Announcement • Aug 05
Sunway Construction Group Berhad to Report Q2, 2026 Results on Aug 24, 2026 Sunway Construction Group Berhad announced that they will report Q2, 2026 results After-Market on Aug 24, 2026 Declared Dividend • May 20
Dividend of RM0.23 announced Shareholders will receive a dividend of RM0.23. Ex-date: 9th June 2026 Payment date: 25th June 2026 Dividend yield will be 9.0%, which is higher than the industry average of 2.6%. Sustainability & Growth Dividend is covered by both earnings (89% earnings payout ratio) and cash flows (38% cash payout ratio). The dividend has increased by an average of 21% per year over the past 10 years. However, payments have been volatile during that time. Earnings per share is expected to grow by 18% over the next 3 years, which should maintain adequate earnings cover for the dividend. Reported Earnings • May 19
First quarter 2026 earnings released: EPS: RM0.09 (vs RM0.059 in 1Q 2025) First quarter 2026 results: EPS: RM0.09 (up from RM0.059 in 1Q 2025). Revenue: RM1.02b (down 27% from 1Q 2025). Net income: RM118.4m (up 56% from 1Q 2025). Profit margin: 12% (up from 5.4% in 1Q 2025). The increase in margin was driven by lower expenses. Revenue is forecast to grow 8.8% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Construction industry in Malaysia. Over the last 3 years on average, earnings per share has increased by 41% per year but the company’s share price has increased by 63% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Apr 30
Sunway Construction Group Berhad to Report Q1, 2026 Results on May 18, 2026 Sunway Construction Group Berhad announced that they will report Q1, 2026 results at 5:00 PM, Singapore Standard Time on May 18, 2026 Announcement • Apr 29
Sunway Construction Group Berhad, Annual General Meeting, May 29, 2026 Sunway Construction Group Berhad, Annual General Meeting, May 29, 2026, at 15:00 Singapore Standard Time. Location: grand congress, level 12, sunway resort hotel, persiaran lagoon, bandar sunway, 47500 subang jaya, selangor darul ehsan, Malaysia Major Estimate Revision • Mar 02
Consensus EPS estimates increase by 13% The consensus outlook for fiscal year 2026 has been updated. 2026 EPS estimate increased from RM0.271 to RM0.305. Revenue forecast steady at RM5.74b. Net income forecast to grow 10% next year vs 23% growth forecast for Construction industry in Malaysia. Consensus price target up from RM6.48 to RM7.20. Share price rose 12% to RM7.05 over the past week. Price Target Changed • Feb 24
Price target increased by 7.1% to RM6.94 Up from RM6.47, the current price target is an average from 15 analysts. New target price is 5.3% above last closing price of RM6.59. Stock is up 51% over the past year. The company is forecast to post earnings per share of RM0.30 for next year compared to RM0.28 last year. Reported Earnings • Feb 24
Full year 2025 earnings released: EPS: RM0.28 (vs RM0.14 in FY 2024) Full year 2025 results: EPS: RM0.28 (up from RM0.14 in FY 2024). Revenue: RM5.34b (up 52% from FY 2024). Net income: RM361.8m (up 94% from FY 2024). Profit margin: 6.8% (up from 5.3% in FY 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 6.5% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Construction industry in Malaysia. Over the last 3 years on average, earnings per share has increased by 36% per year but the company’s share price has increased by 58% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Feb 06
Sunway Construction Group Berhad to Report Q4, 2025 Results on Feb 23, 2026 Sunway Construction Group Berhad announced that they will report Q4, 2025 results at 5:00 PM, Singapore Standard Time on Feb 23, 2026 New Risk • Nov 23
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 3.2% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. This is currently the only risk that has been identified for the company. Declared Dividend • Nov 22
Third quarter dividend of RM0.063 announced Shareholders will receive a dividend of RM0.063. Ex-date: 9th December 2025 Payment date: 23rd December 2025 Dividend yield will be 3.6%, which is higher than the industry average of 2.6%. Sustainability & Growth Dividend is well covered by both earnings (35% earnings payout ratio) and cash flows (6% cash payout ratio). The dividend has increased by an average of 9.6% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 14% over the next 2 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 21
Third quarter 2025 earnings released: EPS: RM0.064 (vs RM0.036 in 3Q 2024) Third quarter 2025 results: EPS: RM0.064 (up from RM0.036 in 3Q 2024). Revenue: RM1.45b (up 67% from 3Q 2024). Net income: RM83.8m (up 80% from 3Q 2024). Profit margin: 5.8% (up from 5.4% in 3Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.5% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Construction industry in Malaysia. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has increased by 54% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Nov 05
