financial year


MyEG incorporates new subsidiary for investments in Indonesia

KUALA LUMPUR, June 22 — MY E.G. Services Bhd’s (MyEG) wholly-owned subsidiary, MY EG International Sdn Bhd, today incorporated a wholly-owned subsidiary that is intended to be the holding company for investments in Indonesia. In a filing with…

Willowglen MSC awarded RM8.62m data management job

PETALING JAYA: Willowglen MSC Bhd has clinched contract worth RM8.62 million for the maintenance of 30 DMS PDM systems and upgrade of 22 PDM system workstations.

The contract commenced on June 21, 2018 and will be completed by June 20, 2021.

It is expected to contribute positively to the group's earnings and net assets per share for the financial years ending December 31, 2018 to 2021.

Willowglen shares slipped 2 sen or 3.8% to close at 51 sen on 6,500 shares traded.

Icon Offshore receives RM23m vessel contract

PETALING JAYA: Icon Offshore Bhd has bagged a RM23 million contract to provide one utility vessel to Hess Exploration and Production Malaysia B.V.

It told Bursa Malaysia that the contract is for a period of three years with two extension options of one year each.

The contract is expected to contribute positively to Icon Offshore's earnings, order book and net assets for the financial year ending December 31, 2018 and beyond.

The stock fell 4.2% to close at 11.5 sen with 9.68 million shares changing hands.  

Aeon Wallet to be launched in August

KUALA LUMPUR: Aeon Credit Service (M) Bhd is targeting to launch its cashless payment service Aeon Wallet in August, which will become another core business segment for the group.

Aeon Credit, a subsidiary of Aeon Financial Service Co Ltd Japan, is principally engaged in consumer finance operations through provision of easy payment and hire purchase schemes for purchase of consumer durables and motor vehicles, personal financing schemes and issuance of credit cards.

Aeon Credit will be launching two new products in the current financial year ending Feb 28, 2019 (FY19), in line with the company’s digital initiatives, namely the Aeon Wallet and Aeon Member Plus Card that will provide customers with payment, privileges and benefit to complement the evolving customer lifestyle, attracting customers from all segments to go cashless.

Chief financial officer (CFO) Lee Kit Seong said the e-wallet will be another payment settlement tool for consumers in the market as it looks to first tap into its 6 million member base in the group and to have 1 million users for the e-wallet in a year.

“We’re also introducing the Aeon Member Plus Card to consolidate the loyalty programme of the Aeon group of companies in Malaysia. The e-wallet is one of the settlements like Touch ‘n Go, Alipay, and WeChat Pay. Our e-money will ultimately become mobile payment and Aeon Pay (a settlement medium like iPay88),” Lee told reporters after its AGM today.

“After we expand internally, we will go externally. From e-money, we’re going to put it into a mobile wallet. We want to integrate the Aeon companies (such as Aeon, Aeon Big, Aeon Credit) in Malaysia to have one member (system). Once comfortable, we will go to the region,” added Lee.

Aeon Credit has doubled its capital expenditure (capex) to RM120 million for FY19, from RM60 million in FY18, to invest in its operations and business expansion. The capex will be utilised for its branch transformation and digital marketing initiatives, the upgrading of its system infrastructure and for the introduction of its e-money business.

Lee expects the company to maintain its momentum for FY19, with strong domestic demand being the key driver for growth, along with its transformation business model and continuous improvement in asset quality under the new MFRS9 environment.

Meanwhile, chairman Ng Eng Kiat has maintained that “it is not wrong” in relation to the additional assessments and penalties by the Inland Revenue Board totaling RM96.82 million.

“It’s an issue not just in relation to having to pay the tax. We’re taking the grounds that we’re not liable for those tax. We’re now appealing to the Special Commissioners of Income Tax,” said Ng, adding that it is also in consultation with tax agents, auditors and solicitors.

