Market Review & Outlook
Malaysia Market Review: FBM KLCI (-0.4%) ended lower as key regional markets retreats, affecting investor confidence and pushing the benchmark index into the red. The lower liners also ended on a negative note with decliners outnumbered the advancers on a ratio of more than 2-to-1. Sector performance was overall negative, with Construction (-3.7%) and Technology (-2.7%) indices being notable losers, while Plantation (+1.5%) and Consumer (+0.7%) showed slight gains.
Global Markets Review: Wall Streets drifted mostly lower following sharp losses from last week, with Dow (+0.1%), S&P 500 (-0.5%), and Nasdaq (-1.2%) all ended lower, as Nvidia fell ahead of its quarterly earnings report later this week, while Berkshire Hathaway rose after reporting a jump in profits but cautioned about stock valuations. Meanwhile, European markets closed lower with the Stoxx 600 index down 0.1% amid broad sectoral declines. APAC markets mostly fell as US data stoked fears of sticky inflation and slower growth, particularly the HSI index (-0.6%) and CSI300 (-0.2%), after hitting a nearly three-year high in the previous session. Elsewhere, the Japan's Nikkei was closed due to the Japanese emperor’s birthday, while KOSPI (-0.4%) edged slight lower due to sluggish performance from Samsung Electronics and SK Hynix.
Market Outlook: The FBM KLCI is likely to stay under pressure due to weak market sentiment, with pullback potentially extending as global markets continues to trade on a cautious note. The index may hover between 1,570 and 1,590 in the near term, with attention focused on the on-going barrage of corporate earnings releases. Additionally, any significant changes in tariff announcements could lead to further market volatility. Looking ahead, investors will be keeping a close tab onto US consumer confidence data to be release later tonight.
Sector focus. Investors are advised to focus on defensive sectors such as REITs and financials, which offer attractive dividend yields and act as defensive plays against market volatility. Gold-related stocks may also advance in tandem with the higher gold prices which is trading at all-time high levels.
FBMKLCI Technical Outlook
Technical Commentary: The FBM KLCI formed a gapped down formation before recovering most of its intraday losses as the key index is not able to build onto its recovery formation. Indicators turned mixed with the MACD Line lingering above the Signal Line, but the RSI tripped below 50. Immediate resistance is located at 1,630. Support is envisaged around 1,570.
Company News (source: various)
Sime Darby Bhd’s net profit fell by86.7% yoy to RM305.0 m in the 2QFY2025, primarily due to the absence of a one-off gain from disposal of Ramsay Sime Darby Health Care. For the 1HFY2025, revenue grew by 22% and the group declared dividends of three sen, along with a special dividend of one sen for FY2025.
99 Speed Mart Retail Holdings Bhd net profit for 4QFY2024 increased by 16.8% yoy to RM124.4m, driven by higher fees income. Revenue grew by 7.3% yoy to RM2.58 bn, supported by the addition of 81 new outlets, bringing the total number of outlets to 2,778. For the full year, net profit rose by 22.5% yoy to RM490.3 m, while revenue increased by8.3% yoy to RM 9.22 bn. No dividend was declared for the quarter.
UOA Development Bhd posted its highest quarterly net profit in four years, with 4QFY2024 net profit rising 8.0% yoy to RM128.2 m. Revenue more than doubled to RM234.9 m, driven by ongoing projects. For FY2024, net profit grew 2.8% yoy to RM287.3 m, while revenue increased 36.6% to RM545.7 m. The group proposed a first and final dividend of 10 sen, down from 30 sen in FY2023.
The absence of a tax credit dragged CTOS Digital Bhd’s net profit 42.2% yoy lower in 4QFY2024. The group declared a fourth interim dividend of 0.99 sen, bringing its total dividend for FY2024 to 3.25 sen, compared to 3.33 sen in FY2023.
Supermax Corp Bhd reports a reduced quarterly loss as global demand for gloves rebounds. Quarterly revenue rose 36.6% to RM198.8 m due to recovering global glove demand, while 1HFY2025 net loss widened to RM69.6 m despite a 30.9% yoy revenue increase to RM423.4 m, with no dividend declared.
MSM Malaysia Holdings Bhd’s net profit rose 67.0% yoy to RM71.69 m in 4QFY2024, driven by lower production costs and net commodity gains, while FY2024 saw a turnaround with a net profit of RM31.25 m and a 14.7% yoy revenue increase to RM3.54 bn, with no dividend declared.
Bintulu Port Holdings Bhd’s 4QFY2024 net profit fell 11.8% yoy to RM40.9 m, despite record quarterly revenue of RM219.9 m, while full-year net profit rose 22.7% yoy to RM153.5 m with a total revenue increase of 8.2%, and declared a 15 sen total dividend for FY2024.
RCE Capital's net profit fell 11.0% yoyto RM30.8 m in 3QFY2025 due to a 9.2% qoq drop in revenue, as it tightened its credit policy, while 9MFY2025 net profit dropped 18.9% yoy with a 7.9% yoy decline in revenue, and no dividend was declared.
Kawan Food Bhd’s 4QFY2024 net profit rose to RM13.1 m, driven by forex gains, with revenue up 8.4% yoy to RM81.99 m, while FY2024 net profit grew 5.3% yoy to RM31.7 m, and total revenue increased 10.6% yoy, along with a total dividend of 9 sen.
Innoprise Plantations Bhd’s 4QFY2024 net profit more than doubled to RM36.2 m, driven by higher palm oil prices, with revenue up 44.2% yoy, while FY2024 net profit reached a record RM87.2 m, and total dividend for the year increased to 15.55 sen (from 10 sen).
Master Tec Group Bhd's 4QFY2024 net profit surged 79.4% to RM7.4 m, driven by higher revenue and tax incentives, with record quarterly revenue of RM96.42 m, while FY2024 net profit rose 14.9% yoy to RM27.0 m, with a 13.5% increase in revenue, and no dividend declared.
HeiTech Padu Bhd has secured a RM1.04bn hydroelectric project, which will commence on March 31 with a duration of 100 months; it aims to diversify into RE power plant development.
Nestcon Bhd has won a RM58.0 m contract or infrastructure works in Pulai, Johor Bahru, set to start on February 24 and finish by September 25.
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Currency | Buy Rates (RM) | Sell Rates (RM) |
---|---|---|
USD | 4.394287 | 4.428897 |
EUR | 4.614987 | 4.624790 |
CNY | 0.607944 | 0.609125 |
HKD | 0.565293 | 0.569758 |
SGD | 3.284669 | 3.310731 |