Stocks to watch: MRCB, DRB-Hicom, Genting, PetChem

KUALA LUMPUR: The big capitalised stocks, especially GENTING BHD and Petronas Chemicals Group Bhd would be in focus on Friday, May 27 following their sharply improved earnings in the quarter ended March 31, 2011.

Other companies which would also see trading interest would be MALAYSIAN RESOURCES CORPoration Bhd (MRCB), DRB-HICOM BHD and MyEG Services Bhd.

SIME DARBY BHD is also scheduled to announce its third quarter results for the period ended March 31.

Genting Bhd’s net profit surged 254% to RM824.17 million in the first quarter ended March 31 from RM232.43 million a year ago when the net profit then was affected by net impairment losses. Revenue rose 57.2% to RM4.89 billion from RM3.11 billion while earnings per share were 22.25 sen compared with 6.29 sen.

The group’s profit before tax in 1QFY11 was RM1.9 billion compared with RM200.0 million in 1QFY10.

Petronas Chemicals Group Bhd reported net profit of RM932 million in the fourth quarter ended March 31, 2011, an increase of 5.7% from the RM881 million a year ago.

Its revenue rose 8.9% to RM4.353 billion from RM3.996 billion while earnings per share were 12 sen. It proposed dividend of 19 sen per share totaling RM1.52 billion.

For the financial year ended March 31, its net profit increased by 36.1% to RM2.994 billion from RM2.199 billion. Revenue rose 19.5% to RM14.586 billion from RM12.203 billion supported by higher prices and volume addition.

MRCB posted a 120% increase in its earnings to RM21.60 million in the first quarter ended March 31, from RM9.84 million a year ago, boosted by its on-going property development projects.

MRCB was upbeat on its outlook for the next two years where it expected progressive completion of the on-going CONSTRUCTION projects and property development within KL Sentral which works had commenced since 2009.

“Two major developments planned on strata sales at Kuala Lumpur Sentral comprising Q Sentral office block at Lot B and condominium residences at Lot D with combined gross development value in excess of RM2 billion will commence construction works in 2011,” it said.

DRB-Hicom’s earnings were 72% lower at RM72.39 million from RM259.36 million a year ago due to the absence of exceptional gains of RM211.43 million from the disposal of estates.

Its revenue rose 25.1% to RM1.99 billion from RM1.59 billion a year ago. It proposed a final dividend of four sen per share.

MyEG recorded its best-performing quarter in 3Q11, boosted by the public’s growing adoption of e-Government services via its MyEG portal.

Its revenue rose 20% on the back of an increased Highway Code test-tasking, increased online, increased online payment of traffic summonses an encouraging growth for online renewal of road tax and automobile insurance.