Daily Morning Note – 26 February 2019

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YOUR PHILLIP SUMMARY

Asia shares looked set for a mixed start after U.S. equities barely held on to early gains Monday. After reaching session highs early in the trading day, the S&P 500 drifted lower amid a slide in utilities, real estate and consumer staples, before closing just barely in the green.

Oil tumbled the most in more than two weeks after Trump tweeted that prices are too high and called on OPEC to “relax and take it easy.” Futures in New York declined as much as 3.8 percent on Monday.


BREAKING NEWS

Ping An Insurance Group Co, China’s largest insurer by market value, is gearing up for an initial public offering of its OneConnect unit that could value the financial management portal at about US$8 billion, according to people familiar with the matter.

Procurri Corporation, an enterprise hardware supplier, reversed into the black for its fourth-quarter net profit on stronger gross profit margins, it said on Monday. Netprofit for the three months ended Dec 31, 2018 stood at S$1.67 million, reversing from a net loss of S$1.26 million posted the same period a year ago. Revenue rose 7 per cent from a year ago to S$52.07 million.

PropNex reported anear 58 per cent year-on-year drop in Q4 FY2018 net profit to S$1.83 million as sales were hurt by the cooling measures implemented in July last year. Revenue was around 16 per cent lower at S$83 million as revenue recognition for the number of units transacted in Q3 FY2018 -whichslumped on the back of the cooling measures -took place in Q4 FY2018. Earnings per share for the quarter under review worked out to 0.49 Singapore cent per share, down from 1.41 Singapore cents a year ago.

Sheng Siong Group posted on Monday a 4.2 per cent increase in its fourth-quarter net profit on stronger gross profit. Net profit for the three months ended Dec 31, 2018 stood at S$17.53 million, compared with a net profit of S$16.82 million posted the sameperiod a year ago. The results translate to earnings per share of 1.17 Singaporecents, against earnings per share of 1.12 Singapore cents. Revenue was up 10.7 per cent to S$221.8 million, while gross profit rose9.2 per cent to S$60.19 million..

ST Engineering on Monday said that its aerospace unit has signed a US$600 million contract toprovide aircraft heavy maintenance services to a major North American operator. ST Engineering will support the operator, an existing customer, on a fleet of over 160 wide-body and narrow-body aircraft starting in 2020 for a period of 10 years.

Source: SGX Masnet, The Business Times, Bloomberg, Channel NewsAsia, Reuters, PSR

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