business plan

 
 

RAM forecasts 4.6% GDP growth this year

PETALING JAYA: RAM Ratings expects economic growth to moderate slightly to 4.6% in 2019 after registering a 4.7% growth in 2018, premised on slower exports and investment activities.

“That said, a worse-than-anticipated decline in external demand and volatile financial markets amid the US-China trade dispute as well as a potential no-deal Brexit remain significant downside risks to our forecast,” it said in a statement today.

Despite escalating US-China trade tensions, RAM Ratings head of research Kristina Fong noted that much of the sturdy 1.5% export growth in 2018 is attributable to front-loaded demand ahead of the several rounds of tariffs imposed by both sides. This was mainly driven by firms’ attempts to avoid higher production costs stemming from increased tariffs, coupled with the lag in recalibrating global supply chains.

“This surge in demand resulting from knee-jerk reactions to rising protectionism is not envisaged to keep propping up growth for very much longer,” he said.

The rating agency also highlighted that the overall business sentiment of export-oriented firms covered by the RAM Business Confidence Index (BCI) has been trending downwards, signalling increasing caution amid the US-China trade war.

Closer to home, the construction sector is seen to continue weighing down overall expansion in 2019, premised on the absence of new growth catalysts amid the persistent property overhang and the shelving of big-ticket infrastructure projects.

Meanwhile, capacity-building activities such as investment and hiring intentions are also noticeably weaker across the board according to the latest RAM BCI for 1Q-Q2 2019 indicating that moderating demand prospects have already begun influencing firms’ business plans.


LPI Capital declares 42 sen dividend

PETALING JAYA: LPI Capital Bhd’s net profit for the fourth quarter (Q4) ended Dec 31, 2018 grew marginally by 1.2% to RM84 million from RM83 million a year ago partly due to the increase in claim costs, especially in medical and motor insurance classes.

LPI’s revenue increased 7% to RM389.03 million from RM363.49 million in the previous corresponding quarter, mainly contributed by higher premium written by its wholly owned subsidiary Lonpac Insurance Bhd.

The board has declared a second interim dividend of 42 sen per share amounting to RM167.32 million. Together with the first interim dividend of 26 sen per share amounting to RM103.58 million paid in August 2018, the proposed total dividend payout for FY18 is RM270.9 million, representing 86.3% of the group’s net profit and a 13.3% increase from the total payout in FY17.

LPI told Bursa Malaysia that in Q4, its gross premium income was up 8% to RM304.3 million from RM281.8 million previously.

“Likewise, net earned premium income for the period under review registered a strong growth of 11.9% from RM227.1 million to RM254.1 million.”

The group’s full-year net profit was flat at RM314.05 million compared with RM313.79 million a year ago, while revenue rose 2.9% to RM1.51 billion from RM1.47 billion in the previous corresponding period.

Lonpac said the group improved its market position despite the highly competitive market conditions and slower demand for insurance last year, with gross premium income for the year increased 3.4% to RM1.47 billion from RM1.42 billion written in the previous year.

Fire insurance remains the core portfolio of business contributing 42.4% of its total written premium.

LPI founder and chairman Tan Sri Dr Teh Hong Piow (pix) said Lonpac’s strategy of focusing on product development, enhancing distribution channels and collaborating with key partners will help to continue growing its market share in the light of the challenging economic environment and further liberalisation.

“The group will execute its business plans, which prioritise risk management, organic growth and customer-centric focus,“ he said in a statement.


Intel announces Israel expansion government values at US$10b

JERUSALEM, Jan 29 — Intel said today it is expanding its operations in Israel, where government ministers said the US computer chipmaker will invest some 10 billion dollars in a new plant. “Intel today announced it will submit a business plan to…


LPI Capital Q4 earnings up marginally, declares 42 sen dividend

PETALING JAYA: LPI Capital Bhd’s net profit for the fourth quarter (Q4) ended Dec 31, 2018 grew marginally by 1.2% to RM84 million from RM83 million a year ago partly due to the increase in claim costs, especially in medical and motor insurance classes.

LPI’s revenue increased 7% to RM389.03 million from RM363.49 million in the previous corresponding quarter, mainly contributed by higher premium written by its wholly owned subsidiary Lonpac Insurance Bhd.

The board has declared a second interim dividend of 42 sen per share amounting to RM167.32 million. Together with the first interim dividend of 26 sen per share amounting to RM103.58 million paid in August 2018, the proposed total dividend payout for FY18 is RM270.90 million, representing 86.3% of the group’s net profit and a 13.3% increase from the total payout in FY17.

LPI told Bursa Malaysia that in Q4, its gross premium income was up 8% to RM304.3 million from RM281.8 million previously.

“Likewise, net earned premium income for the period under review registered a

strong growth of 11.9% from RM227.1 million to RM254.1 million.”

The group’s full-year net profit was flat at RM314.05 million compared with RM313.79 million a year ago, while revenue rose 2.9% to RM1.51 billion from RM1.47 billion in the previous corresponding period.

Lonpac said the group improved its market position despite the highly competitive market conditions and slower demand for insurance last year, with gross premium income for the year increased 3.4% to RM1.47 billion from RM1.42 billion written in the previous year.

Fire insurance remains the core portfolio of business contributing 42.4% of its total written premium.

LPI founder and chairman Tan Sri Dr Teh Hong Piow (pix) said Lonpac’s strategy of focusing on product development, enhancing distribution channels and collaborating with key partners will help to continue growing its market share in the light of the challenging economic environment and further liberalisation.

“The group will execute its business plans, which prioritise risk management, organic growth and customer-centric focus,“ he said in a statement.


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ECB calls in administrators to save Italy's Carige bank

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Aeon Credit service’s Q3 net profit increases to RM87m

KUALA LUMPUR, Dec 20 — Aeon Credit Service (M) Bhd’s net profit for the third quarter ended Nov 30, 2018, increased to RM87.13 million from RM70.55 million chalked up in the same period last year. Revenue rose to RM348.49 million from…


Aeon Credit’s Q3 net profit jumps to RM87.14m

KUALA LUMPUR, Dec 20 — Aeon Credit Service (M) Bhd’s net profit in the third quarter (Q3) ended November 30, 2018 rose to RM87.14 million from RM70.55 million recorded in the same quarter last year. Revenue jumped to RM348.50 million from…


Sime, SP Setia dispose of Battersea Power Station stake

KUALA LUMPUR, Dec 17 – Sime Darby Property Bhd and SP Setia Bhd are disposing of their stake in the Battersea Power Station building for a base consideration of RM8.351 billion (£1.583 billion) to PNB-Kwasa International 2 Ltd. The transaction is…