STOCKWATCH: Wharf Holdings higher ahead of 2000 results

HONG KONG (AFX-ASIA) - Wharf Holdings shares were higher in early trade, ahead of the release of its 2000 results later today, dealers said.	    Analysts were looking at a 2000 net profit of around 2.28-2.43 bln hkd, with Modern Terminals and rental income being the main income drivers for the company.	    Wharf earned 4.21 bln hkd in 1999, including a windfall of 3.59 bln hkd from the public flotation of i-Cable Communications.	    At 10:50 am, Wharf was up 0.40 hkd at 19.40, on trade of 538,000 shares.	    The Hang Seng Index was up 150.0 points at 12,733.36	    Kenneth Chan, an analyst with Kim Eng Securities, said Wharf is expected to record a net profit of 2.28 bln hkd, with a steady contribution from Modern Terminals, a 55.30 pct owned unit of the company.	    "Modern Terminals is expected to make an operating profit of 1.80 bln hkd in 2000," he said.	    He said the company had no major property development for the period, but market recovery was likely to give a 5.0 pct year-on-year growth in rental income.	    Wharf is a major property investor in Hong Kong with a portfolio of rental property of around 11 million sq ft. Its core properties include Harbour City in Kowloon and Times Square in Causeway Bay.	    "In general, Wharf is doing pretty well ... we should not compare the results between 1999 and 2000. In 1999, the company made exceptional gains from the IPO of i-Cable," he said.	    "Excluding the exceptional items, Wharf should record a 7.0 pct growth in core earnings," he said.	    Chan said his house has a "buy" rating for Wharf, with an estimated net asset value (NAV) of 24.0 hkd. 

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