant discount of US$260 per tonne from soya. So, there’s still a lot of upside. But then again, there are also factors like the restructuring of Indonesian palm oil taxes that are pulling down prices,” he said.
  
  On a positive note, Bakke is hopeful of the palm trees recovering from stress, enabling the group to harvest 10.4 million tonnes of fresh fruit bunches. This represents 6 per cent more than 9.8 million tonnes recorded in the year ended June 2012.

Net profit soars to 4.2B? They used the ytd figures.

Here's  the SunDaily version.

• Sime Darby Q4 profit down 16 percent Posted on 29 August 2012 - 01:12pm
  Last updated on 29 August 2012 - 09:32pm
  
  KUALA LUMPUR (Aug 29, 2012): Malaysian palm oil giant Sime Darby said Wednesday its net profit sank 16.2 percent in the fourth quarter due to a decline in its plantation business earnings.
  
  The world's largest listed palm oil producer by acreage said net profit for the three months ended June 30 was 1.10 billion ringgit ($353.2 million) compared with 1.31 billion ringgit during the same quarter a year earlier.
  
  The company remained "mindful of the uncertainties in the business environment as we move ahead amidst volatility in the global economy," Mohamad Bakke Salleh, Sime Darby president and Group CEO, said in a statement.
  
  Revenue for the quarter ending June 30 grew 8.1 percent to 14.12 billion ringgit from 13.06 billion ringgit, it said in a filing to the stock exchange.
  
  The company said the quarterly profit decline came in large part due to a slight decline in fresh fruit production.
  
  For the entire financial year, however, net profit increased 13.0 percent to 4.35 billion, up from 3.85 billion ringgit the previous year, it said.
  
  Revenue for the fiscal year increased to 47.60 billion ringgit from 41.86 billion ringgit.
  
  Sime Darby is involved in plantations, property and healthcare and operates in over 20 countries. It is one of the largest companies on the Malaysian stock exchange, with a market capitalisation of 58.9 billion ringgit. – AFP

DRB's Latest Earnings

On SunDaily: http://www.thesundaily.my/news/473282

• DRB-Hicom's Q1 net profit falls 64% Posted on 27 August 2012 - 08:45pm
  
  SHAH ALAM (Aug 27, 2012): DRB-Hicom Bhd's net profit for the first quarter ended June 30, 2012 (Q1) fell 64% to RM32.6 million from RM91.1 million a year ago due to higher finance cost following the acquisition of Proton Holdings Bhd and losses incurred by Proton's subsidiary Group Lotus Plc.
  
  Its revenue, however, rose 119% to RM3.5 billion from RM1.6 billion following the inclusion of Proton's revenue in Q1. DRB-Hicom had completed its 100% acquisition of Proton on June 26.
  
  "The impact of Proton's acquisition on the group's bottom line is transient. With the recent addition of Proton into the group, there is tremendous potential to realise a number of synergistic opportunities for us," DRB-Hicom group managing director Datuk Seri Mohd Khamil Jamil said in a statement today.
  
  "We are also looking at the implementation of several initiatives to improve cost effectiveness, quality and delivery efficiency to further enhance the group's performance — all geared towards ensuring growth and profitability for both Proton and the group.
  
  "These initiatives will leverage the group's extensive business and technical know-how as well as its experience working with global partners, who are market leaders. The initiatives transcend the entire automotive value chain, which includes manufacturing systems, localisation, vendor development, distribution, marketing and after sales," he added.
  
  With all these initiatives in place, the board expects the group's performance for the financial year ending March 31, 2013 to remain satisfactory.
  
  "We also look forward to further growth in the auto industry on the back of the increase in total volume of motor vehicle sales of 301,224 units in the first six months of 2012, compared with 297,203 sold a year ago," said Mohd Khamil.

This is DRB's core numbers...

This is Business Times version. (the headline focused on the revenue. why? guess. :P )

• DRB-HICOM Q1 revenue soars 119pc to RM3.46b
  Published: 2012/08/28
  
  KUALA LUMPUR: DRB-HICOM Bhd's revenue jumped 119 per cent to RM3.46 billion for the first quarter ended June 30 2012 from RM1.58 billion in the corresponding period last year, after it included Proton Holdings Bhd's revenue in the period under review.
  
  However, the group's pre-tax profit dropped to RM97.9 million from RM146.3 million a year ago. This is due to the higher finance cost following the acquisition of Proton as well as the losses incurred by Proton's wholly-owned subsidiary, Lotus, it said in a statement yesterday.
  
  DRB-HICOM completed its 100 per cent acquisition of Proton on June 26 2012.
  
  The group's managing director Datuk Seri Mohd Khamil Jamil said the group is looking at the implementation of several initiatives to improve cost effectiveness, quality and delivery efficiency to enhance its performance that is all geared towards ensuring growth and profitability for both DRB-HICOM and Proton.
  
  He added these initiatives will leverage on the group's extensive business and technical know-how as well as its experience working with global partners.
  
  The initiatives transcend the entire automotive value chain, which includes manufacturing systems, localisation, vendor development, distribution, marketing and after sales, he said.
  
  "The impact of Proton's acquisition on the group's bottom line is transient. With the recent addition of Proton into the group, there is tremendous potential to realise a number of synergistic opportunities for us," he said.
  
  DRB-HICOM's performance is expected to remain satisfactory for its financial year ending March 31 2013 with all the initiatives in place.
  
  Mohd Khamil said the group looks forward to grow in the automotive industry on the back of the increase in the total volume of motor vehicle sales to 301,224 units in the first six months of 2012, compared with 297,203 sold last year.

Another one for my Best Fit News section.

Berjaya Corp Book A 44 Million Loss From Its Investment In Silver Bird

Berjaya Corp announced its earnings. Here's the numbers.

Here's the Sun Biz take on Berjaya Corp's earnings. http://www.thesundaily.my/news/420394

• BCorp posts pre-tax profit of RM586m for FY12 Posted on 29 June 2012 - 05:41am
  
  PETALING JAYA (June 29, 2012): Berjaya Corp Bhd (BCorp) reported a pre-tax profit of RM585.9 million for the financial year ended April 30, 2012 (FY12) compared with RM626 million a year ago, due mainly to lower operating profit from its marketing of consumer products and services segment.
  
