Skip to main content

Featured Post

Market Daily Report: Bursa Malaysia Ends Higher In Line With Most Regional Markets

KUALA LUMPUR, Sept 20 (Bernama) -- Bursa Malaysia ended higher on Friday in line with most Asian markets, mirroring gains from Wall Street, where investors welcomed the US Federal Reserve's substantial interest rate cut. The FTSE Bursa Malaysia KLCI (FBM KLCI) rose by 3.17 points, or 0.19 per cent, to 1,668.82 at the close from Thursday's close of 1,665.65. It opened 5.03 points higher at 1,670.68, trading between 1,668.48 and 1,674.04 throughout the session. In the broader market, gainers outpaced decliners 732 to 468, while 465 counters were unchanged, 850 untraded and 32 suspended. Turnover swelled to 4.19 billion units worth RM5.97 billion, from Thursday's 3.99 billion units worth RM4.08 billion. UOB Kay Hian Wealth Advisors head of investment research, Mohd Sedek Jantan, noted the FBM KLCI's gains were led by utilities, logistics, and banking stocks, reflecting improved market sentiment. Additiona
Post a Comment

BP Raises Dividend as US$2.8 Billion Quarterly Profit Beats Forecasts

 

BP increased its dividend and extended its share repurchasing programme on Tuesday as it reported a forecast-beating second-quarter profit of US$2.76 billion (RM12.75 billion). This profit was bolstered by stronger oil prices and retail performance, despite weak refining.

The results are expected to ease pressure on CEO Murray Auchincloss, who has been focusing on the most profitable operations, primarily in oil and gas, since taking office in January. This marks a shift from former CEO Bernard Looney’s strategy of expanding renewables and reducing fossil fuel output. BP has greenlit the development of the Kaskida oilfield in the US Gulf of Mexico and a low-carbon hydrogen project at its Castellon refinery in Spain.

Key Takeaways:

  • Dividend Increase: BP raised its dividend by 10% to eight cents per share, in line with analysts' expectations.
  • Share Buyback: The company maintained its share buyback programme at US$1.75 billion for the next three months and committed to buying a total of US$14 billion of shares this year and next.
  • Profit Details: BP reported a second-quarter profit of US$2.76 billion, surpassing the forecast of US$2.54 billion. This compares to a US$2.7 billion profit in the previous quarter and US$2.6 billion a year earlier.
  • Weak Refining: Weaker refining margins due to lower diesel demand and higher refinery maintenance were offset by higher oil and gas prices and a lower than expected tax rate.
  • Stock Performance: BP shares rose 1.85%, outperforming the broader European energy index.
  • Cost Reduction: BP is working to exceed its target of reducing annual costs by US$2 billion by the end of 2026.

CEO Auchincloss emphasized the company's focus on reducing costs and building momentum towards its 2025 targets. Despite weak refining margins, global demand for gasoline and diesel is expected to support refining margins during the summer driving season.

BP will maintain capital expenditure at US$16 billion per year in 2024 and 2025.

Labels:

Comments

Post a Comment

Popular posts from this blog

INTC Share Watch and News

Stock Info Market Monitor Company Profile Intel Corporation designs, manufactures, and sells integrated circuits for computing and communications industries worldwide. It offers microprocessor products used in notebooks, netbooks, desktops, servers, workstations, storage products, embedded applications, communications products, consumer electronics devices, and handhelds. The company also offers system on chip products that integrate its core processing functionalities with other system components, such as graphics, audio, and video, onto a single chip. It also provides chipset products that send data between the microprocessor and input, display, and storage devices, such as keyboard, mouse, monitor, hard drive, and CD or DVD drives; motherboards that has connectors for attaching devices to the bus, and products designed for desktop, server, and workstation platforms; and wired and wireless connectivity products, including network adapters and embedded wireless cards used to translat
1 comment
Read more

Analysts See Asset Resilience of Bank of Chengdu Benefiting Hong Leong Bank

Analysts predict that the asset quality of Bank of Chengdu, in which Hong Leong Bank Bhd holds a 19.76% stake, will remain robust due to its strict risk management policies and proactive measures. Key Takeaways: Strong Risk Management Practices : According to CIMB, Bank of Chengdu has adopted a conservative risk culture, performing thorough assessments of location, developer reputation, project viability, and management integrity before financing property projects. The bank closely monitors early warning signals like construction progress, sales progress, budget overruns, and fund usage by developers to mitigate potential risks. Proactive Measures Against Property Slowdown : The bank's precautionary measures allowed it to reduce exposure to problematic property loans and exit risky loans before China's property market slowdown. This conservative approach is expected to benefit Hong Leong Bank by minimizing potential asset quality concerns. Continued Optimism and Buy Recommendat
Post a Comment
Read more

Investors Keep Buying US Junk Debt Despite Weak Protections

  When US-based construction material supplier Wilsonart issued a junk bond to raise US$500 million (RM2.13 billion) for an acquisition this summer, a research firm warned potential investors about the bond's weak protections. The bond’s covenants could allow the company to move valuable assets to another entity and raise more money, potentially disadvantaging bond investors, according to Covenant Review , a research firm. This warning comes amid growing concerns in credit markets as more companies engage in practices like "liability management exercises," where they borrow more against the same assets. These practices, often favoring some creditors over others, have been dubbed "creditor-on-creditor violence," prompting some creditors to unite to protect their interests. Despite the warnings, investors eagerly purchased Wilsonart's offering, underscoring a paradox in US credit markets. While investors face the consequences of weak covenants, they continu
Post a Comment
Read more