MONEY MASTER

KIP REIT  could be heading for a strong earnings surprise when it reports results next week, with  profits expected to surge as much as 44%–60% year-on-year  for the December-end quarter, according to  TA Securities . The research house expects  Q2 net profit of RM18–20 million , driven mainly by  full-quarter contributions from newly acquired retail assets  and the  initial income from an industrial property completed in October . For the first half of the financial year, net profit is projected to reach  RM35.5–37.5 million . KIP REIT has been actively expanding its portfolio. Between July and December, the trust acquired  KIPMall Desa Coalfields  and  KIPMall Kuantan , while also completing the purchase of  industrial assets in Bintulu and Pasir Gudang . These additions have expanded its portfolio to  18 income-generating properties worth RM1.7 billion  across Peninsular Malaysia and Sarawak. Looking ahead, KI...

  Malaysia Positions Johor as the Next Data Centre Capital Khazanah Nasional’s infrastructure arm,  UEM Group Bhd , is gearing up to unlock its extensive land holdings in Johor to support Malaysia’s accelerating data centre build-out. Managing director  Datuk Amran Hafiz Affifudin  said UEM will supply clean energy and industrial land as demand surges from hyperscalers and multinational cloud players. Johor has rapidly become the country’s data centre hotspot, attracting  RM164.45 billion  in investments as of 2Q and projected to host  60% of Malaysia’s total data centre capacity by 2030 . UEM Sunrise — one of Johor’s largest landowners with  4,600 acres  — is in the final stages of preparing the  40-acre Gerbang Nusajaya Industrial Park , designed to run on renewable energy. Major Green Power Investments to Support Future Loads UEM’s clean energy arm  UEM Lestra  will soon break ground on a  1GW hybrid solar plant , backe...

Shares of  Synergy House Bhd  slid sharply on Thursday after the furniture exporter posted a  75% collapse in quarterly earnings , underscoring the deepening impact of US tariffs on Malaysian furniture makers. The results came in  well below expectations , according to Tradeview Research, the only research house covering the counter. The firm noted that order recovery — especially in the B2B segment — has been significantly slower than anticipated, while tariff pressures have lasted longer than initially projected. Stock Hits Three-Month Low Synergy House fell as much as  12%  to  33.5 sen , the lowest level in three months, before stabilising at  34 sen . Trading volume exceeded  1.1 million shares , valuing the company at  RM170 million  at the last traded price. Tariffs to Keep Squeezing Margins Tradeview cautioned that even though festive demand may help lift the coming quarter, the  near-term outlook remains challenging . ...

Shares of  SoftBank Group Corp.  tumbled as much as  10%  in Tokyo trading on Wednesday after the tech conglomerate’s surprise sale of its  entire Nvidia Corp. stake  unnerved investors already wary of overheating valuations in the  AI sector . The stock hit a one-month low despite  strong quarterly earnings  and a planned  4-for-1 stock split . The Japanese firm said it offloaded its  US$5.83 billion (RM24.13 billion)  Nvidia holding to free up funds for new  artificial intelligence investments  — a move that investors saw as both strategic and unsettling amid ongoing questions about AI’s profitability. Market Reaction SoftBank’s exit from Nvidia — the most prominent chipmaker powering the AI boom — comes at a delicate moment. Nvidia’s shares slipped  3.9% overnight in New York , even after a  48% rally this year  through Monday’s close. The sale has reignited debate over whether the  trillion-dol...

Karex (5247.MY)  jumped  12.4% to 95.5 sen at midday Thursday , valuing the world’s largest condom maker at just over  RM1 billion , after  CIMB Securities  and  AmBank Research  both initiated coverage with  “Buy”  recommendations. CIMB: RM1.60 Target, Structural Earnings Upcycle Ahead CIMB assigned the most bullish  target price of RM1.60 , highlighting a  multi-year structural earnings recovery  driven by the  mass-market rollout of Karex’s patented nitrile synthetic condom . Global expansion:  Karex’s exclusive partner (“Customer D”) has extended distribution to  18 countries , with a  full global rollout  in progress. Capacity growth:  Production capacity for nitrile condoms is expected to  increase fivefold to 900 million pieces annually by FY2028 . High margins:  The nitrile product commands  premium pricing  and  gross margins above 50% , supporting profitability. C...