  Revenue rose marginally to RM7.1 billion from RM7 billion a year ago, mainly contributed by the group's marketing of consumer products and services, betting operations, and hotels and resorts segments.
  
  For the fourth quarter (Q4), the group's pre-tax profit came in lower at RM70.3 million from RM182.2 million a year ago, due to lower contribution from its marketing of consumer products and services, betting operations and the share of associate companies' exceptionally high losses, particularly from the investment in Silver Bird Group Bhd, where the group equity accounted for its share of losses amounting to about RM44 million.
  
  In addition, the previous year's corresponding quarter profit included one-off exceptional gains from disposal of investment property and investments.
  
  "The expansion of the retail distribution division into new markets involved high initial expenses in terms of pre-operating, setting up and operating overheads, which had eroded profits during the current expansion phase. The motor distribution business, however, recorded an increase in profit for the quarter under review," BCorp said in a filing with Bursa Malaysia yesterday.
  
  The gaming business recorded a lower pre-tax profit mainly due to higher prize payout in Q4, which offset gains from its property and hotels and resorts businesses.
  
  It also saw lower revenue in Q4 of RM1.8 billion from RM1.9 billion a year ago.
  
  For FY13, BCorp said it will focus on further developing all its business segments, in particular the marketing of consumer products and services.
  
  "The emphasis will be on improving efficiency as well as widening their market presence. Given the cautious economic outlook, the directors are of the view that the group's performance for the current financial year will remain satisfactory," it added.

And as usual, for some business journalists, it's the pre-tax profit that matters!

Fantastic Baby!

Do they really know that taxes do matter???

So Berjaya Corp booked a 44 million loss from its investment in Silver Bird. Ouch! ( The 'sibuk' one of course would be very keen to know how much losses did LTH book for its investment in Silver Bird!)

Here's an old article dated 2007 (sorry link broken) posted on the Edge.

• 5-10-2007: Berjaya ups stake in Silver Bird to 14.15% By Gan Yen Kuan
  
  Berjaya Corporation Bhd (BCorp) has more than doubled its stake in Silver Bird Group Bhd to 14.15% after its subsidiaries acquired a total of 18.71 million shares on Sept 27 and Oct 1.
  
  The acquisitions took place after Lembaga Tabung Haji (LTH) emerged as the single largest shareholder of the bread and confectionery maker, with a 23.72% stake comprising 55.65 million shares as at Sept 26.
  
  Several filings to Bursa Malaysia on Wednesday showed that BCorp's indirect subsidiaries, namely Berjaya Sompo Insurance Bhd, Rantau Embun Sdn Bhd and Selat Makmur Sdn Bhd, acquired nine million Silver Bird shares on Sept 27, and 9.71 million on Oct 1, all from the open market.
  
  The two transactions increased BCorp's total shareholdings in Silver Bird to 33.2 million shares.
  
  Subsequently, BCorp chairman and chief executive officer Tan Sri Vincent Tan Chee Yioun's direct and indirect stake in Silver Bird was raised to 14.36%, given his interest in BCorp. His direct stake in Silver Bird comprises 487,500 shares or 0.21%.
  
  A filing on Wednesday also showed that Silver Bird group managing director Datuk Jackson Tan Han Kook had acquired 500,000 shares, directly and indirectly on Tuesday, raising his stake in the company to 17.29%.
  
  Yesterday, the share price of Silver Bird hit an intra-day high of RM1 before easing off to close at its historic high of 96 sen, up 17.5 sen or 22.29%. There were 14.4 million shares transacted.
  
  Its warrants surged 50% or eight sen to close at a historic high of 24 sen, and was the most actively traded counter with the volume of 89.3 million.
  
  The other major shareholder of Silver Bird is Australian venture capital firm CVC Ltd, which has a 12.81% stake comprising 30.06 million shares. Of the 30.06 million shares, 20 million were acquired through private placement, while 10.06 million were transferred to it from its fund manager Perkasa Normandy Managers Sdn Bhd.
  
  That left Perkasa Normandy with 10 million Silver Bird shares at press time.
  
  CIMB Research said in a research note yesterday that the recent development in Silver Bird appeared like "a race for control" between the major shareholders.
  
  "SBG (Silver Bird Group Bhd) remains a trading-oriented buy as we expect a flurry of buying by the four major shareholders in a possible tussle for control that could trigger a general offer," it said.
  
  As such, the research house raised its target price for Silver Bird to RM1 from 75 sen, as it increased the price to book value (P/BV) target to two times from 1.5 times, given that Silver Bird's share price "could bid up in the fight for control".
  
  "As the two times P/BV is still nowhere near the current six times average for Nestle Malaysia, F&N Holdings and Dutch Lady, and the sector's historical 10-year low of 4.3 times, this suggests further upside to our target price," it added.
  
  LTH has been accumulating Silver Bird shares since early September. The Edge Financial Daily reported last Thursday that the LTH's accumulation of a strategic stake in Silver Bird had led to analysts speculating that the latter could be used as a platform for the pilgrim fund to enter the food industry in a big way.
  
  On that note, CIMB Research said LTH had "made no secret of its intention of going into the food business", riding on the government's efforts to promote Malaysia as the hub for halal food.
  
  "In FY06, LTH made a net profit of RM210 million and had net cash of RM2.5 billion. Based on yesterday's (Oct 3) closing price, LTH will have to pay only RM141 million for the SBG shares it does not already own.
  
  "We view cash-rich LTH's involvement positively as it could be adding value, and more importantly, adding credibility, to SBG, whose halal status came under scrutiny last year," it said.
  
  While LTH was acting on its own, the research house said there was still no information as to whom Perkasa Normandy and CVC were buying the Silver Bird shares for.
  
  acquired nine million Silver Bird shares on Sept 27, and 9.71 million on Oct 1, all from the open market.
  
  The two transactions increased BCorp's total shareholdings in Silver Bird to 33.2 million shares.
  
  Subsequently, BCorp chairman and chief executive officer Tan Sri Vincent Tan Chee Yioun's direct and indirect stake in Silver Bird was raised to 14.36%, given his interest in BCorp. His direct stake in Silver Bird comprises 487,500 shares or 0.21%.
  
