KUALA LUMPUR, July 29 (Bernama) -- Bursa Malaysia rebounded to close higher on Wednesday on selective buying of defensive stocks after a volatile trading session. IPPFA Sdn Bhd director of investment strategy and country economist Mohd Sedek Jantan said consumer products and services stocks lifted the key index higher, overcoming lingering geopolitical concerns. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 3.08 points to 1,715.56 from yesterday’s close of 1,712.48. The benchmark index, which opened 1.91 points higher at 1,714.39, moved between 1,710.79 and 1,720.59 during the day’s trading. In the broader market, gainers outstripped decliners 550 to 476, while 612 counters were unchanged, 1,129 untraded, and 48 suspended. Turnover rose to 2.96 billion units valued at RM2.48 billion from 2.94 billion units valued at RM2.56 billion on Tuesday.
Maintain Neutral with unchanged target price (TP) of RM0.88 NTPM’s 2HFY17 revenue came in at RM315.6 m (+6.6% YoY), while net profit dipped to RM25.4m (-15.1% YoY). The higher revenue was driven by increase in sales of tissue products, meeting 44.1% of our revenue forecast for FY17F. The lower net profit which met 35.9% of our FY17F net profit forecast awas dragged by the continued losses incurred in the post commencement of Vietnam's initial tissue operations resulting in margin deterioration from higher energy and labour costs. Vietnam’s operations have affected the Group’s overall performance for the year, however this quarter’s higher sales revenue and margin improvement as a result of favourable product mix recorded boosted overall performance. We are expecting the easing of cost pressures from Vietnam’s operations as contributions become more visible in the medium term, and thus to breakeven by FY18. We are maintaining our Neutral view with a unchanged TP of...