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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
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French Retailer Casino Reports Drop in First-Half Core Earnings Amid Ongoing Restructuring

French supermarket group Casino posted a decline in first-half core earnings due to ongoing restructuring activities, including the sale of hypermarkets and supermarkets, store closures, and conversions to franchises.

Key Highlights:

  • Earnings Decline: Adjusted earnings before interest, taxes, depreciation, and amortisation (Ebitda) fell 24% to €255 million (RM1.27 billion) in the six months ending June.
  • Sales Drop: Net sales decreased by 3.5% to €4.2 billion.
  • Debt Reduction: Net debt reduced to €1 billion at the end of June from €1.6 billion at the end of March 2024 and €6.2 billion at the end of 2023.
  • Free Cash Outflow: The company reported a free cash outflow before financial expenses of €413 million, compared to an outflow of €735 million a year ago.

Restructuring Efforts:

Casino, France's seventh-largest supermarket group by market share, has been attempting a turnaround after years of debt-fueled acquisitions and a declining market share. The company has been implementing significant changes to improve its economic performance:

  • Store Network Streamlining: Closing unprofitable stores and converting integrated sites to franchises.
  • Careful Selection of Franchise Partners: Ensuring that new franchise partners are carefully selected and opening new stores with high potential.

Leadership Changes:

In late March, Casino completed its financial restructuring, leading to the appointment of a new leadership team by a consortium led by Czech billionaire Daniel Kretinsky. This marked the end of Jean-Charles Naouri's 30-year ownership of the company.

Philippe Palazzi, the recently appointed CEO, expressed optimism about the company's future. "To improve our economic performance, we have begun streamlining our store network: closing unprofitable stores, converting integrated sites to franchises, carefully selecting our new franchise partners and opening new stores with high potential," Palazzi said in a statement.

Despite the challenging restructuring process, Casino's efforts to reduce debt and improve its store network are aimed at stabilizing the company's financial health and positioning it for future growth.

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