Time dotCom's FY11 pre-tax at RM119m

KUALA LUMPUR (Feb 23): TIME DOTCOM BHD []'s pre-tax profit for the financial year ended Dec 31, 2011 rose to RM119.02 million vis-a-vis RM88.906million in the same period in 2010. Revenue, however, dwindled to RM313.872 million from RM321.083 million.

TIME dotCom said its profit from core operations improved 35 per cent to RM48.9 million from RM36.1 million in 2010 on the back of 34 per cent hike to
RM119 million in net pre-tax profit.

Chief Executive Officer Afzal Abdul Rahim attributed the better performance to increased focus on higher margin business driven by a healthier product mix.

This year, the company would further monetise its network and build on expanding its coverage in key market segments, he said.

TIME dotCom said its proposed plan to position itself as a regional wholesale player by acquiring a group of companies has been approved.

This would allow the company to offer complete network solutions to regional providers, it said in a filing to Bursa Malaysia. - Bernama



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KL shares close higher

Shares of the following companies had unusual moves in Malaysia trading. Stock symbols are in parentheses and prices are as of the close in Kuala Lumpur.

The FTSE Bursa Malaysia KLCI Index rose 0.9 per cent to 1,444.72. The market was shut yesterday for a public holiday.

Malaysian Resources Corp, a property developer, rose 2.7 per cent to RM1.94, the most since Nov. 11. Third-quarter net profit rose to RM10.7 million from RM3.7 million a year earlier, it said in a statement.

MISC Bhd, Malaysia’s biggest shipping group, climbed 2.1 per cent to RM5.92. MISC said it intends to sell its entire fleet of 16 container vessels within about six months as it exits unprofitable cargo-box operations.

Sarawak Plantation Bhd, an oil-palm grower, added 2.2 per cent to RM2.30. Third-quarter net profit more than doubled to RM23.4 million, it said in a statement.

Time dotCom Bhd, a fiber-optic capacity provider, gained 3.9 per cent to 67 sen, its biggest increase since Nov. 9. Third-quarter net profit almost doubled to RM40.7 million from RM20.9 million a year earlier.

Wellcall Holdings Bhd, a rubber-hose maker, climbed 2.5 per cent to RM1.25, the steepest gain since Oct. 5. Wellcall proposed a special interim dividend of 3.5 sen a share, it said in a statement. -- Bloomberg



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Time dotCom rises as Q3 profit doubled

Time dotCom Bhd, a Malaysian fiber- optic capacity provider, rose the most in almost three weeks in Kuala Lumpur trading after saying its third-quarter profit doubled to RM40.7 million.

The stock gained 3.1 percent to 66.5 sen at 9:11 a.m. local time, set for its biggest increase since Nov. 9. -- Bloomberg



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TIME dotCom Q3 profit rises to RM42m

TIME dotCom Bhd's pre-tax profit for the third quarter ended Sept 30, 2011 rose to RM41.94 million from RM20.95 million in the same quarter of 2010.

Revenue, however, fell to RM76.98 million from RM87.35 million previously, it said in a filing to Bursa Malaysia today.

For the nine months ended Sept 30, 2011, its pre-tax profit rose to RM93.42 million from RM62.70 million in the same period last year. Revenue, however, fell to RM230.69 million from RM235.56 million previously.

TIME said it would continue to focus on expanding coverage in key market segments, strengthen and simplify its network, offer more complete end-to-end communication solutions and manage its cost to improve operating margins. -- Bernama



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TdC to grow business after completing acquisitions

SUBANG JAYA: Time dotCom Bhd (TdC) can take its data travel and warehousing business further now that it has shareholder approval for the proposed acquisition of a group of telecommunication companies — the AIMS Group, Global Transit Communications Sdn Bhd (GTC), Global Transit Ltd (GTL) and other Global Transit entities which hold Internet licences in Singapore and Hong Kong.

More than a year after the acquisition was first announced by the board of directors, the shareholders of TdC have finally given the nod for the multiple proposals. The acquisition is to be satisfied by the issuance of new TdC shares and cash totalling about RM322 million to the former shareholders of the acquired companies.