  A filing on Wednesday also showed that Silver Bird group managing director Datuk Jackson Tan Han Kook had acquired 500,000 shares, directly and indirectly on Tuesday, raising his stake in the company to 17.29%.
  
  Yesterday, the share price of Silver Bird hit an intra-day high of RM1 before easing off to close at its historic high of 96 sen, up 17.5 sen or 22.29%. There were 14.4 million shares transacted.
  
  Its warrants surged 50% or eight sen to close at a historic high of 24 sen, and was the most actively traded counter with the volume of 89.3 million.
  
  The other major shareholder of Silver Bird is Australian venture capital firm CVC Ltd, which has a 12.81% stake comprising 30.06 million shares. Of the 30.06 million shares, 20 million were acquired through private placement, while 10.06 million were transferred to it from its fund manager Perkasa Normandy Managers Sdn Bhd.
  
  That left Perkasa Normandy with 10 million Silver Bird shares at press time.
  
  CIMB Research said in a research note yesterday that the recent development in Silver Bird appeared like "a race for control" between the major shareholders.
  
  "SBG (Silver Bird Group Bhd) remains a Trading-oriented Buy as we expect a flurry of buying by the four major shareholders in a possible tussle for control that could trigger a general offer," it said.
  
  As such, the research house raised its target price for Silver Bird to RM1 from 75 sen, as it increased the price to book value (P/BV) target to two times from 1.5 times, given that Silver Bird's share price "could bid up in the fight for control".
  
  "As the two times P/BV is still nowhere near the current six times average for Nestle Malaysia, F&N Holdings and Dutch Lady, and the sector's historical 10-year low of 4.3 times, this suggests further upside to our target price," it added.
  
  LTH has been accumulating Silver Bird shares since early September. The Edge Financial Daily reported last Thursday that the LTH's accumulation of a strategic stake in Silver Bird had led to analysts speculating that the latter could be used as a platform for the pilgrim fund to enter the food industry in a big way.
  
  On that note, CIMB Research said LTH had "made no secret of its intention of going into the food business", riding on the government's efforts to promote Malaysia as the hub for halal food.
  
  "In FY06, LTH made a net profit of RM210 million and had net cash of RM2.5 billion. Based on Wednesday's closing price, LTH will have to pay only RM141 million for the SBG shares it does not already own.
  
  "We view cash-rich LTH's involvement positively as it could be adding value, and more importantly, adding credibility, to SBG, whose halal status came under scrutiny last year," it said.
  
  While LTH was acting on its own, the research house said there was still no information as to whom Perkasa Normandy and CVC were buying the Silver Bird shares for.

LOL! They used P/BV as a comparion? ( Do you wonder why they did not do a Price Earnings comparison? ) And they actually compared Silver Bird to Nestle and Dutch Lady??

And Silver Bird posted its earnings the other day too: http://www.thesundaily.my/news/417801

• Silver Bird posts bigger Q2 net loss of RM295m Posted on 27 June 2012 - 05:39am
  
  PETALING JAYA (June 27, 2012): Financially-troubled Silver Bird Group Bhd announced a bigger net loss of RM295.3 million in the second quarter ended April 30, 2012 (Q2) against the previous quarter's RM13.6 million, on a dip in revenue from its consumer food and telecommunication businesses.
  
  It posted a net profit of RM1.9 million in the year-ago period. Revenue fell 35% to RM30.8 million for Q2 from RM47.7 million a year ago.
  
  Despite the huge losses, Silver Bird said it will maintain the operations of its consumer food division, which it deems to be profitable, and will start a new business in the distribution of U-Mobile telephone cards.
  
  "The board is in the process of evaluating the prospects of the group in the light of the financial irregularities, removal of its managing director, executive director and general manager of accounts and finance, the Practice Note 17 (PN17) status of the group as well as the termination of the distribution agreement between Maxis Mobile Services Sdn Bhd and Stanson Marketing Sdn Bhd," it said in a filing with Bursa Malaysia yesterday.
  
  Silver Bird entered into PN17 status on Feb 29 after defaulting on payments to creditors amounting to RM5.37 million.
  
  Reviewing its Q2 results, Silver Bird said the consumer food division recorded a revenue of RM31 million, a decline of 34% from the RM47 million a year ago, while revenue from the telecommunication business fell to RM200,000 from RM1 million.
  
  For the six months, Silver Bird posted a net loss of RM308.9 million compared with a net profit of RM2.8 million a year ago, mainly due to the financial irregularities in the consumer food division.
  
  Revenue also declined to RM75.3 million from RM95.7 million.
  
  Silver Bird said the financial irregularities have affected the financial results of the group for Q2.
  
  "These financial irregularities continued into the month of February 2012, when all appropriate adjustments were made to reflect a true and fair financial position of the group. Accordingly, the financial report for the quarter ended April 30, 2012 must be read in the above light," it added.

ps: Do read the earnings note posted on Bursa Malaysia. It's a much better read, especially on how and where the losses were recorded.

Best Headline: Q1 Earnings

Posted on the Business Times version this morning.

• 'Malaysia Q1 corporate earnings within expectations'
  
  Published: 2012/06/05
  
  Analysts say there were letdowns from companies in the plantation, oil-and-gas, transport, steel and gaming sectors
  
  MALAYSIA'S corporate earnings in the first quarter, though largely within expectations, were weaker than the previous quarter, prompting analysts to turn cautious and lower their growth expectations for the year.
  
  Analysts said there were letdowns from companies in the plantation, oil-and-gas, transport, steel and gaming sectors but positive surprises from those in the financial and insurance sector.
  
  "Despite elements of seasonality in the just-concluded reporting season, there was a greater number of earnings misses among the big caps," said OSK Research.
  
  OSK noted that its upgrade-to-downgrade ratio for companies in the quarter slipped to 0.5 times - implying two downgrades in earnings for every upgrade - from the previous quarter's high of 0.9 times.
  
  "The downgrades appear to be more apparent among the big caps (three downgrades for every upgrade), indicating that analysts are turning more cautious going into the second half of this year, with potential delays in holding the general election and the protracted woes in the eurozone," it said in a report yesterday.
  