From Mag Seven to New AI Powerhouses It’s been nearly three years since OpenAI’s ChatGPT reshaped the global economy, and the  “Magnificent Seven”  — Nvidia, Microsoft, Apple, Alphabet, Amazon, Meta, and Tesla — have dominated markets. They’ve accounted for more than half of the S&P 500’s rally since early 2023. But Wall Street is now questioning whether this group still best represents the AI-driven future. While some of the seven continue to thrive, others are falling behind, making room for a new generation of leaders. Winners and Laggards Within the Mag Seven Strong AI performers : Nvidia, Microsoft, Alphabet, and Meta (shares up 21–33% this year). Struggling names : Apple, Amazon, and Tesla are lagging as AI strategies remain less defined. Analysts argue it’s “hard to see the current Mag Seven as the best representation of AI.” Wall Street’s New Proposals “Fab Four” : Nvidia, Microsoft, Meta, Amazon. “Big Six” : Mag Seven minus Tesla. “Elite 8” : Original seven plus B...

Investors are watching  Pop Mart  closely this week, as the toymaker’s  first-half earnings and outlook  may provide the push its stock needs for another breakout rally. Stock Momentum Building Pop Mart shares jumped  nearly 5% on Monday , breaking months of consolidation and touching a  record high . Even after the rally, the stock is still trading at about  90% of analysts’ price targets , suggesting more  upside potential . Why Analysts Are Waiting Most analysts have kept their  price targets steady  over the past month, likely waiting to see the latest results before revising forecasts. Expectations are high:  first-half revenue is set to triple . CEO  Wang Ning  has projected that  overseas sales will surpass China sales  this year — a major milestone for the Labubu maker. Track Record of Growth Since  March 2024 , when Pop Mart posted upbeat results, its stock has skyrocketed more than  1,000% . Y...

Shares of  Swift Haulage Bhd (SWIFT)  fell over  3%  to  41.5 sen  on Friday, extending Thursday’s losses, after the logistics group’s first-half earnings came in below market expectations. Earnings Miss Net profit for the first six months accounted for only  ~45%  of consensus full-year forecasts. The shortfall prompted at least one research downgrade, while most analysts held off changes pending the upcoming analyst briefing. Analyst Concerns Margins & Overheads:  Maybank Investment Bank flagged volatility in margins, elevated overhead costs, and competition-driven volume pressure as potential drags on performance. Market Position:  Kenanga Investment Bank, the sole “underperform” call, warned Swift is losing its leading position in Malaysia’s haulage market. Warehousing Expansion Costs:  While warehousing has “tremendous” growth potential from the e-commerce boom, significant start-up costs are expected to weigh on near-term ...

What Happened Multiple reports indicate that Washington is in talks to take an equity stake in  Intel (INTC) , with terms and size yet to be determined. Shares jumped  7.38%  on the news. This approach reflects the U.S. government’s shift toward  return-bearing strategic investments  rather than pure grants for semiconductor manufacturing capacity. Intel’s Strategic Reset On its Q2 earnings call, Intel drew a hard line under its prior  “build-it-and-they-will-come”  approach, committing to a more disciplined capital plan: CapEx tied to demand:  New capacity will only be built with firm customer volume commitments. Project cuts and consolidations:  No new manufacturing sites in Germany and Poland; Costa Rica assembly & test will be consolidated into Vietnam and Malaysia. Ohio construction will be slowed to align with demand. CapEx target:  2025 gross capital expenditure capped at ~$18B to optimize footprint and improve returns on inve...

Earnings Outlook CIMB Securities projects Telekom Malaysia’s (KL:TM) 2QFY2025 core net profit (CNP) to grow 4%-9% YoY to RM410–RM430 million, driven by net interest cost savings and normalised tax rates. This represents 48%-49% of CIMB’s full-year forecast and is deemed in line with expectations. TM will release results on Aug 29. Revenue Trends Total revenue is expected to remain soft, potentially 0%-4% lower YoY, amid intense fibre broadband competition. Internet revenue (39% of group total) may fall 4%-5% YoY on slower subscriber growth and lower ARPU. TM Global is seen posting a 1%-3% YoY increase, while TM One’s revenue may drop 9%-11% without last year’s MYTV settlement. Operational Highlights CIMB expects lower Unifi acquisition, staff, and other costs to offset higher 5G access fees. Net interest costs are projected to halve YoY to RM25m–RM30m on reduced debt. TM Global’s revenue is set to improve in 2H2025 from subsea cable upgrades and U Mobile 5G fibre backhaul. Valuation CI...

