KUALA LUMPUR (June 27): The FBM KLCI could come under some selling pressure on Wednesday, as weak global sentiment continues to weigh on local investors' minds. The index fell below the crucial 1,600-point level on Tuesday.
Meanwhile, Asian shares were caught in choppy trade on Tuesday as investors remained cautious ahead of a European leaders summit which many believe will not produce any substantive measures to solve the region's protracted debt crisis, now in its third year, according to Reuters.
Apprehension over the outcome of this week's crucial European leaders' summit left the euro near a two-week low on Tuesday, though European shares managed a slight uptick after three days of losses, it said.
Among the stocks that could be in focus are Puncak Niaga Holdings Bhd, Glomac Bhd, Century Software Holdings Bhd, Goh Ban Huat Bhd (GBH), and Ingress Corporation Bhd.
Puncak Niaga is mulling lawsuits against Syabas to recover some outstanding RM1.1 billion. G Parameswaran, a representative from Puncak Niaga minority shareholders, said they have asked the company to sue Syabas.
Speaking to reporters after the company's AGM on Tuesday, Puncak Niaga's executive chairman Tan Sri Rozali Ismail said he would convene a board meeting next week to discuss the matter.
Glomac's net profit for the fourth quarter ended April 30, 2012 rose 48.1% to RM22.25 million from RM15.02 million a year earlier. Revenue for the quarter jumped 61.% to RM247.66 million from RM153.74 million in 2012. Earnings per share was 3.90 sen compared to 2.54 sen a year earlier, whiel net assets per share was RM1.12.
Glomac proposed a second and final gross dividend of 2.75 sen per share in respect of financial year ended April 30, 2012, subject to shareholders' approval. Reviewing its performance, Glomac said on Tuesday that the higher net profit and revenue was due to on-going sales and progressive recognition of development projects in Glomac Damansara, Bandar Saujana Utama, Saujana Rawang and Glomac Cyberjaya.
On its prospects, Glomac said that based on the on-going development projects and the level of work targeted to be completed, its performance for the financial year ending April 30, 2013 was expected to improve. For the financial year ended April 30, Glomac posted a net profit RM85.78 million compared to RM62.98 million on the back of revenue RM655.61 million.
Century Software is eyeing one or two more government contracts this year, said its group managing director Datuk Samsul Husin. "We are participating in the tenders. They are sizeable project comparable to what we have won," he said after the company's AGM on Tuesday. "As a software company, RM30 million or RM40 million contract is big, unlike hardware companies," he said, adding that the outcome of the tenders will be out by year end.
GBH plans to venture into property development within the next three to five years, said its director Thor Poh Seng. On hand, GBH has 5.92ha of prime land located in Jalan Segambut, Kuala Lumpur on which its manufacturing plant is built upon.
"As you know, property prices in this area, Segambut and Mont Kiara, has escalated. Land cost has increased as well. Our factory is sitting on expensive land. We are doing some conceptual planning. We feel there are too many condominiums [in the Segambut and Mont Kiara areas] at the moment. We think that there is an oversupply in condominiums," he said after the company's AGM on Tuesday.
Ingress Corp declared a gross interim dividend of 4 sen to be paid on July 16.