Friday, February 5, 2016

SIA, SingPost, Singtel, Wing Tai, Vicom, Chip Eng Seng, Jumbo Group, Loyz Energy, Neo Group, iX Biopharma, Pteris Global

The following stocks may be in focus today:

Singapore Airlines reported a 35.5% y-o-y increase in 3Q earnings to $275 million, on the back of lower costs which helped Southeast Asia’s largest carrier attract more passengers with cheaper fares. Expenses dropped 7.6% to $3.65 billion, largely from a $354 million reduction in net fuel costs. This came from a 41.1% drop in average jet fuel price and hedging loss of $72 million, though it was partially offset by the stronger US dollar against the local currency.

Singapore Post posted a 0.6% increase in 3Q earnings to $43.5 million from a year ago. Revenue for the three months to December rose 32% to $316.18 million. For the nine months to December, earnings increased 17.6% to $143.5 million. This came on the back of a 24.3% increase in revenue to $834 million. The increase in revenue was lifted by the continuing expansion of SingPost’s e-commerce and logistics activities, as well as contributions from new units.

Wing Tai Holdings’ half-year earnings plunged 90% to $3.1 million from a year ago. This was partly due to the one-off gain of $21.1 million in the previous year which came from the sale of shares in a property subsidiary in Indonesia. Revenue inched up 1% to $290.9 million on progressive sales from The Tembusu, additional units sold in Le Nouvel Ardmore in Singapore and The Lakeview in China as well as contribution of Jesselton Hills in Malaysia.

Vicom announced a 4.2% increase in FY15 profit to $31.88 million. Revenue for the 12 months to December decreased 1.3% to $106.7 million.

Chip Eng Seng reported a 94.2% decline in 4Q earnings to $9.76 million on the back of a 58.3% decrease in revenue to $153.9 million. Revenue was dragged down mainly by lower contributions from the group’s property development division.

Loyz Energy recorded a loss of US$0.7 million ($1 million) in 2QFY16, compared with earnings of US$0.1 million a year earlier. Revenue for the three months to December fell 58% to US$2.4 million. This was mainly due to the fall in oil price from an average of US$66.74/bbl to US$34.66/bbl.

Jumbo Group posted a 4.9% decline in 1Q16 earnings to $2 million due to IPO expenses and pre-operating expenses incurred for its third Jumbo Seafood restaurant in Shanghai. The restaurant commenced operations in January 2016. For the three months to December, revenue increased 7.6% to $30.9 million attributable to its second Jumbo Seafood restaurant in Shanghai which started operations in August 2015.

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