Corporate Results Update.
I've been saying for the past few months that this round of corporate results, especially those of the bigger companies, will be vital to determine the direction in which the market will move in 2H2008.
At present, some companies have already announced their results, and I'm pleased to say that they have been encouraging so far.
For the large caps:
SPC announced a -12% fall in quarterly profit. This is fairly reasonable and expected given rising oil prices and the weakening USD.
SPH announced a -7% fall in quarterly profit, but this was mostly due to a significant decrease in investment income. Otherwise, its profits would have increased 36% due to increased contribution from its property development.
SGX announced a surprising 14% rise in profit despite the difficult market conditions.
Amongst my holdings, UIS Securities and China XLX have announced their results.
UIS announced a -59% fall in quarterly profit, but this was expected given the poor market conditions over the past few months. Importantly, its NAV has managed to stay at $1.83, and this will provide the support for its share price.
China XLX announced a surprising 42% increase in quarterly profit - which is probably why its share price has been on the rise recently, even recording a 10.4% today.
Conclusion:
The upcoming corporate results of the financial banks and larger property stocks will play a huge factor in determining the direction of the market. I will provide more updates as and when the results are released.
Stumble it!
At present, some companies have already announced their results, and I'm pleased to say that they have been encouraging so far.
For the large caps:
SPC announced a -12% fall in quarterly profit. This is fairly reasonable and expected given rising oil prices and the weakening USD.
SPH announced a -7% fall in quarterly profit, but this was mostly due to a significant decrease in investment income. Otherwise, its profits would have increased 36% due to increased contribution from its property development.
SGX announced a surprising 14% rise in profit despite the difficult market conditions.
Amongst my holdings, UIS Securities and China XLX have announced their results.
UIS announced a -59% fall in quarterly profit, but this was expected given the poor market conditions over the past few months. Importantly, its NAV has managed to stay at $1.83, and this will provide the support for its share price.
China XLX announced a surprising 42% increase in quarterly profit - which is probably why its share price has been on the rise recently, even recording a 10.4% today.
Conclusion:
The upcoming corporate results of the financial banks and larger property stocks will play a huge factor in determining the direction of the market. I will provide more updates as and when the results are released.
Stumble it!