All results for 2016 have been announced, time to update the score card:
Not impressive, I am afraid, except for a few good companies (like Public Bank and Westports) and a few decent ones.
The totals for the year:
A few remarks:
- The second down year in a row
- The results are even worse than 2012, four years ago
- Counted in USD (an important consideration for international investors) it is much worse, in 2012-2014 the combined profit was about USD 18.5 Billion, in 2016 roughly 30% below that level
Ten companies started to report their 2017 profits, they are roughly
similar to the 2016 profits. If there are no more large one-off write
downs (like in the oil & gas industry), the combined profit in 2017
might be higher than 2016. But if that is enough to justify the
historically high valuation of the Malaysian market, I doubt it. For
that there has to be a consistent yearly growth of say on average 10% in
net profits, something that seems to have been absent the last few
years.
http://cgmalaysia.blogspot.my/2017/03/poor-earnings-growth-for-bursa-listed.html
