revenue growth


Clouds over Indian hospital chain Fortis keep suitors from making higher bids


MUMBAI/BENGALURU (April 23): India’s Fortis Healthcare Ltd has received as many as five offers for control of its private hospital business, but suitors have so far held back from making bold bids for the group as it faces rising debt and a regulatory probe. Fortis, one of the country’s largest hospital chain operators, is evaluating offers from domestic and international firms including Malaysia’s IHH Healthcare Bhd, which runs hospitals in India, Turkey, Malaysia and Singapore, and China’s Fosun International Ltd. Analysts, bankers and consultancy firms say Fortis, with around 30Read More

Nestle records marginal increase in Q1 earnings

PETALING JAYA: Nestle (Malaysia) Bhd recorded a marginal increase in its net profit for the first quarter ended March 31, 2018 to RM231.22 million from RM230.69 million a year ago.

In a filing with Bursa Malaysia, Nestle said its operating profit was higher by RM4 million at RM303 million while pre-tax profit rose RM4 million to RM295 million.

“A satisfactory bottom line performance considering the first quarter of 2017 was already on a high base. The impact of slightly higher commodity prices as well as from increased marketing investments for the Chinese New Year sales was compensated by a strong revenue growth,” it said.

Revenue for the quarter rose 4.2% to RM1.43 billion from RM1.37 billion a year ago driven by higher domestic sales and export sales, which grew 4.4% and 3.4% respectively.

“Relevant product innovations with the right marketing and promotional support helped the group to achieve high sales during Chinese New Year,” it said.

The group said it will continue with its “Fuel the Growth” strategy, which strives for efficiency increases all over the supply chain, reinvesting realised improvements and intensifying its trade and consumer promotions.

The group's share price was down 50 sen to RM147.50 with some 167,800 shares changing hands.

DiGi up 1.56% on positive 1Q earnings, dividend


KUALA LUMPUR (Apr 16): DiGi.Com Bhd shares rose 1.56% this morning after its net profit for the first quarter ended March 31, 2018 rose 3.5% to RM386.11 million compared with RM373.11 million a year earlier, thanks to improved service revenue, cash flow and stronger operational efficiencies. Earnings per share rose to 4.97 sen from 4.8 sen. At 9.15am, DiGi added 7 sen to RM4.55 with 169,000 shares done. Quarterly revenue rose 4% to RM1.63 billion from RM1.57 billion previously. Service revenue grew 0.7% year-on-year to RM1.48 billion, fuelled by solidRead More

Wall Street eyes earnings stabiliser after FAANG stocks wobble

NEW YORK, April 15 — Wall Street is hoping that first-quarter earnings growth and corporate forecasts are strong enough to bring the FAANG group of stocks back into favour and take the spotlight off worries that caused the recent sell-off in the…

DiGi 1Q net profit up 3.5%, declares 4.9 sen dividend


KUALA LUMPUR (April 13): DiGi.Com Bhd’s net profit for the first quarter ended March 31, 2018 (1QFY18) rose 3.5% to RM386.11 million compared to RM373.11 million in the previous year, thanks to improved service revenue, cash flow and stronger operational efficiencies. Service revenue grew 0.7% year-on-year to RM1.48 billion, fuelled by solid internet revenue growth within the quarter from the company’s strong postpaid performance and stronger data monetisation of its prepaid business, it said. Earnings per share rose to 4.97 sen from 4.8 sen in 1QFY17. Quarterly revenue rose 4%Read More

Digi’s Q1 earnings rise 3.5%, pays 4.9 sen dividend

PETALING JAYA: Digi.Com Bhd reported a 3.5% increase in net profit to RM386.11 million for the first quarter (Q1) ended March 31, 2018 against RM373.11 million in the previous corresponding period due to lower taxation.

Its revenue also expanded 3.8% to RM1.63 billion from RM1.57 billion.

The telco has proposed to declare an interim dividend of 4.9 sen per share for the quarter under review.

Digi said in a filing with the stock exchange that its service revenue grew 0.7% to RM1.48 billion in Q1, fuelled by solid internet revenue growth from its strong postpaid performance and data monetisation of its prepaid business.