He said although IRB has raised an assessment and failure to pay by a certain time will result in penalties, winding up of the company or action against the board of directors, it has applied to the Court of Appeal against the High Court’s May decision to get a stay. The hearing has been deferred to July.

Starbucks blames slower China growth on drop in third-party delivery orders

BEIJING, June 21 — Starbucks Corp has reported a sudden slowdown in China growth just weeks after trumpeting rapid expansion in the country, citing a drop-off in unapproved third-party delivery services whose bulk orders had been clogging up its…

Sunway Group sees 10pc revenue, profit growth in FY18

PETALING JAYA, June 21 — Sunway Bhd expects a 10 per cent growth in revenue and profits for the financial year ending December 31, 2018 (FY18), driven by improvement reported by most divisions. Founder and Executive chairman Tan Sri Jeffrey Cheah…

Maxis and Astro possible merger a ‘rational option’

KUCHING: A potential merger between Maxis Bhd (Maxis) and Astro Malaysia Holdings Bhd (Astro) has been viewed by analysts as a ‘rational option’ given the competitive landscape. According to AmInvestment Bank Bhd (AmInvestment Bank), local media reported yesterday that Ananda Krishnan, who owns a 62.4 per cent stake in Maxis and a 40 per cent […]

Post GE14 positive for Sime Darby’s motor division, uncertain for industrial division

KUCHING: Post 14th General Election (GE14), Sime Darby Bhd (Sime Darby) near-term prospects for its motor division has been viewed positively by analysts but they are uncertain about its long-term prospects for its industrial division. Maybank Investment Bank Bhd’s research arm (Maybank IB Research) said, while its motor division should benefit from higher volumes due […]

Analysts raise forecasts for Aeon Credit on solid track record

KUCHING: In view of Aeon Credit Service (M) Bhd (Aeon Credit) being on track to deliver more solid performances in financial years 2019 to 2021 (FY19-21E), Affin Hwang Investment Bank Bhd (AffinHwang Capital) raised its earnings forecasts for the group by nine to 16 per cent. According to AffinHwang Capital, Aeon Credit’s management had undertaken […]

Jiankun confident of turnaround this year

KUALA LUMPUR: Jiankun International Bhd is confident of returning to the black in this financial year ending Dec 31, 2018 (FY18) after missing its target last year, as most of its expenses will be significantly reduced this year, and revenue supplemented by by its two property projects.

The projects are Bayu Heights 2 at Seri Kembangan and Amani Residences at Bandar Puteri Puchong.

Managing director Datuk Lee Kian Seng explained that it should be able to turn around in FY18 as it charged out major costs on marketing and selling commission last year.

Jiankun has been in the red since FY14. Last year the management expected the group to be profitable in FY17 but it still posted a RM3.55 million net loss mainly due to the new launches that were at preliminary stages of construction and had yet to contribute significantly to the group’s performance, while marketing expenses, in terms of commissions to sales staff, were high at RM9.68 million.

Lee, who was speaking after the group’s AGM today, explained that the previous management thought they would be able to amortise commission based on progress of work, however auditors disagreed, and a big chunk of expenses were charged out last year when the project was completed.

Bayu Heights 2 is a three-storey terrace house project with all 84 units taken up. The group expects to deliver this project this year. Amani Residences is a high rise service apartment project, currently in construction stage (20% completed) and has garnered sales of over 70%. Its completion is expected in 2020.

Lee said it is in the midst of getting another landed property project in Selangor, with the completion of Bayu Heights 2.

“We’re still waiting for the proceeds from Bayu Heights 2 this year. Once money is in, we will look at a new project again. Jiankun’s size is small for us to get so many projects at the same time,” said Lee.

He added that Jiankun plans to look for land in the outskirts of Selangor and is also looking at opportunities in the industrial segment.

Meanwhile, he said it will retain Jiankun’s 14 units of shop lots in Huizhou, Huiyang, China, until it gets a good price for them.