Sunway Construction Group Berhad to Report Q3, 2025 Results on Nov 20, 2025 Sunway Construction Group Berhad announced that they will report Q3, 2025 results at 9:00 AM, Coordinated Universal Time on Nov 20, 2025 Declared Dividend • Aug 23
Second quarter dividend of RM0.072 announced Shareholders will receive a dividend of RM0.072. Ex-date: 10th September 2025 Payment date: 25th September 2025 Dividend yield will be 2.8%, which is higher than the industry average of 2.6%. Sustainability & Growth Dividend is well covered by both earnings (40% earnings payout ratio) and cash flows (8% cash payout ratio). The dividend has increased by an average of 11% per year over the past 9 years. However, payments have been volatile during that time. EPS is expected to grow by 40% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Aug 22
Second quarter 2025 earnings released: EPS: RM0.065 (vs RM0.03 in 2Q 2024) Second quarter 2025 results: EPS: RM0.065 (up from RM0.03 in 2Q 2024). Revenue: RM1.48b (up 127% from 2Q 2024). Net income: RM83.9m (up 116% from 2Q 2024). Profit margin: 5.7% (down from 6.0% in 2Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 7.0% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Construction industry in Malaysia. Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has increased by 57% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Aug 06
Sunway Construction Group Berhad to Report Q2, 2025 Results on Aug 21, 2025 Sunway Construction Group Berhad announced that they will report Q2, 2025 results on Aug 21, 2025 Upcoming Dividend • Jun 02
Upcoming dividend of RM0.05 per share Eligible shareholders must have bought the stock before 09 June 2025. Payment date: 25 June 2025. Payout ratio is a comfortable 48% and this is well supported by cash flows. Trailing yield: 1.4%. Lower than top quartile of Malaysian dividend payers (5.6%). Lower than average of industry peers (2.5%). Valuation Update With 7 Day Price Move • May 28
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to RM5.95, the stock trades at a forward P/E ratio of 25x. Average forward P/E is 11x in the Construction industry in Malaysia. Total returns to shareholders of 278% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at RM2.47 per share. Announcement • May 23
Sunway Construction Group Berhad Reports Unaudited Write Offs of Property, Plant and Equipment, and Software for the Quarter Ended March 31, 2025 Sunway Construction Group Berhad reported unaudited write offs of Property, plant and equipment, and software for the quarter ended March 31, 2025. For the quarter, the company reported Property, plant and equipment, and software of MYR 17,000. Announcement • May 22
Sunway Construction Group Berhad Announces First Interim Single Tier Dividend for the Financial Year Ending 31 December 2025, Payable on 25 June 2025 Sunway Construction Group Berhad announced First interim single tier dividend of 5 sen per ordinary share for the financial year ending 31 December 2025. The above Company's securities will be traded and quoted "Ex - Dividend” as from: 09 June 2025. The last date of lodgment: 10 June 2025. Date Payable: 25 June 2025. Price Target Changed • May 21
Price target increased by 11% to RM5.41 Up from RM4.89, the current price target is an average from 16 analysts. New target price is 5.0% above last closing price of RM5.15. Stock is up 58% over the past year. The company is forecast to post earnings per share of RM0.23 for next year compared to RM0.14 last year. Reported Earnings • May 02
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: EPS: RM0.14 (up from RM0.11 in FY 2023). Revenue: RM3.52b (up 32% from FY 2023). Net income: RM186.9m (up 29% from FY 2023). Profit margin: 5.3% (down from 5.4% in FY 2023). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 13%. Earnings per share (EPS) also surpassed analyst estimates by 8.9%. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Construction industry in Malaysia. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has increased by 41% per year, which means it is tracking significantly ahead of earnings growth. Announcement • May 02
Sunway Construction Group Berhad to Report Q1, 2025 Results on May 20, 2025 Sunway Construction Group Berhad announced that they will report Q1, 2025 results at 5:00 PM, Singapore Standard Time on May 20, 2025 Announcement • Apr 30
Sunway Construction Group Berhad, Annual General Meeting, May 30, 2025 Sunway Construction Group Berhad, Annual General Meeting, May 30, 2025, at 15:00 Singapore Standard Time. Location: grand congress, level 12, sunway resort hotel, persiaran lagoon, bandar sunway, 47500 subang jaya, selangor darul ehsan, Malaysia Announcement • Mar 28
Sunway Construction Group Berhad Ordinary Shares to Be Deleted from OTC Equity Sunway Construction Group Berhad Ordinary Shares will be deleted from OTC Equity effective March 27, 2025, due to Inactive Security. Upcoming Dividend • Mar 09