Sime Darby Property (SIMEPROP)  is seeking up to  RM3 billion  in bank loans to fund a data centre project in Malaysia that will be leased to  Google , Bloomberg reports. The proposed five-year loan includes a two-year extension option. Cuckoo International (CKI)  posted a  1.83% QoQ dip  in 2QFY2025 net profit to  RM27.35 million , hit by listing expenses and higher impairments. Revenue rose 3.5% to  RM306.67 million , driven by its CUCKOO co-created segment. Keyfield International (KEYFIELD)  saw  2QFY2025 net profit fall 5.26% YoY  to  RM66.36 million  on softer OSV demand and lower charter rates, despite booking  RM25.7 million  from a vessel disposal. Revenue dropped 33.7% to  RM131.97 million . I-Bhd (IBHD)  more than doubled 2QFY2025 net profit to  RM11.45 million , supported by stronger performance across leisure, property development, and property investment. Revenue rose 12% to ...

Warren Buffett’s Berkshire Hathaway  has taken a fresh $1.6B position in  UnitedHealth Group (UNH) , snapping up  5 million shares  in Q2 2025, according to SEC filings. The disclosure sent  UNH  shares surging  up to 9.6% in post-market trading . The move comes despite UnitedHealth navigating turbulence — from rising medical costs to leadership shakeups, including a CEO replacement and plans for a new CFO. The health insurer also reported its first earnings miss in over a decade earlier this year. Portfolio shake-up highlights : Exit : Sold entire $1B stake in  T-Mobile US (TMUS) . Apple (AAPL) : Trimmed by 20M shares, still Berkshire’s largest holding despite a $9.2B value drop in Q2. Bank of America (BAC) : Cut stake by 26M shares to ~8%. Kraft Heinz (KHC) : No change, despite earlier $3.8B impairment charge. Homebuilders : Added  Lennar (LEN) , reduced  D.R. Horton (DHI) . Steel : Boosted stake in  Nucor (NUE) . The filing also ...

KLCI Eases Ahead of GDP Data The  FBM KLCI  slipped  0.35% to 1,581.05  as investors stayed cautious before Malaysia’s Q2 GDP release. Analysts expect growth to undershoot the 4.5% target, but downside risk to the index remains limited unless the miss is significant. Wall Street Mixed on Hotter PPI US stocks closed mixed after July  Producer Price Index  rose  3.3% YoY , the highest since February, tempering Fed rate cut hopes. September cut odds fell to 92.6% (from 100%) via CME FedWatch. Stocks to Watch RHBBANK (1066.MY) Signed 20-year exclusive bancassurance partnerships with  Tokio Marine Life Insurance  &  Takaful Malaysia worth  RM1.6B  in access fees. Extends existing 10-year deal expiring end-2024. F&N (3689.MY) 3QFY25 net profit down 30%  to  RM84.82M , revenue fell 4.5% to  RM1.25B . Weaker consumer sentiment, reduced Thai tourist arrivals, and dairy farm start-up losses weighed on results. WPRT...

Key Filing Expected Thursday Berkshire Hathaway’s second-quarter  13F filing  is due after Thursday’s close, adhering to Warren Buffett’s typical 45-day disclosure schedule. The update will reveal Q2 portfolio adjustments — including reductions, additions, or exits — and may finally shed light on a  mystery stock  Buffett has been quietly accumulating under SEC confidentiality. Q1 Recap: Portfolio Shifts In Q1 2025, Berkshire exited  Citigroup  and  Nu Holdings , trimmed several holdings — notably  Liberty Formula One-C (-48%) ,  T-Mobile (-11%) , and  Bank of America (-7%)  — and increased stakes in  Pool Corp (+14%) ,  Constellation Brands (+114%) ,  Heico (+11%) , and  Domino’s Pizza (+10%) . Spotlight on Apple Apple remains Berkshire’s  largest holding  at 300 million shares despite prior multi-billion-dollar sales. With Apple stock underperforming in 2025, markets are watching closely for signs tha...

