NCB 2008 Q3 Report
On 24 October 2008, NCB Holdings Berhad (operator of Northport – the country’s largest port) announced its third quarter results for the period ending 30/9/08:
- Q3 Profit Before Tax was down to RM48.1 million (from RM58.0 million in pcp)
- YTD Profit Before Tax was down to RM141.9 million (from RM145.3 million in pcp)
- YTD Net Profit down slightly to RM95.5 million (from RM97.7 million in pcp)
- Net Cash has declined from RM624 million on 31/12/07 to RM610 million.
Northport
- Current quarter throughput up 8.3% to 786,289 TEUs
- YTD throughput of 2,289,977 TEUs (up 13.0% from pcp)
Haulage & Logistics
- Current quarter throughput down 5.9% to 90,829 TEUs
- YTD throughput of 268,949 TEUs (down 8.0% from pcp)
Here are the comments by management on the group’s outlook:
“The port operating subsidiary has sustained its throughput over the current quarter but the outlook for the remaining period to the end of the financial year will be affected by the global financial uncertainty.
The Group’s haulage/logistics subsidiary is sustaining its level of performance at this moment and is making every effort to ensure maintaining its profitability for the remaining period of the financial year.
However, the Group is aware that the operating environment will be affected by the changes in the world economy following the global financial turmoil.
The Company has several internal management targets which were announced on 1 April 2008. All efforts are being directed towards achieving these targets as elaborated in para B4.
The Board is of the opinion that the internal targets announced by the Company on its revenue growth, net profit after tax growth, throughput growth, return on shareholders equity and earnings per share is likely to be achieved for the year barring unforeseen circumstances.”
NCB is a dividend cow last. Last year 2007 it paid 17 sen for its interim and final dividends plus a special dividend of 8 sen. Interim dividend so far for the current year 2008 is 7 sen. No major capital expenditure is forthcoming and the company is still sitting on a huge cash pile. Hopefully for shareholders there will be a nice final & special dividend during May 2009.
NCB is 57% controlled by PNB and 16% controlled by MISC Berhad.