According to group CEO Afzal Abdul Rahim, the acquisition will give TdC access and the capability to serve a multi-billion dollar market — comprising the growing Indo-China, Asean and North Asia market, which has more than half of the world’s population where Internet connectivity is in high demand — through the 10% stake in the Unity Cable System held by GTL.

“We are in a business [that] is not dependent on just the domestic Malaysian market, but taking advantage of the huge data growth in Asia-Pacific. We see that this acquisition will bring us value in so far as continuing growth is concerned, not just within the shores of Malaysia but outside Malaysia, and that’s the biggest value that it brings to us in the long term,” he told a press conference after the company EGM yesterday.

The Unity Cable System is a trans-Pacific submarine communications cable system which connects Asia through Japan with the US on the other side of the Pacific Ocean. The cable is almost 10,000km long with a multi-terabyte capacity of up to 7.68Tbps. It was built in collaboration with Google Inc, Bharti Airtel, GTL, KDDI Corp, Pacnet and Singapore Telecommunications Ltd (SingTel).

(From left) Afzal, Kok and TdC executive director Balasingham Namasiwayam at the EGM yesterday.

Apart from the acquisitions, the group also proposed a capital repayment of RM50.6 million to its entitled shareholders and capital restructuring comprising capital reduction of the existing issued and paid up capital via the cancellation of 90 sen of the par value of each TdC share, the offsetting of TdC’s share premium account against the accumulated losses and share consolidation.

“We believe the combined business and growth potential from these acquisitions will bring long-term value for both our shareholders and customers. We will now work towards obtaining the required approvals to close the transactions. Thereafter, we will begin the process of integrating these companies to immediately realise the synergies and opportunities expected from this transaction,” said Ronnie Kok Lai Huat, senior independent non-executive director of TdC.

Through the acquisition of companies, TdC will emerge as an integrated, regional telecommunications player as the acquisition of AIMS brings the business of data warehousing and managing network neutral data centres in Asia, as well as data travel agent business through the acquisition of GTC.

Via the offsetting of its share premium account with the accumulated losses, the group will now be debt-free, according to Afzal. With a better reflected balance sheet, the group will still be looking for other possible investments in telecommunication companies in the region starting with Southeast Asia and the rest of the Asia-Pacific, as and when the opportunity comes up, Afzal said.


This article appeared in The Edge Financial Daily, November 23, 2011.



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TIME dotCom next focus is Asia Pacific

SUBANG JAYA: TIME dotCom Bhd, which already has a strong presence in Southeast Asia, now plans to focus its business in the Asia Pacific market.

Executive director and chief executive officer Afzal Abdul Rahim said the company is now ready to go beyond the region equipped with its RM1 billion in assets.

"We will hit the international market and play with the big boys," Afzal told reporters here after the company's extraordinary general meeting.

TIME dotCom Bhd is the country's second largest fixed line telecommunications network and solutions provider after Telekom Malaysia Bhd.

It is a pioneer in fibre optic telecommunications technology, delivering data and non-data communication services to enterprise, corporate, government, wholesale and retail customers via its fibre optic network traversing Thailand to Singapore.

TIME dotCom had received minority shareholders approval on its RM339 million proposed acquisition of three companies.

Afzal said the group can now pursue its plan to become a regional player with the Asia Pacific market as its main focus.

The three companies are Global Transit Communications Sdn Bhd, which is a leading regional wholesale Internet service and backhaul provider, AIMS Group, a leading "carrier hotel" (a type of data centre) in Malaysia and Global Transit Entities, which hold internet licenses in Singapore and Hong Kong.

Upon completion by the first quarter 2012, the acquisitions will effectively position TIME dotCom into a regional telecommunications player.

This will see TIME dotCom moving up the telecommunications value chain giving it access and the capability to serve a multi-billion dollar market comprising the growing Indo-China, ASEAN and North Asian market where more than half of the world’s population resides and Internet demand is increasing.