Aerospace & Manufacturing DRB-Hicom Bhd (KL:DRBHCOM) Deal Value:  RM426.1 million Details:  Acquiring the Malaysian operations of  Spirit AeroSystems , enhancing CTRM’s aerospace capabilities. Supplies Airbus & Boeing programmes (A220, A320, A321, A350, B737, B787) from Subang hub. Master Tec Group Bhd (KL:MTEC) 2QFY2025 Revenue:  RM104.82 million (+44% YoY) Net Profit:  RM6.92 million (-20.5% YoY) due to higher costs. Declared dividend:  0.69 sen/share . Hup Seng Industries Bhd (KL:HUPSENG) 2QFY2025 Revenue:  RM84.84 million (+5.7% YoY) Net Profit:  RM8.51 million (-5.7% YoY) on higher input costs. Declared dividend:  2 sen/share . Construction & Infrastructure Inta Bina Group Bhd (KL:INTA) Contract Value:  RM264.5 million Scope:  Build two serviced apartment blocks in Segambut, KL. Client: GDP Architects (on behalf of IJM Land & FCW Holdings JV). Critical Holdings Bhd (KL:CHB) Contract Value:  RM40.76 million ...

  Contract Win & Outlook Pekat Group’s 60%-owned EPE unit  has bagged a  RM31.3m contract from Tenaga Nasional (TNB)  — its third this year — for  maintenance and spare parts works  involving AIS and GIS switchgear systems. The contract runs for  2 years  (with an optional extension). YTD Job Wins for EPE : RM232m (on track to hit RM300m FY25 target) Current Order Book : RM504m Expected GP Margin : 25–30% for this high-margin recurring service job  Riding the RE & Infrastructure Wave With Malaysia’s  LSS5 and LSS5+ solar programs (4x bigger than LSS4)  unlocking over  RM10b in EPCC potential , PEKAT is pivoting toward  high-margin commercial and industrial (C&I) solar  projects, while maintaining a  ~5% market share .   Switchgear business (EPE) is the game changer: Among  Top 4 MV switchgear suppliers  to TNB Riding on  TNB’s RP4 capex cycle Expected to  exceed profit guarant...

Stock Surge Kelington Group Bhd ( KGB ) shot up nearly  +5% to RM4.39  on Tuesday morning — a  new all-time high  — as  investors cheered news of a potential foothold in Europe . Current price (9:30am) : RM4.34 YTD Gain : ▲24% Market Cap : >RM3B European Breakthrough Kelington received a  letter of intent  from an  existing Malaysian client  for a  semiconductor hook-up project in Dresden, Germany , potentially worth up to  €50 million (RM244M) . Hook-up  refers to the installation of utility and process systems in wafer fabs. RHB Research sees this LOI as a "precursor to a contractual agreement" with work  set to begin immediately . Big Picture: Riding the Chip Boom Kelington is capitalizing on the  EU’s Chips Act , which is driving a boom in semiconductor fabs across Europe.  Major players like  TSMC, Intel , and the  European Semiconductor Manufacturing Consortium  are fueling demand for engi...

China Southern Airlines (HKG:1055) shares have gained  29% over the past 12 months , a solid return but still trailing the broader market. Longer-term holders have seen less upside, with the stock down  11% over three years . Revenue Growth: The airline’s revenue rose just  1.5% last year , a modest figure given it is still loss-making. Investors may be betting on future profitability, with revenue growth often seen as a leading indicator for earnings potential. Market Perspective: The  29% one-year return  outperforms the company’s  five-year average annual return of 0.3% , suggesting improving sentiment. Analysts continue to cover the stock closely, signaling some confidence in its recovery trajectory. Summary:  China Southern Airlines has rewarded investors with a strong one-year gain despite limited revenue growth, but its long-term performance still lags. The next step will depend on whether the airline can convert revenue gains into consistent pr...