  Three months ago, the outlook had seemed more bullish, buoyed by expectations of a rosier economic outlook.
  
  RHB Research said corporate earnings remained weak in the first quarter in tandem with the moderating economic growth.
  
  Of the 108 companies that the research house tracks, 53.7 per cent reported earnings within its expectations, 30.6 per cent below expectations and 15.7 per cent above.
  
  "Indeed, this set of results was slightly worse than the previous results reporting season where 29.2 per cent of the earnings were below our forecasts and 22.1 per cent above our expectations," it said.
  
  It cut its 2012 earnings growth forecast of the FBM KLCI stocks in its coverage to 10.7 per cent, compared with 12.2 per cent two months before.
  
  "Overall, top line growth was weak, given the slowing economic growth that has translated to weak sales and utilisation rates for some companies under our coverage.
  
  "This, coupled with the continuing trend of higher costs, resulted in falling margins for many companies under our coverage," it said.
  
  The weaker corporate earnings growth momentum, coupled with a slowing economy and uncertainties over how Europe's debt crisis will pan out, means the stock market will likely be stuck in a range-bound trading pattern until new catalysts emerge.
  
  "We believe the market pullback that we have seen thus far may not be over and we expect the market to mire in a correction and consolidation mode at least until after the new Greek election on June 17," RHB said.
  
  OSK said there were enough reasons for investors to stay defensive while positioning for rebound trades in the event of a sharp pullback in the local market.
  
  Still, it believes the upcoming listing of two major initial public offerings, namely Gas Malaysia Bhd and Felda Global Ventures Holdings Bhd, should provide near-term catalysts and support for the FBM KLCI.

I really wonder how Business Times decided that 'Malaysia Q1 corporate earnings within expectations' was the best fitting headline describing Q1 corporate earnings.

Anyway, this was posted on Sun Daily Business yesterday: http://www.thesundaily.my/news/397059

• Q1 corporate results disappointing Posted on 4 June 2012 - 05:37am
  
  PETALING JAYA (June 4, 2012): The season for reporting first-quarter 2012 earnings ended last week, with disappointing corporate results and lukewarm assessments of the year ahead.
  
  Alliance Research Sdn Bhd said the Q1 results showed that the much-hoped-for earnings improvement in 2012 remained a pipe-dream as 34% of stocks monitored by it reported earnings below consensus estimates, a marked increase over the 24% negative earnings surprises for the fourth-quarter 2011 earnings season.
  
  The percentage of results coming in within expectation also fell from 56% to 49%, while the percentage of positive earnings surprises dipped from 20% to 17%, it said in a report last Friday.
  
  "Q1 earnings season was a disappointment on two counts. Firstly, negative earnings surprises have increased given widespread earnings disappointment seen in the automotive, aviation, gaming, plantation, shipping and timber sectors.
  
  "Secondly, the nascent earnings upgrade momentum since beginning of 2012 has reversed course with consensus earnings for the FBM KLCI being cut by 0.8% for 2012 and 0.4% for 2013, led by the plantation and gaming sectors," said Alliance.
  
  Despite a recent rebound in the benchmark FBM KLCI, the research firm believes the respite may be short-lived given overwhelming headwinds such as a heightening concern over the eurozone debt crisis as well as the impending 13th general election (GE). The FBM KLCI has rebounded by 3.2% since hitting a recent low of 1,532.46 points on May 18.
  
  "We believe the stock market will consolidate in Q3 before staging a recovery in Q4 when there is more clarity on whether Greece will trigger a global credit crunch by exiting the eurozone, the extension of fiscal and monetary easing policies in US which are expiring by mid-2012, and the political landscape in Malaysia post-GE," said Alliance.
  
  Its end-2012 FBM KLCI target remains unchanged at 1,630 points, which is pegged to a mean price-to-earnings valuation of 15 times. The FBM KLCI closed 7.08 points lower at 1,573.59 on Friday.
  
  "We are maintaining our sector calls as we continue to overweight banking, construction, consumer, gaming, oil and gas (O&G), and retail REIT which are beneficiaries of resilient domestic consumption and government spending," it said.
  
  Meanwhile, the sectors which had contributed to negative earnings surprises in Q1 were automotive due to weak demand, aviation due to high fuel cost, gaming due to poor luck factor and higher costs, plantation on lower production due to tree stress, shipping due to low rates and weak demand, and timber due to low prices.
  
  Meanwhile, the oil and gas sector has been a mixed bag, with fabricators posting positive earnings surprises and vessel players, negative earnings surprises.
  
  "The only clear-cut outperforming sector was consumer with firm demand growth almost across the board," said Alliance.

More Sexy Story: Scomi's Earnings

Got the following comments:

• yea,the article should not omit such information. Maybe the journalist is being lazy and wants to save the trouble of explaining the extreme fluctuation between the quarters. on Best Fit News: Kelington's Growth Potential

In my flawed opinion I think perhaps that there's a small trend in our financial papers to make the news sound better. (Do refer recent postings and you will get a rough idea.)

Most articles makes reference to an earnings report by comparing the current quarter versus the same quarter the previous year.

Today's article on Scomi Group's earnings does something different.

• Scomi posts RM23m pre-tax profit in Q1
  Published: 2012/05/29
  
  KUALA LUMPUR: Scomi Group Bhd has achieved a profit turnaround for the first quarter ended March 31 2012, thanks to gross margin improving to 24.2 per cent, as compared with 13.7 per cent in the last quarter of 2011.
  
  The group posted a pre-tax profit of RM23 million for the quarter, compared with a loss of RM151.1 million in the last quarter of 2011. Revenue increased by 19 per cent to RM365.2 million.
  
  Scomi attributed better earnings to its marine and oilfield services divisions.
  
  Despite recording lower revenues of RM90.8 million, the marine services division's pre-tax profit increased by nearly threefold to RM18.3 million, from RM7.5 million in the first quarter of 2011.
  
  The significant rise in profit was due to costs savings achieved via increased operational productivity, following better port mix and vessel stand downs, Scomi said in a statement issued yesterday.
  
  The pre-tax profit for the oilfield services division climbed 30 per cent to RM22.2 million, from RM17 million in the same period last year.
  
