11:22 AM |
Title – 6653 FIJI/PNG: Stockbroker optimistic over two broadcast media companies
Date – 9 February 2010
Byline – None
Origin – Pacific Media Watch
Source – The Fiji Times 8/2/10
Copyright – FT
Status – Abridged
----------------------------
* Pacific Media Watch Online - check the website for archive and links:
www.pacmediawatch.aut.ac.nz
* Post a comment on this story at PMW Right of Reply:
www.pacificmediacentre.blogspot.com
pmc@aut.ac.nz
* Pacific Media Centre on Twitter - http://twitter.com/pacmedcentre
ECONOMIC OUTLOOK
www.fijitimes.com/story.aspx?id=139454
SUVA (Fiji Times/Pacific Media Watch): The Kontiki Stockbroking Company is optimistic for 2010, anticipating an improvement in overall economic and political conditions in public sentiment.
It has also given two positive reports in its 2010 Stock Market Outlook and 2009 In Review for Fiji Communications Limited's operations in both Fiji and Papua New Guinea, and Fiji Televison.,
2010 Outlook for SPSE listed companies:
Atlantic Pacific Packaging (APP): For 2010, the company's performance will depend heavily on demand from fellow group companies, particularly Flour Mills of Fiji. Current recommendation is "hold".
Amalgamated Telecom Holdings (ATH): This year, ATH is projecting a lower profit figure compared to last year as the fight for dominance in an open market continues to incur significant costs in marketing, advertising and promotion. Overall, the company's focus for the new year will be on controlling costs. Nevertheless competition in the long term should be good for ATH once it goes through consolidation and sooner or later we could well see price recovery. Current recommendation is "accumulate".
Communications Fiji Limited (CFM): Both the Fiji and PNG operations are expected to generate strong revenue growth in 2010. In Fiji, CFM has demonstrated its ability to develop its peripheral businesses such as shows and Showcase on the back of its strong radio operations, while the PNG economy is currently strong. Still too soon to say how Unwired Fiji new WiMAX 4G network will add value to the company but overall CFM is poised for another solid year. Costs management will be crucial. Current recommendation is "buy".
FijiCare Insurance Limited: The company is hoping for a good year ahead on claims and the development of new business (such as workers' compensation, marine and motor vehicle policy insurance,). However, the economic or industry cycle will probably be a key factor again. Kontiki recommends "buy".
Flour Mills of Fiji (FMF): With escalating costs, FMF is implementing strict cost management measures and has stabilised operations and rationalised some of its products and activities. Subject to price controls, the company seems poised for improved performance in the year. Current recommendation is "buy".
Fiji Sugar Corporation Limited (FSC): The challenges for FSC are deep and a significant change in performance is probably unlikely this year alone. Issues such as the unavailability of the EU grant, the decline in expected cane price to around $46 per tonne, land tenure uncertainties, diversion of prime land to alternative use, and declining interest in farming are just some of the problems that will plague the industry again this year. Kontiki does not have a current recommendation.
Fosters Group Pacific (FGP): FGP will have to be focused on controlling its costs and implementing growth strategies in the face of shrinking volume. 2010 will largely depend on the performance of the Fiji and Samoa economies as the global economy slowly moves out of recession. Additionally, much will depend on new products, such as Fiji Premium Beer on Tap and its latest Tribe ready to drink line of beverages. Current recommendation is "hold".
Fiji Television Limited (FTV): Fiji TV, cost management will continue to be critical, as operating and overhead costs have been on the rise. Media Niugini Ltd should continue to maintain its market position despite the presence of another free to air station in PNG. Hopefully, the review of Compac's strategic fit in the group's overall business will see improvements in Compac's financial performance. Current recommendation is "hold".
Kontiki Growth Fund (KGF): The focus this year will be to stabilise the finances and performance of each investee company and diligently identify and exploit appropriate growth opportunities for investees. Declaring a dividend may attract additional interest in this stock.
Pacific Green (Fiji) Industries Limited (PGI): Chinese subsidiary, Golden Palmwood continues to be a solid manufacturing unit and is forecasted to improve in the coming year. However, the impact of the global recession on key export markets and the ongoing uncertainty over the local legal battle and the future structure of the group locally continue to be issues.
