Jardine International Motor Holdings Recommendation: Hold Sassoon JARDINE International Motor's interim result was slightly below our expectation. Excluding an exceptional profit of $340.8 million from the disposal of its investment in United Merchant Finance, the group's net profit dropped 7.3 per cent to $615 million, as opposed to our projected decline of 4.7 per cent. Excluding exceptional profit, earnings per share is expected to grow 9.3 per cent, 10.3 per cent and 17.7 per cent for financial year 1995, 1996 and 1997 respectively. Hongkong & China Gas Recommendation: Buy South China Research THE company announced a 20 per cent increase in net profit to $815 million for the six months to June 30, 1995. The result was in line with expectations and we maintain our full year forecast at $1.64 billion. In view of the negative impact of China projects and slackening local sales on the bottom line in the short-term, we recommend a long-term buy. Varitronix Recommendation: Buy Smith New Court VARITRONIX'S 1995 interim results were in line with expectations. Net profit grew 36.3 per cent and turnover jumped 47.8 per cent owing to lower 1994 sales resulting from partial factory closure for expansion. Operating margin fell on the rising yen, disruption in the Malaysian plant and capacity-expansion for lower-margin products.