  The division, which posted revenues of RM292.1 million, 29 per cent more than the the first quarter of 2011, had better earnings from its operations here, in the UK and Nigeria.

Comparison is made comparing current quarter versus its previous quarter! Why the change?

When compared to the previous quarter, we will have a massive profit turnaround. It's last quarter, Scomi had posted losses of 151 million. Comparing current earnings to that would sound rather sexy, yes?

Here's the rather less sexy version:

Best Fit News: Kelington's Growth Potential

On The Sun Daily Business: http://www.thesundaily.my/news/389928

• Kelington's growth momentum to continue
  Posted on 28 May 2012 - 05:36am
  
  Kang Siew Li
  
  SHAH ALAM (May 28, 2012): Kelington Group Bhd, which has seen its revenue grow at a compounded annual growth rate (CAGR) of 38% from 2003 to 2011, expects the growth momentum to continue through 2012, backed by strong order inflow and growth opportunities in the emerging light-emitting diode (LED) and bioscience industries.
  
  Its group president and COO Steven Ong Weng Leong said the group, one of the country's largest ultra-high purity (UHP) gas and chemical delivery systems providers, is bidding for RM400 million worth of projects in Malaysia, Taiwan, China and Singapore and hopes to book some RM100 million from these tenders this year, based on past success rate of 25%.
  
  This would be in addition to its RM72 million new orders already secured.
  
  According to TA Securities, 2012 will be another record year for Kelington. It expects the group's revenue to reach RM165.2 million and RM191.9 million in its financial years ending Dec 30, 2012 and 2013, while net profit is expected to increase to RM10.4 million and RM12.2 million, respectively.
  
  Kelington posted a net profit of RM8.7 million on revenue of RM139.7 million for FY11.
  
  "The wafer industry is currently the largest revenue earner for the group, followed by the solar and thin film transistor liquid crystal display (TFT-LCD) industries. However, we see the bioscience and LED industries emerging as an important revenue source," Ong told SunBiz in an interview.
  
  He said demand for advanced UHP delivery systems, which are widely used in the semiconductor industry, will continue to be strong as long as technological advances continue.
  
  "As computer chipmakers like Intel continue to build new chip manufacturing plants or upgrade existing ones, there will be requirements for UHP gas and chemical distribution systems. This bodes well for Kelington," he added. The same goes for the TFT-LCD industry.
  
  "(The development of) our UHP delivery systems will also have to follow their pace. In this regard, we have a technology advantage (over our competitors) by having Linde Group and Lien Hwa Industrial Corp of Taiwan as our shareholders via Sky Walker Group Ltd," said Ong.
  
  Sky Walker holds 12.2% in Kelington, with Lembaga Tabung Angkatan Tentera holding another 12.6% and Palace Star Sdn Bhd 47.5%. Palace Star is owned by Ong and Kelington group chairman and CEO Raymond Gan Hung Keng with a 27% stake each and Lim Hock San (who is not involved in the management of Kelington) the remaining 46%.
  
  The group is also looking to newly-acquired Puritec Technologies (S) Pte Ltd of Singapore to help penetrate the bioscience market there as well as bring in new sources of income. In February, Kelington acquired Puritec for S$2.1 million (RM5.1 million).
  
  "The acquisition allowed us to extend our services to cover the entire value chain of a UHP delivery system. We expect Puritec to start contributing to the group's earnings, albeit in a small way, this year and make a significant contribution from next year," Ong added.
  
  On the potential revenue contribution of Puritec, Gan cited a major competitor in Singapore, which currently captures a 70% share of the market there and generates about S$60-70 million in revenue each year.
  
  "If we can capture 20% of this amount when Puritec is fully matured in three years, you can see how much its contribution to the group would be. And this doesn't even factor in contributions from other markets," he said.
  
  Gan said the group is also looking to venture into new markets and has started exploring Vietnam, Indonesia and the Philippines.
  
  "However, we will only set up our base there when the (semiconductor) industry kicks off. Until then, we are keeping these markets on our radar screen," he added.
  
  The group's revenue is now somewhat evenly spread among Malaysia (31%), China (20%), Taiwan (25%) and Singapore (20%).
  
  With net cash of RM23 million as at Dec 31, 2011, Gan believes that Kelington is trading at a lower than average price-to-earnings ratio of 8.6 times compared with its listed peers – Wholetech System Hitech Ltd in Taiwan and Hanyang Engineering Co Ltd in South Korea of 14.8 times to 10.5 times, respectively.
  
  Kelington shares were last traded at RM1 on Friday, giving a market capitalisation of RM79.6 million.

So much promise eh?

Let's refer the underlined points mentioned in the article.

1. grow at a compounded annual growth rate (CAGR) of 38% from 2003 to 2011, expects the growth momentum to continue through 2012
2. bidding for RM400 million worth of projects in Malaysia, Taiwan, China and Singapore and hopes to book some RM100 million from these tenders this year, based on past success rate of 25%
3. RM72 million new orders already secured
4. According to TA Securities, 2012 will be another record year for Kelington. It expects the group's revenue to reach RM165.2 million and RM191.9 million in its financial years ending Dec 30, 2012 and 2013, while net profit is expected to increase to RM10.4 million and RM12.2 million, respectively
5. Kelington posted a net profit of RM8.7 million on revenue of RM139.7 million for FY11
6. With net cash of RM23 million as at Dec 31, 2011, Gan believes that Kelington is trading at a lower than average price-to-earnings ratio of 8.6 times compared with its listed peers
7. Kelington shares were last traded at RM1 on Friday, giving a market capitalisation of RM79.6 million

There is an impressive CAGR, lots of job bids, lots of orders secured, record profits, net cash, much cheaper compared to other listed 'peers'...

So good eh?

Now I saw Kelington reporting its quarterly earnings report last Friday. Why no mention of the earnings?

Well here's the bare numbers...

A net profit of 802 thousand only!

How?

Do you feel the disconnect between the article and the numbers posted by Kelingtion?

Btw here's the link to Kelington's quarterly earnings report in Feb 2012: Quarterly rpt on consolidated results for the financial period ended 31/12/2011

ps: I have no idea if this is a good stock or a lousy stock.