Upcoming dividend of RM0.025 per share Eligible shareholders must have bought the stock before 13 March 2025. Payment date: 10 April 2025. Payout ratio is a comfortable 59% and this is well supported by cash flows. Trailing yield: 1.9%. Lower than top quartile of Malaysian dividend payers (5.6%). Lower than average of industry peers (2.8%). Price Target Changed • Mar 03
Price target increased by 7.2% to RM4.80 Up from RM4.47, the current price target is an average from 16 analysts. New target price is 12% above last closing price of RM4.28. Stock is up 67% over the past year. The company is forecast to post earnings per share of RM0.21 for next year compared to RM0.14 last year. Announcement • Mar 03
Sunway Construction Group Berhad Announces Sustainability Committee Changes The Board of Directors of Sunway Construction Group Berhad announced that Mr. Eric Tan Chee Hin has been appointed as a member of the Sustainability Committee in place of Mr. Liew Kok Wing with effect from 3 March 2025. Upon the above change, the composition of the SC is as follows: Ms. Tan Ler Chin (Chairperson, Independent Non-Executive Director); Dr. Sarinder Kumari A/P Oam Parkash (Member, Senior Independent Non-Executive Director); Datuk Kwan Foh Kwai (Member, Independent Non-Executive Director); and Mr. Eric Tan Chee Hin (Member, Group Deputy Managing Director of Sunway Construction Sdn Bhd). Declared Dividend • Feb 22
Dividend of RM0.025 announced Shareholders will receive a dividend of RM0.025. Ex-date: 13th March 2025 Payment date: 10th April 2025 Dividend yield will be 1.9%, which is lower than the industry average of 2.6%. Sustainability & Growth Dividend is covered by both earnings (69% earnings payout ratio) and cash flows (15% cash payout ratio). The dividend has increased by an average of 8.7% per year over the past 9 years. However, payments have been volatile during that time. EPS is expected to grow by 62% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Feb 21
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: EPS: RM0.14 (up from RM0.11 in FY 2023). Revenue: RM3.52b (up 32% from FY 2023). Net income: RM186.9m (up 29% from FY 2023). Profit margin: 5.3% (down from 5.4% in FY 2023). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 13%. Earnings per share (EPS) also surpassed analyst estimates by 8.9%. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Construction industry in Malaysia. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has increased by 44% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Feb 05
Sunway Construction Group Berhad to Report Q4, 2024 Results on Feb 20, 2025 Sunway Construction Group Berhad announced that they will report Q4, 2024 results at 5:00 PM, Singapore Standard Time on Feb 20, 2025 Valuation Update With 7 Day Price Move • Feb 05
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to RM3.82, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 14x in the Construction industry in Malaysia. Total returns to shareholders of 184% over the past three years. New Risk • Jan 29
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Malaysian stocks, typically moving 6.9% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by cash flows (dividend per share is over 7x cash flows per share). Share price has been volatile over the past 3 months (6.9% average weekly change). Valuation Update With 7 Day Price Move • Jan 14
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to RM4.35, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 15x in the Construction industry in Malaysia. Total returns to shareholders of 224% over the past three years. Upcoming Dividend • Dec 03
Upcoming dividend of RM0.025 per share Eligible shareholders must have bought the stock before 10 December 2024. Payment date: 26 December 2024. Payout ratio is a comfortable 69% but the company is paying out more than the cash it is generating. Trailing yield: 2.0%. Lower than top quartile of Malaysian dividend payers (5.0%). Lower than average of industry peers (2.5%). Announcement • Nov 22
Sunway Construction Group Berhad Appoints Datuk Kwan Foh Kwai as Independent and Non Executive Director Sunway Construction Group Berhad announced appointment of Datuk Kwan Foh Kwai, age 72, as Independent and Non Executive Director, effective October 10, 2024. He has completed Masters in Sustainability Development Management from Sunway University, Jeffrey Sachs Centre on Sustainable Development; Degree in Engineering from University Malaya, Bachelor of Engineering (Honours). Working experience and occupation: Datuk Kwan has over 40 years of working experience in the construction industry, in both public and private sectors. He began his career as a Contract Engineer in 1977 with Department of Public Works, Malaysia. In 1980, he joined Promet Construction Sdn. Bhd. as Site Manager and in 1984, he was appointed as General Manager of Alam Baru Sdn. Bhd. From 1986 to 1996, he was the General Manager of Taisei (Malaysia) Sdn. Bhd. In 1996, Datuk Kwan was appointed as Executive Director in Sungei Way Construction Berhad and subsequently