Corporate results: Seacera, Med-Bumikar Mara, Wasco and Leong Hup
Seacera inks deal with South Korea’s firm to make LED 
Seacera Group BHd has inked a partnership with South Korea’s KR EMS Co Ltd to explore the possibility of establishing a light emitting diode (LED) production factory in Tangga Batu, Melaka. Seacera told Bursa Malaysia yesterday, a memorandum of understanding (MoU) has been signed on the exchange of technology and infrastructure development and information for the production of LEDs in Malaysia. The promotion of LED products is in line with the Malaysian government’s commitment to reduce carbon intensity by about 40% by 2020.
 
Med-Bumikar nominates former Perodua CEO as MBM Resources’ director
Med-Bumikar Mara Sdn Bhd, a major shareholder of MBM Resources Bhd, has proposed to appoint two new members to MBM’s board of directors with an immediate effect. In an exchange filing, MBM Resources noted Med-Bumikar has proposed Datuk Aminar Rashid Salleh as an independent non-executive director and Wong Fay Lee as non-independent non-executive director to be proposed during the group’s 25th annual general meeting on May 29. Aminar is the former CEO and president of Perusahaan Otomobil Kedua Sdn Bhd (Perodua). MBM posted a net profit RM60.08 million in the fourth quarter ended Dec 31, 2018 (4Q18) compared to a net loss RM181.63 million in the previous year. Its revenue rose RM15.28% year-on-year (YoY) to RM498.98 million from RM432.83 million. 
 
Wasco’s 1Q profit falls on weak market
Wah Seong Corp Bhd’s (Wasco) net profit for the first quarter ended March 31, 2019 (1Q19) fell to RM20.2 million from RM29.2 million in 1Q18 due to a continued low level of market activities in the Asia Pacific region for the oil and gas (O&G) sector as well as weak market conditions in the construction sector. In an exchange filing yesterday, Wasco noted its O&G segment’s revenue for 1Q stood at RM440.3 million compared to RM 538.8 million in 1Q18. The Industrial Trading & Services Segment’s revenue for 1Q was RM117 million compared to RM150 million the year before. The decrease was mainly because of weak condition, which resulted in lower sales of building materials, HDPE pipes, construction and power generation equipment the group stated. Wasco’s order book currently amounts to RM1.1 billion comprising RM702.4 million worth of order in O&G, RM330.2 million in the Renewable Energy segment and RM53.1 million in the Industrial Trading & Services sector. 
 
Leong Hup’s net profit up 14.9% to RM60.58m
Leong Hup International Bhd’s net profit rose 14.9% year-on-year (YoY) to RM60.58 million or earnings per share (EPS) of RM1.78 sen in its first quarter ended Mar 31, 2019 (1Q19) on increase in its sales volume and average selling price of eggs. In an filing to Bursa Malaysia yesterday, the poultry group’s revenue increased by 11% YoY to RM1.5 billion on increase in sales volume and average selling price of eggs in Malaysia and increase in average selling price of broilers in Indonesia. Revenue was partially offset by the decrease in sales from Singapore following the disposal of its subsidiary in June last year. Its livestock and poultry products revenue rose 2.7% YoY to RM859.65 million in 1Q. Revenue from its feedmill segment increased by 27% YoY to RM643.63 million for the period. Leong Hup noted it has invested in significant expansion over the past year. Leong Hup expects to raise RM275 million from its initial public offering (IPO) on the Main Market of the local bourse. The poultry producer’s IPO exercise involves the issuance of 937.5 million shares, representing 25.68% of the enlarged issue and paid-up share capital of the company at RM1.10 a share.