Best Fit News: Texchem Sees More Revenue

On Business Times, Texchem Resources was featured.

• Texchem sees more revenue from restaurant division
  
  By Marina Emmanuel Published: 2012/05/25
  
  GEORGE TOWN: Texchem Resources Bhd (TRB) expects its restaurant division to continue generating large revenue streams this year, with the opening of more outlets and introduction of new cuisines.
  
  With a RM12 million investment to grow the division this year, the company is looking to open its first Mediterranean restaurant, a new chain of halal sushi eateries and a Japanese fusion restaurant called Waku Waku.
  
  "We have managed to convince around 10 of our Japanese suppliers operating in the Asean region to be halal-compliant and we hope to open the 'Sushi-Ku' halal 'kaiten' sushi chain by the second half of this year," TRB chairman Tan Sri Fumihiko Konishi told Business Times after the company's annual shareholders meeting here yesterday.
  
  Some of the Japanese suppliers who have agreed to be halal-compliant include soya-sauce maker Yamasa Corporation and rice vinegar producer Mitsukan Group Corporation.
  
  The RM3.3 million Mediterranean restaurant, which is yet to be named, will open its doors before Christmas and will occupy some 500 sq ft of space, close to the link bridge connecting MidValley Megamall and The Gardens in Kuala Lumpur.
  
  He said the Texchem group is currently focusing on improving operational efficiencies as well as expanding its market share, particularly in its restaurant division.
  
  "We are looking at adding another seven Sushi King outlets this year and each will see a RM500,000 investment," he said.
  
  For the 2011 financial year ended December 31, the group achieved revenue of RM1.08 billion, a 2.0 per cent increase from the previous year's performance and a higher a pre-tax profit of RM4 million.
  

The very last line... it describes Texchem as a billion dollar company, making money somemore...

So how true is this?

Well this is the Q4 announcement: Quarterly rpt on consolidated results for the financial period ended 31/12/2011

How?

Texchem losses for the year was 5.174 million.

The most recent quarter in April 2012? Losses again.

Quarterly rpt on consolidated results for the financial period ended 31/3/2012

So .. LOL!

Yeah... more revenue indeed.

Best Fit News: AirAsia's Earnings

Here are the numbers...

Here's the article on Star Biz: AirAsia net profit up on higher passenger volume

• Thursday May 24, 2012
  AirAsia net profit up on higher passenger volume
  
  PETALING JAYA: AirAsia Bhd's net profit for its first quarter ended March 31 was up a marginal 0.3% to RM172.44mil against RM171.93mil in the same period last year, but revenue grew a more robust 10.9% to a record RM1.17bil from RM1.05bil led by higher passenger volumes.
  
  The airline's net operating profit increased 4% to RM167.97mil from RM161.9mil, while earnings per share was unchanged from a year ago at 6.2 sen.
  
  In the notes accompanying its financial results, AirAsia attributed the improvement in revenue to a 12% growth in passenger volume and 7% higher average fare of RM177 compared to RM164 achieved last year.
  
  Both its ancillary income per passenger and load factor were unchanged at RM40 and 80% respectively.
  
  Its capacity climbed 12% in the quarter under review to 6.06 million passengers from 5.42 million. Revenue per available seat km was 16.92 sen against cost per available seat km of 13.44 sen. This was on the back of a 9% increase in its average fuel price.
  
  The margins for its earnings before interest, taxes, depreciation, amortisation and rent as well as earnings before interest and taxes are at 35% and 21% respectively.
  
  “We have defied industry trends again by achieving a 4% growth in net operating profit. This remarkable performance, relative to our peers', signifies our resilient business model in the volatile and cyclical airline business coupled with the current stubborn high oil prices,” group CEO Tan Sri Tony Fernandes said in a statement.
  
  He added that AirAsia was able to equity account RM2.3mil from its soon-to-be-listed unit, Thai AirAsia, in the first quarter as the unrecognised losses in its Thai affiliate have been reversed.
  
  The group's cash from operations was RM100.5mil at end-March compared to RM538.2mil in the preceding quarter ended December 2011, while net cash flow amounted to RM47.9mil outflow as cash flows from investing and financing activities exceeded operating cash flows.
  
  Its total debt stood at RM7.5bil, with net debt at RM5.44bil after offsetting cash balances. This translates to a net gearing ratio of 1.26 times, 11% lower than the preceding quarter.
  
  In terms of its outlook, AirAsia said that based on the current forward booking trend, underlying passenger demand in the second quarter for the Malaysian, Thai and Indonesian operations remained positive.

Here's the other version or is it poison:

http://www.theedgemalaysia.com/in-the-financial-daily/214175-airasia-1q-profit-flat-on-higher-expenses.html

• AirAsia 1Q profit flat on higher expenses
  In The Edge Financial Daily Today 2012
  Written by Chong Jin Hun
  Thursday, 24 May 2012 14:50
  
  KUALA LUMPUR: AirAsia Bhd’s 1Q net profit came in flat from a year earlier as higher revenue and foreign exchange (forex) gains failed to offset higher operating expenses and losses from its global units.
  
  In a statement to the exchange, the low-cost carrier said it posted a net profit of RM172.44 million in 1QFY12 ended March 31 against RM171.93 million previously while revenue rose 11% to RM1.17 billion from RM1.05 billion a year ago.
  
  “The outlook for 2Q should be seen in the context of the current high prices of oil and aviation fuel.
  
  “However, barring any unforeseen circumstances, the directors remain positive on the prospects of the group for 2Q and remainder of 2012,” AirAsia said.
  
  The company said operating expenses, which included costlier jet fuel, rose 10% to RM943.83 million in 1Q from RM854.3 million a year earlier. Bottom line was also helped by a significant increase in forex gains to RM83.58 million versus RM40.97 million previously.
  
  Quarter-on-quarter, 1QFY12 net profit rose 27% from RM135.66 million in 4QFY11 ended Dec 31 while revenue was down 8% from RM1.27 billion.
  
  AirAsia’s operating unit in Thailand was profitable in 1Q while its other three entities, each in Indonesia, the Philippines and Japan, had registered losses, the company said.
  
  Based on the current forward booking trend, the company said underlying passenger demand in 2Q for its operations across Malaysia, Thailand and Indonesia remains positive.
  