promoted to Managing Director of Sunway Construction Berhad (now known as Sunway Construction Sdn Bhd) in 2001. In 2014, he was appointed as Senior Managing Director of Sunway Construction Group Berhad (the "Company") until his retirement in December 2015. He was then appointed as the Non-Independent Non-Executive Director of the Company until 31 December 2017. He remained as Advisor of the Company until March 2020. In addition, Datuk Kwan had served as the President (2010-2012), Immediate Past President (2012-2016) and Honorary Advisor (2016-2018) of Master Builders Association of Malaysia (MBAM). He is currently a Member of the Institution of Engineers, Malaysia (IEM), a President of Perak Chinese Assembly Hall, a Deputy Chairman of the Board of Governors of SMJK Yuk Choy, Ipoh, Perak and an Executive Committee Member of the Federation of Chinese Associations Malaysia (Hua Zong). He also currently serves on the Board of Luxchem Corporation Berhad, as the Independent Non-Executive Chairman. In addition to his chairmanship, he also holds key roles as the Chairman of the Remuneration Committee and is a member of both the Audit and Risk Management Committee and Nomination Committee. Directorships in public companies and listed issuers (if any): Luxchem Corporation Berhad. Reported Earnings • Nov 22
Third quarter 2024 earnings: EPS and revenues exceed analyst expectations Third quarter 2024 results: EPS: RM0.036 (up from RM0.027 in 3Q 2023). Revenue: RM865.3m (up 28% from 3Q 2023). Net income: RM46.5m (up 33% from 3Q 2023). Profit margin: 5.4% (up from 5.2% in 3Q 2023). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 11%. Earnings per share (EPS) also surpassed analyst estimates by 20%. Revenue is forecast to grow 21% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Construction industry in Malaysia. Over the last 3 years on average, earnings per share has increased by 13% per year but the company’s share price has increased by 43% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Aug 23
Second quarter 2024 earnings released: EPS: RM0.03 (vs RM0.026 in 2Q 2023) Second quarter 2024 results: EPS: RM0.03 (up from RM0.026 in 2Q 2023). Revenue: RM651.2m (up 7.8% from 2Q 2023). Net income: RM38.9m (up 18% from 2Q 2023). Profit margin: 6.0% (up from 5.5% in 2Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 20% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Construction industry in Malaysia. Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has increased by 35% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 21% After last week's 21% share price decline to RM3.90, the stock trades at a forward P/E ratio of 25x. Average forward P/E is 18x in the Construction industry in Malaysia. Total returns to shareholders of 175% over the past three years. Price Target Changed • Jul 22
Price target increased by 9.1% to RM4.51 Up from RM4.13, the current price target is an average from 13 analysts. New target price is 9.0% below last closing price of RM4.96. Stock is up 190% over the past year. The company is forecast to post earnings per share of RM0.14 for next year compared to RM0.11 last year. Price Target Changed • Jul 12
Price target increased by 8.9% to RM4.28 Up from RM3.93, the current price target is an average from 13 analysts. New target price is 10.0% below last closing price of RM4.75. Stock is up 179% over the past year. The company is forecast to post earnings per share of RM0.14 for next year compared to RM0.11 last year. Price Target Changed • Jul 10
Price target increased by 7.1% to RM4.13 Up from RM3.86, the current price target is an average from 13 analysts. New target price is approximately in line with last closing price of RM4.33. Stock is up 155% over the past year. The company is forecast to post earnings per share of RM0.14 for next year compared to RM0.11 last year. Valuation Update With 7 Day Price Move • Jun 11
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to RM3.74, the stock trades at a forward P/E ratio of 25x. Average forward P/E is 16x in the Construction industry in Malaysia. Total returns to shareholders of 134% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at RM6.49 per share. Price Target Changed • May 22
Price target increased by 9.7% to RM3.30 Up from RM3.01, the current price target is an average from 14 analysts. New target price is approximately in line with last closing price of RM3.25. Stock is up 97% over the past year. The company is forecast to post earnings per share of RM0.14 for next year compared to RM0.11 last year. Reported Earnings • May 21
First quarter 2024 earnings: EPS and revenues miss analyst expectations First quarter 2024 results: EPS: RM0.025 (up from RM0.022 in 1Q 2023). Revenue: RM604.8m (up 16% from 1Q 2023). Net income: RM32.4m (up 16% from 1Q 2023). Profit margin: 5.4% (up from 5.3% in 1Q 2023). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 18%. Earnings per share (EPS) also missed analyst estimates by 17%. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 9.1% growth forecast for the Construction industry in Malaysia. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has increased by 26% per year, which means it is tracking significantly ahead of earnings growth. Announcement • May 01
