IPO: Sateri International, a privately held producer of the wood-based cellulose used to make textiles in Brazil, plans to raise up to around HK$7.8 billion in Hong Kong initial public offering in the second half of this year, Financial Times reported. Sateri owns plantation in both Brazil and China. The raised capital will be used to enlarge production capability to meet the demand in the emerging market including China. (Hong Kong Economic Times A2)
Angang Steel (347 HK) recorded net profit of around 1.148 billion yuan, surging 573 times year-on-year in the first quarter. Earnings per share were 0.159 yuan. The company expected that interim results ended June 2010 will return to the black. (Sing Tao Daily B2)
ASM Pacific Technology (522 HK) posted net profit of HK$466 million in the first quarter. Earnings per share were HK$1.18. The company expected continuous growth in the second quarter. Director Lee Wai Kwong said the company may revise its 2010 US$500 million capital spending plan to enhance capacity and R&D ability. (Sing Tao Daily B2)
China COSCO (1919 HK) earned 882 million yuan in the first quarter of the year, compared to a loss of HK$3.3 billion for the same period last year. Earnings per share were 9 fen. Earnings mainly came from dry bulk shipping business. (Sing Tao Daily B4)
China Shenhua Energy (1088 HK) posted earnings of 9.244 billion yuan in the first quarter, up almost 17 per cent. Turnover grew almost 21 per cent to 32.8 billion yuan. The company said government imposed stricter supervision policy on coal enterprises, which might lead to temporary production limitation in some coal mines. (Sing Tao Daily B4)
NET FALLS 68% IN Q1 DUE TO HIGH COST ON 3G OPERATION China Unicom (762 HK) posted first-quarter net profit of 1.129 billion yuan, down 68 per cent, due to expanding network and high cost on 3G operation. Earnings per share were 5 fen, below expectations. Revenue rose 6.6 per cent year-on-year to 40.415 billion yuan. (Sing Tao Daily B2)
China Zhongwang (1333 HK) saw turnover grow 37 per cent to 3.82 billion yuan in the first quarter on higher sales volume and average selling prices of industrial aluminum products. Earnings were approximately 1.312 billion yuan, up 65 per cent over the same period last year. (Sing Tao Daily B4)
Rumour said it that CLP Holdings (2 HK) has hired 18 banks to arrange a loan of up to HK$6 billion for refinancing, Bloomberg reported, citing unnamed sources. Interest rate of the five-year loan will be 70 points higher than Hong Kong interbank rate. (Hong Kong Economic Journal P4)
China Merchants Holdings (144 HK) announced that its subsidiary, CM Vietnam, will establish a joint venture with BSPD and PVSB to construct and operate the Vu Vung Tau International Container Port (including a modern warehouse and logistics park) located in Southern Economic Focal Zone, Vietnam. The company will hold 49 per cent stake in the joint venture. (Hong Kong Economic Journal P4)
Q1 PROFIT UP 1.8% China Oilfield Services (2883 HK) said profit rose 1.8 per cent to 977 million yuan for the first quarter this year. The company said ship team’s working days of its main business, oil drilling, increased 8.6 per cent to 2,115 days, while the working days of ship service rose 5.3 per cent to 6,580 days. (Hong Kong Economic Times A14)
Datang International Power (991 HK) said first-quarter profit slumped 57 per cent to 15.536 million yuan, mainly due to the coal cost increase and drought in south western China. Operating cost surged 75 per cent in the first quarter. China Electricity Council said the constant drought in the southwestern China will face a whole-industry loss if the coal price keeps going up in the second quarter. (Hong Kong Economic Times A14)
Dongfang Electric Corporation (1072 HK) said decreasing cost boosted profit to rise 57.46 per cent to 471 million yuan in the first quarter of this year. The company said though the first-quarter income fell 4.2 per cent to 6.919 billion yuan, operating margin still managed to grow 4.5 percentage points to 19.07 per cent as the decline of cost is more than that of income. In addition, the capital of new orders the company received in the first quarter amounted to 8.7 billion yuan. (Hong Kong Economic Times A14)
Global Green Tech (274 HK) reported net loss of around HK$269 million for the year 2009. Loss per share was 13.78 HK cents. No dividend was declared. Auditor mentioned in its report that there exists material uncertainty, which may cast significant doubt about the Group’s ability to continue as a going concern. (Sing Tao Daily B2)
Industrial and Commercial Bank of China (1398 HK) posted a profit of 41.547 billion yuan in the first quarter, up 18.19 per cent year-on-year, as interest-generating asset increase boosted card business and net service fees as well as commission income rose nearly 35 per cent to around 18.13 billion yuan. The result is in line with expectations of the market, the paper said. The bank said its non-performing loan ratio was 1.35 per cent, a drop of 0.19-percentage point from Dec. 31. (Hong Kong Economic Journal P1)
Ping An Insurance (2318 HK) saw first-quarter earnings jump 90 per cent year-on-year to 4.617 billion yuan. Total income was 53.6 billion yuan, up 48 per cent. Earnings per share were 0.62 yuan, up almost 94 per cent. (Sing Tao Daily B4)
Sources: Sing Tao Finance, Hong Kong Economic Journal, Hong Kong Economic Times, The Standard