TIME provides backhaul and wholesale bandwidth solutions to leading regional and global operators offering a full suite of telecommunication services, ranging from voice and data communications including high-speed broadband, Internet, satellite connectivity and managed services.

TIME was first to market fibre-to-the-home in Malaysia in early 2010.

Its signature product, TIME fibre broadband, now offers Malaysian home Internet users the fastest broadband connectivity in the country with speeds of up to 50Mbps.



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News in brief

Global Transit gets RM101m in bandwidth sales
KUALA LUMPUR: Global Transit Communications Sdn Bhd (GTC) has secured RM101 million in regional bandwidth sales to leading telecommunications providers in Asia as at mid-November, Bernama reported yesterday, citing a company statement.

“The strong traction, growth of 115% over a year, has put GTC on the map as the alternative Asian gateway,” said CEO Saiful Husni Samak in the statement.

GTC, which serves about 140 customers from various countries in Asia, many of them Tier 1 fixed and mobile telecommunications companies, has points-of-presence in Malaysia, Singapore, Hong Kong and the US.

GTC is one of three assets Time dotCom Bhd (TdC) has proposed to acquire from Khazanah Nasional Bhd and Megawisra Sdn Bhd, which is 75%-owned by TdC’s CEO Afzal Abdul Rahim — for RM322 million in cash and new TdC shares.


Tan Chong 3Q profit rises 11% to RM55m
KUALA LUMPUR: Tan Chong Motor Holdings Bhd’s 3QFY11 net profit rose 10.5% to RM54.5 million from RM49.3 million the year before, as production stayed resilient despite supply chain disruptions.

Revenue grew 3.8% to RM905.3 million over the same period. “Fortunately, the group had sufficient inventories after the earthquake in Japan and before the floods in Thailand,” it said in a statement yesterday.

For the nine months ended Sept 30, net profit rose 3.37% year-on-year to RM185.1 million while revenue grew 11.6% to RM2.9 billion.

Cost-to-income ratios rose with the consolidation of Nissan Vietnam Ltd, which has yet to break even due to translation losses from a weaker Vietnamese dong.

Costs incurred for regional expansion and facilities upgrades also contributed to lower margins. The current quarter is expected to be challenging due to specific model shortages, Tan Chong said, but it should be able to keep up with end-demand by pacing sales and sourcing alternative components.


Tradewinds Plantation earnings up 96%
PETALING JAYA: Tradewinds Plantation Bhd’s earnings for 3QFY11 jumped 96.4% to RM98.8 million year-on-year on the back of a 39.6% top line gain to RM333.5 million, owing to higher prices and production of palm oil products.

For the nine months ended Sept 30, group revenue rose 46% to RM899.3 million while profit attributable to shareholders surged 130% to RM237.51 million.

Numbers for 4Q are expected to be satisfactory, given prevailing prices of palm products, its board said. It declared a first gross interim dividend of five sen per share, or a RM19.8 million payout.


This article appeared in The Edge Financial Daily, November 18, 2011.



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Market Commentary

The FBM KLCI index gained 10.89 points or 0.74% on Friday. The Finance Index increased 0.97% to 13420.59 points, the Properties Index up 0.46% to 966.84 points and the Plantation Index rose 0.03% to 7494.68 points. The market traded within a range of 10.05 points between an intra-day high of 1488.20 and a low of 1478.15 during the session.

Actively traded stocks include HIRO-WA, HARVEST-WA, GPRO, HARVEST, MBFHLDG-WA, TIMECOM, HIRO, HUBLINE, SAAG and RAMUNIA-WA. Trading volume increased to 1877.90 mil shares worth RM2295.28 mil as compared to Thursday’s 1877.17 mil shares worth RM2413.17 mil.