Sunway Construction Group Berhad, Annual General Meeting, Jun 20, 2024 Sunway Construction Group Berhad, Annual General Meeting, Jun 20, 2024, at 15:00 Singapore Standard Time. Location: Penthouse, Level 20, Menara Sunway Jalan Lagoon Timur, Bandar Sunway, 47500 Subang Jaya Darul Ehsan Selangor Malaysia Agenda: To approve the payment of fees to the Non-Executive Directors; to approve the payment of benefits payable to the Non-Executive Directors; to consider Proposed Renewal of Existing Shareholders' Mandate for Recurrent Related Party Transactions of a Revenue or Trading Nature; to re-appoint Messrs BDO PLT as Auditors and to authorise the Directors to fix their remuneration; to consider Proposed Renewal of Share Buy-Back Authority; and to consider other matters. Reported Earnings • Apr 21
Full year 2023 earnings: EPS and revenues exceed analyst expectations Full year 2023 results: EPS: RM0.11 (up from RM0.10 in FY 2022). Revenue: RM2.67b (up 24% from FY 2022). Net income: RM145.1m (up 7.3% from FY 2022). Profit margin: 5.4% (down from 6.3% in FY 2022). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 4.5%. Earnings per share (EPS) also surpassed analyst estimates by 5.3%. Revenue is forecast to grow 11% p.a. on average during the next 3 years, compared to a 8.7% growth forecast for the Construction industry in Malaysia. Over the last 3 years on average, earnings per share has increased by 22% per year but the company’s share price has only increased by 15% per year, which means it is significantly lagging earnings growth. Announcement • Apr 20
Sunway Construction Group Berhad to Report Q3, 2024 Results on Nov 21, 2024 Sunway Construction Group Berhad announced that they will report Q3, 2024 results on Nov 21, 2024 Buy Or Sell Opportunity • Apr 16
Now 21% undervalued Over the last 90 days, the stock has risen 24% to RM2.73. The fair value is estimated to be RM3.44, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 14% over the last 3 years. Earnings per share has grown by 22%. For the next 3 years, revenue is forecast to grow by 11% per annum. Earnings are also forecast to grow by 15% per annum over the same time period. Buy Or Sell Opportunity • Mar 18
Now 22% undervalued Over the last 90 days, the stock has risen 38% to RM2.71. The fair value is estimated to be RM3.46, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 14% over the last 3 years. Earnings per share has grown by 22%. For the next 3 years, revenue is forecast to grow by 10% per annum. Earnings are also forecast to grow by 14% per annum over the same time period. Upcoming Dividend • Mar 07
Upcoming dividend of RM0.03 per share Eligible shareholders must have bought the stock before 14 March 2024. Payment date: 09 April 2024. Payout ratio is a comfortable 53% but the company is not cash flow positive. Trailing yield: 2.3%. Lower than top quartile of Malaysian dividend payers (4.8%). Lower than average of industry peers (2.7%). Declared Dividend • Feb 22
Final dividend of RM0.03 announced Shareholders will receive a dividend of RM0.03. Ex-date: 14th March 2024 Payment date: 9th April 2024 Dividend yield will be 2.3%, which is lower than the industry average of 2.6%. Sustainability & Growth Dividend is covered by earnings (53% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 5.2% per year over the past 8 years. However, payments have been volatile during that time. EPS is expected to grow by 49% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Feb 21
Full year 2023 earnings released: EPS: RM0.11 (vs RM0.10 in FY 2022) Full year 2023 results: EPS: RM0.11 (up from RM0.10 in FY 2022). Revenue: RM2.67b (up 24% from FY 2022). Net income: RM145.1m (up 7.3% from FY 2022). Profit margin: 5.4% (down from 6.3% in FY 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 11% p.a. on average during the next 3 years, compared to a 10% growth forecast for the Construction industry in Malaysia. Over the last 3 years on average, earnings per share has increased by 22% per year but the company’s share price has only increased by 16% per year, which means it is significantly lagging earnings growth. Price Target Changed • Feb 09
Price target increased by 7.5% to RM2.31 Up from RM2.15, the current price target is an average from 14 analysts. New target price is 13% below last closing price of RM2.67. Stock is up 61% over the past year. The company is forecast to post earnings per share of RM0.11 for next year compared to RM0.10 last year. Valuation Update With 7 Day Price Move • Feb 08
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to RM2.63, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 14x in the Construction industry in Malaysia. Total returns to shareholders of 88% over the past three years.