Today’s deep dive:
A volatile mix of Malaysian corporate news, global trade tensions, and strategic investments shaping the country’s future.
🇲🇾 Malaysia Market & Company Pulse
🔹 Bursa Malaysia Earnings Warning
Q2 net profit expected to plunge 37% YoY to RM51 million.
✅ Lower trading activity reflects investor caution, driven largely by external tariff pressures.
🔹 Duopharma Biotech
Likely promoting its operations head to managing director.
✅ Signals continuity and steady execution of growth plans—positive for investor confidence.
🔹 CelcomDigi Life Stores Launch
New immersive retail experiences at The Gardens Mall and Sunway Pyramid.
✅ Focus on customer engagement and brand differentiation.
🔹 Gamuda JV Secures Water Supply Deal
Minimum 40-year contract for the Kerian scheme in Perak, also supplying Penang.
✅ Long-term revenue stream and regional water security.
🔹 Kawan Renergy Lands RM38.8M Contract
Gas turbine co-generation project in Port Klang.
✅ Expected to boost earnings.
🔹 Khazanah Nasional Eyes $500M Exchangeable Bond
Aimed at funding overseas investments.
✅ Diversifying beyond Malaysia, leveraging flexible financing.
🔹 Sarawak Semiconductor Investment
OCI & Tokuyama commit RM2 billion to a new polysilicon plant.
✅ Strengthens Malaysia’s role in the global chip supply chain.
🔹 Renewables Momentum
Malakoff Corp: Exploring solar PV in Sarawak.
Pekat Group: Raising RM84.7M for expansion, aiming for a RM1B market cap.
✅ Clear pivot to green energy.
🔹 Tan Chong Motor’s Share Surge
Up 36% after land sales.
✅ Exchange queried the move—highlighting asset monetization potential.
🇲🇾 Broader Malaysian Economy
✅ Consumer Market Outlook
Robust domestic spending expected in H2, supported by tourism recovery—even with SST hikes.
✅ Automotive Sector Mixed
Potential sales rebound but vulnerable to US tariffs on components.
✅ Producer Prices Up 3% YoY
Driven mainly by agriculture.
✅ Mild inflationary pressure—watch this trend.
✅ Fuel Prices Ticked Up
RON97: RM3.21 | Diesel: RM2.91 (Peninsular)
🌍 Global Trade & Policy Developments
🔸 Semiconductors Under Pressure
ASML cut 2026 growth forecast—geopolitical risks.
Nvidia to ramp up “China-compliant” H20 chip supply.
✅ Volatile backdrop for the chip industry.
🔸 China EV Market
Beijing pledging to curb irrational price wars—aiming for more sustainable growth.
🔸 Indonesia
Central bank cuts rate to 5.25%, while a revised US trade deal reduces tariffs—good news for exports.
🔸 UK Inflation
Unexpectedly rose to 3.6%, complicating the BOE’s policy path.
🔸 US Producer Prices Flat
Tariff-driven goods costs offset by weak services demand.
🔸 US Tariff Escalation
Trump threatens 30% tariffs by August 1.
EU prepares retaliation.
Possible additional duties on semiconductors, pharma.
✅ Major uncertainty ahead for global supply chains.
🔸 Malaysia-China Visa Waiver
90-day mutual visa-free travel now active—boosting tourism and business.
🔸 Malaysia Healthcare Roadmap
Government considering new policies to grow the sector as an economic pillar.
📌 Key Takeaways & Investor Insights
✅ Local Resilience: Renewable energy investments and semiconductor expansion signal strategic shifts.
✅ Trade Risks: Global tariff threats remain the #1 external risk.
✅ Supply Chain Decoupling: Apple, Nvidia, and ASML moves show fragile tech dependencies.
✅ Domestic Demand: Malaysian consumer spending holds up but watch imported cost pressures.
🎧 Listen Now for a deep dive into Malaysia’s financial gems and global trends shaping 2025!
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