Leading Movers were CIMB (+18 sen to RM7.46), GENTING (+30 sen to RM10.60), MAYBANK (+6 sen to RM8.35), PETCHEM (+10 sen to RM6.41) and SIME (+5 sen to RM8.90). Lagging Movers were IOICORP (-12 sen to RM5.14), UMW (-7 sen to RM6.59), DIGI (-10 sen to RM31.50) and YTL (-1 sen to RM1.51). Market breadth was positive with 470 gainers as compared to 338 losers. -- JF Apex Securities Bhd

FBMKLCI rises 0.8pc at midday

Share prices ended the morning session higher today in line with the positive movement on regional markets, prompted by Europe's decision to boost the region's rescue fund and ease the debt crisis, dealers said.

At 12.30pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) advanced 11.47 points to 1,482.40, after opening 9.29 points higher at 1,480.22.

The benchmark index moved between a high of 1,488.20 and fell to a low of 1,480.22.

Hong Leong Investment Bank said riding on the overnight bullish Wall Street and Europe markets, the FBM KLCI is expected to continue its uptrend towards the 1,500 psychological barrier after a mild profit taking consolidation.

The Finance Index rose 103.08 points to 13,394.41, the Industrial Index added 4.88 points to 2,706.22 and the Plantation Index advanced 35.65 points to 7,528.11.

The FBM Emas gained 79.58 points to 10,128.72, the FBMT100 increased 81.971 points to 9,946.32 and the FBM Ace Index added 21.23 points to 4,084.20, while the FBM 70 Index increased 110.90 points to 10,997.21.

Advancers led decliners by 456 to 260 while 303 counters were unchanged, 457 untraded and 25 others suspended.

Trading was firm with a total volume of 1.215 billion shares worth RM1.126 billion.

Of the active counters, Hubline and Compugates added half-a-sen each to 10 sen and 6.5 sen respectively, while GPRO Technologies and Time DotCom gained 1.5 sen each to 21 sen and 64 sen.

Among heavyweights, Maybank increased five sen to RM8.34, CIMB jumped 11 sen to RM7.39, Sime Darby was down three sen to RM8.82 and Petronas Chemicals earned nine sen to RM6.40. -- Bernama

KL shares bullish at midmorning

Share prices on Bursa Malaysia rallied at at midmorning today, leveraged by strong gains in selected bluechip counters, dealers said.

At 11.02 am, the FTSE Bursa Malaysia KLCI (FBM KLCI) was up 9.63 points to 1,480.56, after opening 9.29 points higher at 1,480.22 which was in line with the bullish movement on regional markets.

The market was also lifted today by MBM Resources Bhd's plan to undertake a conditional takeover offer, to acquire all shares and warrants in Hirotako Holdings Bhd at 97 sen per share and half-a-sen per warrant.

MBM's share price rose one sen to RM3.11, while Hirotako gained six sen to 94 sen.

The Finance Index rose 112.01 points to 13,403.34, the Industrial Index added 2.82 points to 2,704.16 and the Plantation Index increased 32.97 points to 7,525.43.

The FBM Emas was up 73.21 points to 10,122.35, the FBMT100 gained 73.67 points to 9,938.02 and the FBM Ace added 43.60 points to 4,106.57 while the FBM70 improved 118.32 points to 11,004.63.

Gainers led losers by 464 to 201 while 281 counters were unchanged, 530 untraded and 24 others suspended.

Trading volume stood at 945.691 million shares worth RM787.843 million.

Of the active counters, Compugates rose one sen to seven sen, Tiger Synergy added half-a-sen to 12 sen, Time DotCom rose two sen to 64.5 sen, while SAAG Consolidated was flat at 7.5 sen.

Among heavyweights, Maybank advanced five sen to RM8.34, CIMB rose 11 sen RM7.39, Sime Darby fell five sen to RM8.80, Petronas Chemicals gained eight sen to RM6.39 and Axiata rose two sen to RM4.88. - Bernama

KL shares higher at mid-afternoon

Share prices on Bursa Malaysia maintained the uptrend at mid-afternoon today, weighed on by gains from bluechips led by British American Tobacco (BAT), MISC, Hong Leong, Genting and Digi.

As at 3.01pm, the benchmark index advanced 18.44 points to 1,457.27. BAT rose 40 sen to RM44.84, Hong Leong added 30 sen to RM11.58, Genting advanced 29 sen to RM10.04 and Digi earned 22 sen to RM31.80.