Pleass Beverages and Packaging Limited (PBP): PBP's water segment is expected to continue its strong growth this year despite competition locally, as local demand develops and the company continues its expansion into bottled water. Packaging on the other hand will depend in part on the recovery of the tourism industry and in any case the company has moved strongly to counteract the devaluation of the Fiji dollar through better sourcing of raw materials internationally. Overall the company's outlook remains very positive. Current recommendation "hold".
RB Patel Group (RBG): The operating environment for RBG will continue to be a challenge with the overall fall in disposable income, the increase in prices and increasing competition. However, the growth from Jet point, for example, and the Patel family's management are positives for continued good performance. Recommendation is "accumulate".
Rice Company of Fiji (RCF): Generating profit will be a challenge for RCF in the coming year, as with the zero per cent import duty in place, a lot of competition has entered the local rice market. As a result, cost management will be important for the company, as costs may well continue to increase faster than revenue. Recommendation "hold".
Toyota Tsusho (South Seas) Limited: The Fiji operation will no doubt be affected by the devaluation and its effects on sales. For Tonga, a new facility is being planned which should lift productive efficiency. Samoa operations should benefit from the switch to RHD driving control which should create a demand spike for new vehicles, while the destruction of the Pago Pago facility in the September Tsunami will affect the financial performance of the American Samoa operation. Recommendation "hold".
VB Holdings Limited (VBL): Property management should generate more income in the coming year with recent improvements in occupancy rate while fleet management continues to have great potential as new fleet management business contracts are entered and the trend takes greater hold. Recommendation "hold".
Fijian Holdings Limited (FHL): Maintaining efficiency and competitiveness across the Group will be important as the company looks to explore investment opportunities beyond Fiji as well as mobilise the funds released from the FGL trade but not utilised for the cancelled BP deal. Recommendation "hold".
* Comment on this item www.pacific.scoop.co.nz
+++niuswire
PACIFIC MEDIA WATCH ONLINE
www.pacmediawatch.aut.ac.nz
PACIFIC MEDIA WATCH is a media and educational resource compiled by the AUT Pacific Media Centre for the Pacific region.
(c)1996-2010 Creative Commons
http://creativecommons.org
Items are provided solely for review purposes as a non-profit educational service. Copyright remains the property of the original producers as indicated in the header. Recipients should seek permission
from the copyright owner for any publishing. Copyright owners not wishing their materials to be posted by PMW please contact us. The views expressed in material listed by PMW are not necessarily the views
of PMW or the Pacific Media Centre.
For further information or joining the Pacific Media Watch listserve, visit:
http://lists.apc.org.au/listinfo.cgi/pacific_media_watch?apc.org.au
Email:
pmc@aut.ac.nz
Fax: (+649) 921 9987
SnailMail: Pacific Media Centre, School of Communication Studies, AUT
University, Private Bag 92006, Auckland 1142, Aotearoa/New Zealand
Website: www.pacmediawatch.aut.ac.nz
_______________________________________________
Pacific_media_watch mailing list
Pacific_media_watch@lists.apc.org.au
_______________________________________________
Pacific_media_watch mailing list
Pacific_media_watch@lists.apc.org.au
--
----------------------------------------
pacific islands media association
pima.nius@gmail.com
aotearoa, new zealand
----------------------------------------
The pima.nius googlegroup is a facility for discussion and distributing information. Content sent by this googlegroup are forwarded from various networks and media publications.
DISCLAIMER: These emails are unedited and discussions made through this googlegroup are unmoderated. Announcements made through this googlegroup do not constitute endorsement for the organisations, individuals or opinions featured. Please check the integrity of organisations and individuals before exchanging personal information with them.
- - - - - - - - -
comment here:
http://groups.google.com/group/pima-nius/topics?hl=en
send an email comment here:
pima-nius@googlegroups.com
unsubscribe:
pima-nius+unsubscribe@googlegroups.com
more options
http://groups.google.com/group/pima-nius?hl=en?hl=en
- - - - - - - - -
0 comments:
Post a Comment