  “Load factors achieved in April were in line with the previous year in Malaysia and Thailand and slightly lower in Indonesia though with higher capacity aircraft.
  
  “Average fares were higher in Malaysia, in line with the previous year in Indonesia and slightly lower in Thailand,” AirAsia said.
  
  The budget airline said it will, in 2Q, take delivery of three A320 aircraft for its operations in Malaysia, Indonesia and Japan. The aircraft will be used to serve new routes from Bandung, Indonesia, and from Tokyo, Japan; and to increase frequency for current routes in Malaysia.
  
  
  This article appeared in The Edge Financial Daily, May 24, 2012.

Yeah, choose your own poison.....

Less Horrific News: Tradewinds Plantation's Earnings

Tradewinds Plantation reported its earnings last night. Here are the numbers in brief.

As you can see the current quarter's net profit is only 4.337 million compared to 48.628 million it achieved a year earlier.

Here are two set of articles covering Tradewind Plantation's earnings.

On the Edge Financial Daily. http://www.theedgemalaysia.com/business-news/213660-tradewinds-plantations-1q-net-profit-tumbles-911-to-rm434m-.html

• Tradewinds Plantations 1Q net profit tumbles 91.1% to RM4.34m Written by Surin Murugiah of theedgemalaysia.com
  Wednesday, 16 May 2012 17:26
  
  KUALA LUMPUR (May 16): Tradewinds PLANTATION [] Bhd net profit for the first quarter ended March 31, 2012 tumbled 91.1% to RM4.34 million from RM48.63 million a year earlier, due to lower production and prices of palm products, higher operating expenses of the plantation segment and operating loss incurred by the overseas operations.
  
  The company said on Wednesday that its revenue for the quarter jumped to RM608.45 million from RM229.93 million in 2011, due to the contribution from Mardec Berhad which was acquired in October 2011.
  
  Earnings per share was 0.69 sen compared to 7.73 sen a year earlier, while net assets per share was RM3.44.
  
  On its outlook, Tradewinds Plantation said that based on the prevailing prices of palm products, the forecast increase in fresh fruit bunches production in the coming months and the improving rubber products trading margins, the company expected the results for the remaining periods of the current financial year to be better than the current quarter.

Net profit tumbled 91.1%.

That sounded rather horrific.

Here's the Business Times article.

• Tradewinds Q1 profit drops to RM10.509m
  Published: 2012/05/17
  
  KUALA LUMPUR: Tradewinds Plantation Bhd’s pre-tax profit for the first quarter ended March 31 fell to RM10.509 million from RM75.669 million reported in the corresponding quarter of last year.
  
  In contrast, revenue for the three months rose to RM608.45 million from RM229.93 million previously.
  In a statement to Bursa Malaysia, Tradewinds attributed the drop in profit to lower production and prices of palm products, higher operating expenses in the plantation segment and operating loss incurred by the overseas operations in the manufacturing and trading segment.
  
  The higher revenue, meanwhile, was mainly due to the contribution from Mardec Bhd which was acquired on last October 10, the company said.

The Business Times article talked about 'pre-tax profit' and it EVEN mentioned that revenue increased!

Eh? Pre-tax profit? Tax not important to talk about?

( Star biz version: http://biz.thestar.com.my/news/story.asp?file=/2012/5/17/business/11306064&sec=business )

Best Fit News: AirAsia's dividends

The Edge Malaysia's article header involving AirAsia'a dividends: AirAsia proposes first and final single tier dividend of 5 sen per share

• AirAsia proposes first and final single tier dividend of 5 sen per share
  Written by Surin Murugiah of theedgemalaysia.com
  Tuesday, 15 May 2012 18:58
  
  KUALA LUMPUR (May 15): AirAsia has proposed a first and final single tier dividend of 5 sen per share of 10 sen each for the financial year ended Dec 31, 2011 to be paid in cash on July 20, 2012.
  
  In a filing to Bursa Malaysia Securities Bhd on Tuesday, AirAsia said the dividend was subject to shareholders’ approval at its forthcoming annual general meeting.
  
  The single-tier dividend is tax exempt in the hands of the shareholders, it said.

Source: http://www.theedgemalaysia.com/business-news/213562-airasia-proposes-first-and-final-single-tier-dividend-of-5-sen-per-share.html

Here's the Star Biz header: AirAsia expected to propose dividend of 50%

• Wednesday May 16, 2012
  AirAsia expected to propose dividend of 50%
  PETALING JAYA: AirAsia Bhd will recommend a first and final single tier dividend of 50% or five sen per ordinary share of 10 sen for its financial year ended Dec 31, 2011 at its upcoming AGM.
  
  It said in a filing with the stock exchange that the proposed dividend, which requires the approval of shareholders, would be payable in cash on July 20 to the holders of ordinary shares registered in the Record of Depositors at the close of business on June 21.
  
  It said in the filing that the dividend was tax exempt in the hands of the shareholders and the notice of entitlement would be announced and advertised at a later date.
  
  For the financial year ended Dec 31, 2011, AirAsia’s after-tax profit fell 47% to RM564.1mil from RM1.061bil previously.
  
  Revenue, however, rose 13% to RM4.474bil due to growth in passenger volume.

Source: http://biz.thestar.com.my/news/story.asp?file=/2012/5/16/business/11298900&sec=business

The 50% dividend is indeed correct but it's only 5 sen per ordinary share of 10 sen.

The View 'Less' Optmistic On Crude Palm Oil Prices

Yes, the best fit news strikes once more.

Firstly, here is how CPO is doing. Taken from Business Times.

• April 2010 fell RM22 to RM2,550 per tonne, May 2010 declined RM30 to RM2,520 per tonne, June 2010 decreased RM39 to RM2,500 and July 2010 fell RM35 to RM2,495

So we have the CPO around the rm2,500 region.

On the Edge Financial daily. IOI Corp sees CPO trading RM2,800 to RM3,000 this year

• KUALA LUMPUR: IOI CORPORATION BHD [] executive chairman Tan Sri Lee Shin Cheng says crude palm oil (CPO) prices can reach RM2,800 to RM3,000 per tonne this year due to strong demand and El-Nino weather phenomenon.
  