"Investor sentiment was prompted by the better movement on regional markets following positive progress on the Eurozone debt crisis," a dealer said.

The Finance Index rose 116.35 points to 13,197.47, the Industrial Index was up by 47.45 points to 2,684.76 and the Plantation Index increased 70.02 points to 7,389.95.

The FBM Emas added 119.56 points to 9,926.52 and the FBM 70 Index improved by 101.06 points to 10,641.77.

The FBMT100 rose 116.81 points to 9,744.97 and the FBM Ace Index gained 60.11 points to 4,020.60.

Advancers led decliners by 518 to 155 while 242 counters were unchanged, 546 untraded and 23 others suspended. Trading was moderate with a total volume of 853.4 million shares worth RM772.8 million.

Of the active counters, Time DotCom rose three sen to 60 sen, The Media Shoppe and Karambunai gained half-a-sen each to 10.5 sen and 14 sen respectively while Ramunia Holdings added one sen to 39.5 sen

Among heavyweights, Maybank advanced 10 sen to RM8.35, CIMB rose two sen to RM7.21 and Sime Darby added 15 sen to RM8.70 with Petronas Chemicals gaining 14 sen to RM6.15. -- Bernama

FBMKLCI rises 1.3pc at midday

Share prices on Bursa Malaysia continued the uptrend at midday today, in line with the positive movement on markets regionally, dealers said.

The market also took cue from the positive signs emerging from the plan to contain the eurozone's sovereign debt crisis, a dealer said.

At the end of the morning session, the FTSE Bursa Malaysia KLCI (FBM KLCI) advanced 18.97 points to 1,457.80.

The benchmark index moved between a high of 1,462.06 and a low of 1,449.10.

The Finance Index rose 115.43 points to 13,196.55, the Industrial Index edged up 50.63 points to 2,687.94 and the Plantation Index added 88.92 points to 7,408.85.

The FBM Emas rose 121.35 points to 9,928.30, the FBMT100 added 118.68 points to 9,746.84 and the FBM Ace Index improved 67.82 points to 4,028.31 while the FBM 70 Index increased 96.31 points to 10,637.02.

Advancers led decliners by 508 to 143 while 226 counters were unchanged, 584 untraded and 23 others suspended.

Trading was moderate with a total volume of 754.23 million shares worth RM648.31 million.

Of the active counters, Time DotCom rose four sen to 58 sen, The Media Shoppe gained half-a-sen to 10.5 sen, Karambunai and Ramunia Holdings added one sen each to 14 sen and 40 sen, respectively.

Among heavyweights, Maybank advanced 10 sen to RM8.35, CIMB rose one sen to RM7.20 and Sime Darby added 16 sen to RM8.71 with Petronas Chemicals gaining 14 sen to RM6.15. -- Bernama

Scomi picks Time as sole network provider

KUALA LUMPUR: Scomi Group Bhd (Scomi), a global oilfield services, transport solutions and marine services provider, has appointed TIME dotcom Bhd (TIME) as the sole network provider to meet its global connectivity needs across five countries.

The partnership includes the design, implementation and full management by TIME of Scomi's Private Data Network connecting Scomi's offices in India, Indonesia, United Arab Emirates, United Kingdom and Malaysia.

TIME chief executive officer Afzal Abdul Rahim said the deployment of Scomi's global network solutions is a result of TIME's efforts in building strategic network partnerships, allowing TIME to extend its reach to over 60 countries today.

"As a leading Malaysian multinational, Scomi's trust in our technical capabilities to deliver critical network services for its global operations speaks volumes of our ability to support companies with a global presence.

"This opportunity to work with Scomi comes as an endorsement to our regional expansion strategy. We hope this partnership serves Scomi's business well and will lead to a satisfying long-term working relationship for both companies," said Afzal.

He said TIME's Private Data Network will help facilitate collaboration between Scomi's global project teams and its global headquarters in Malaysia by allowing for faster cross access to shared applications.