Home News In print this week

CNMC results disappoint again; Second Chance added to portfolio

Jeffrey Tan
Jeffrey Tan8/21/2017 08:00 AM GMT+08  • 6 min read
CNMC results disappoint again; Second Chance added to portfolio
(Aug 21): Corporate earnings for 2Q2017 were not great. Of the Straits Times Index’s 30 component companies, 14 missed market expectations, while 11 outperformed, says Margaret Yang, an analyst at CMC Markets, citing Bloomberg data. The remaining five c
Font Resizer
Share to WhatsappShare to FacebookShare to LinkedInMore Share
Scroll to top
Follow us on Facebook and join our Telegram channel for the latest updates.

(Aug 21): Corporate earnings for 2Q2017 were not great. Of the Straits Times Index’s 30 component companies, 14 missed market expectations, while 11 outperformed, says Margaret Yang, an analyst at CMC Markets, citing Bloomberg data. The remaining five companies did not have a consensus forecast.

Among the ones that reported especially weak numbers were those in the offshore and marine sector as well as the commodities sector. In particular, Keppel Corp, Sembcorp Industries and Wilmar International posted poorer results against the backdrop of muted crude oil prices and challenging operating conditions. On the other hand, local banks DBS Group Holdings, Oversea-Chinese Banking Corp and United Overseas Bank delivered strong results for the quarter, as did property developers such as CapitaLand and UOL Group.

Our Singapore Market Portfolio suffered its share of weak results. Notably, gold miner CNMC Goldmine Holdings continued to be hit by lower ore grade from its sole operating mining concession in the Malaysian state of Kelantan for the third straight quarter. In its 2QFY2017 results ended June 30, the company sold 3,835.5oz of gold, down 60.9% y-o-y. That led to a 61.5% y-o-y drop in revenue to US$4.9 million ($6.7 million). In addition, the company’s all-in costs rose to US$1,115 an ounce from US$500 an ounce last year. As a result, earnings plunged 89.8% to US$478,381 from US$4.7 million a year ago.

For more insights on corporate trends...
Sign In or Create an account to access our premium content.
Subscription Entitlements:
Less than $9 per month
Unlimited access to latest and premium articles
3 Simultaneous logins across all devices
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)
×
Loading next article...
The Edge Singapore
Download The Edge Singapore App
Google playApple store play
Keep updated
Follow our social media
Subscribe to The Edge Singapore
Get credible investing ideas from our in-depth stock analysis, interviews with key executives, corporate movements coverage and their impact on the market.
© 2022 The Edge Publishing Pte Ltd. All rights reserved.