  He said on Thursday, April 8 that he expected IOI Group's total CPO output for 2010 to decline by about 8% due to the impact of the El-Nino.
  
  His expectations about the CPO prices were higher than RHB Research Institute's recent forecast issued on April 1. The research house had said the positive basic supply and demand fundamentals would help support CPO prices at a range of RM2,300 to RM2,800 tonne over the short to medium term.
  
  "Although CPO prices could potentially hit the RM3,000 tonne mark again, we believe this may not be a sustainable price target in the medium term, due to the demand reallocation which would occur in price-sensitive markets like China and India which would then 're-balance' prices. In the long-term, we believe CPO prices would stay above RM2,000/tonne due to structural changes," RHB Research said.

Here's the Business Times version.

• IOI Corp Bhd (1961)anticipates palm oil prices to hit RM2,800 to RM3,000 a tonne in the next few months as it braces for lower output.
  
  As one of the most efficient planters and biggest palm oil producers in the country, IOI's price forecast is highly awaited by vegetable oil traders and analysts around the world.
  
  IOI executive chairman Tan Sri Lee Shin Cheng said that he expected the group's current-year palm oil output to fall as much as 8 per cent to around 715,000 tonnes.
  
  In the last financial year ended June 30 2009, IOI managed to squeeze 777,310 tonnes of palm oil from its 80-odd estates.
  
  "I still hold the forecast at between RM2,800 and RM3,000 per tonne because of localised weather phenomenon like El Nino that affects output. There's also the labour shortage issue - workers come and go," Lee told reporters on the sidelines of the official opening of Hong Leong Bank's branch in Bandar Puteri Puchong, Selangor, yesterday.
  
  At an economic conference two months ago, when palm oil was trading at around RM2,400 a tonne, Lee said he was optimistic of prices trending upward to between RM2,800 and RM3,000 a tonne.
  
  The price did rise to a high of RM2,700 a tonne, but has fallen rapidly in the last four weeks.
  
  When asked why, Lee replied: "The US dollar has weakened against a stronger ringgit and that has dragged palm oil prices (lower) to a certain extent."
  
  According to Bank Negara Malaysia's website, US$1 is at RM3.21 currently, from RM3.45 a month ago.
  
  Lee does not expect the palm oil price to continue falling.
  
  "Demand for palm oil is very strong all around the world, especially traditional markets. Palm oil is the best vegetable oil in the world. It is nutritious and far more flexible in its applications," he said.
  
  Yesterday, third-month benchmark crude palm oil on the Bursa Malaysia Derivatives market traded RM39 lower to close at RM2,500 a tonne.

I hold no grudges against the forecast made.

However, the forecast made was between 2800 and 3000.

Why use the high end of the projection?

And why the word SOON?

LOL! yeah how soon is soon?

Here is Star Business version: IOI sees 8% drop in palm oil output due to weather LOL!

• PUCHONG: IOI Corp Bhd executive chairman Tan Sri Lee Shin Cheng projects the group’s palm oil output may drop 8% this year as unusual weather patterns and labour woes affect production at some estates.
  
  Last year, fresh fruit bunches (FFB) production at IOI Corp’s estates stood at an estimated 3.6 million tonnes. Based on an extraction rate of slightly above 21%, the group’s crude palm oil (CPO) production amounted to about 770,000 tonnes.
  
  The drier-than-usual weather due to El Nino and shortage of plantation workers were “very localised” issues, Lee told reporters after attending Hong Leong Bank Bhd’s new branch official opening yesterday.
  
  On March 31, plantation giant Sime Darby Bhd had projected that its palm oil production would drop 7% this year due to freak weather.
  
  Weaker production and strong demand will continue to support prices going forward, and Lee is sticking to his previous forecast of between RM2,800 and RM3,000 a tonne of CPO for the year.
  
  He said the current weakness in the CPO futures market was a reflection of the ringgit’s strength against the US dollar.
  
  CPO futures on Bursa Derivatives hovered at above RM2,500 a tonne yesterday. The benchmark third-month contract had dropped 5.8% year-to-date.
  
  MIDF Research analyst Syed Muhammed Kifni observed that crude oil futures in New York had gained 4.7% during the same period.
  
  “If you look at the market trend in the previous year, CPO prices usually move in line with crude oil prices,” he said.
  
  What changed this year was the ringgit’s sharp advance, up 6.6% against the US dollar since the start of the year.
  
  This means that while companies like IOI Corp may sell their products for the same price in US dollars, they would earn less in ringgit given the unfavourable conversion rate.
  
  Meanwhile, a poll by Reuters yesterday predicted palm oil stockpiles in the country may drop to a six-month low in March, as exports and domestic consumption rose faster than a rebound in production.
  
  The Malaysian Palm Oil Board (MPOB) is due to release its latest monthly industry data on Monday.
  
  Earlier this month, MPOB warned that palm oil production in the country might miss its 18.1 million tonnes target this year due to labour shortages, even as yields recovered.
  
  
  

Was Astro Earnings Really So Poor?

The best fit news strikes again!

Could I be wrong by saying so?

Astro All Asia announced its earnings last night.

Here's the screen shot.

How?

Last year, Astro lost a massive 529 million. This year it made a nice small change of 232 million.

Now that's the facts, yes?

How would you describe it? How would anyone describe it in an unbiased opinion?

Is this or is this NOT an incredible turnaround????

Well I was simply shocked and appalled by Business Times title of its article describing Astro's earnings.

Have a look:



Could anyone comprehend what Business Times is doing here?

Yes, Q-Q earnings dropped but was Astro's earnings so bad that Business Times editors decides to use the phrase 'Astro Q4 profit plunges 72pc'?

Yeah, see how it states in bold

• Pay-Television operator Astro All Asia Networks plc saw its fourth-quarter net profit plunge close to 72 per cent due to higher costs associated with the cessation of the direct-to-home (DTH) business proposal in Indonesia and expenses previously incurred in its development.

Why is Business Times so critical on Astro All Asia???

Oh.. then I remembered... Astro All Asia is being privatised. Surely, the media does not want to put too much attention that Astro All Asia is now doing very, very, very well when compared to its pervious year.

Isn't this another case of best fit news?