It closed the quarter with 11.8 million subscribers with a healthy average revenue per user (ARPU) of RM42.

Postpaid revenue increased 13.7% to RM591 million while postpaid internet revenue rose 28.7% to RM368 million. ARPU stood resilient at RM77 on the back of stronger postpaid subscriber base of 2.6 million, mainly due to continued traction from prepaid to postpaid conversions.

However, prepaid revenue declined 6.4% to RM891 million with a lower ARPU of RM32.

Digi invested RM181 million capex or 12.2% of service revenue in Q1 to expand the 4G LTE and LTE-A network footprint to 88% and 57% respectively, and over 8,200km of fiber network nationwide.

Although market conditions remains challenging, the group aims to improve 2018 service revenue growth and to sustain earnings before interest, taxes, depreciation and amortisation (ebitda) at around 2017 level leveraging on sustainable growth, disciplined cost management and innovating on operational efficiencies.

“Digi is committed to investing for growth opportunities and aspire to deliver efficient capex between 10% – 12% of service revenue.”

At 2.50pm, Digi's share price fell 2 sen or 0.4% to RM4.48 on some 617,000 shares traded.

Luxury goods giant LVMH shares soar on Q1 growth

PARIS, April 10 — French luxury empire LVMH today saw its share price soar over five per cent on the Paris stock exchange after it reported strong global growth for the first three months of 2018. The group, which owns the Dior and Louis…

Deutsche Bank said to lean toward naming Sewing as next CEO

FRANKFURT, April 8 — Deutsche Bank AG’s supervisory board is leaning toward naming Christian Sewing to succeed Chief Executive Officer John Cryan, according to people with knowledge of the discussions. No final decision has been made as the…

Telcos to see repetitive year in earnings

KUCHING: The telecommunications sector incumbents have been projected to report a similar performance in 2018 as in the prior year, while competition has been expected to stay with the key battle and likely to focus on the prepaid segment, product upselling and data monetisation. According to the research arm of Kenanga Investment Bank Bhd (Kenanga […]

M’sia-US trade growth will be slower this year

KUALA LUMPUR: The International Trade and Industry Ministry (Miti) has warned that Malaysia’s trade growth with the US in 2018 is not expected to be as robust as last year’s 16.3%, even as the American Malaysian Chamber of Commerce’s (Amcham) considers the impact of the trade issues between US and China too early to tell.

Minister Datuk Seri Mustapa Mohamed however qualified that he still expects good growth this year.

“We don’t know how this (trade war) is going to play out because it’s too early to tell. We just have to wait and see whether it’s just part of a negotiation or an announcement.

“As long as the world trade is ok and Trump don’t disrupt, this will continue to grow. If the world trade comes down, every company will have to adjust accordingly,” Amcham’s Malaysian American Electronics Industry chairman Datuk Wong Siew Hai told reporters after announcing the findings for the “Economic Impact Survey 2018” today. 

Key findings of the survey of leading US companies operating in the electrical and electronics (E&E) sector, revealed that a majority of companies recorded strong revenue growth in 2017, and 78% expect that their company will increase its level of trade and investment in Malaysia over coming years.

Total investment to date by US E&E companies exceeds RM42 billion, concentrated in Penang but also with a significant presence in Greater Kuala Lumpur. American E&E companies are integrated into the local economy, sourcing RM12 billion worth of goods and services locally in 2017.

It brought a total trade-in goods surplus of at least RM19.5 billion, contributing at least 20% of Malaysia’s total international trade surplus for 2017. US E&E companies also created 80,000 jobs in Malaysia.

According to trade statistics tabulated by the Malaysia External Trade Development Corporation, in January-February of 2018, trade with the US grew 1.8% year-on-year to RM24.45 billion.

“About half of our trade with America is driven by E&E, that’s the biggest component,” Mustapa said after delivering his address at the Asia Pacific Council of American Chambers of Commerce Business Summit today.

Malaysia’s export of E&E products make up RM343 billion or 36.7% of total exports in 2017.

Mustapa said Malaysia will monitor the trade issues between US and China, as there will be some impact to the country, particularly in solar. China is Malaysia’s biggest trading partner while US is the third.