Earnings Update: Chin Teck Plantations Berhad (KLSE:CHINTEK) Just Reported And Analysts Are Boosting Their Estimates

Chin Teck Plantations Berhad (KLSE:CHINTEK) defied analyst predictions to release its yearly results, which were ahead of market expectations. The company beat expectations with revenues of RM265m arriving 4.3% ahead of forecasts. Statutory earnings per share (EPS) were RM0.96, 4.8% ahead of estimates. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

View our latest analysis for Chin Teck Plantations Berhad

Taking into account the latest results, the consensus forecast from Chin Teck Plantations Berhad's dual analysts is for revenues of RM282.1m in 2025. This reflects a satisfactory 6.5% improvement in revenue compared to the last 12 months. Statutory earnings per share are forecast to drop 10% to RM0.86 in the same period. Before this earnings report, the analysts had been forecasting revenues of RM251.5m and earnings per share (EPS) of RM0.79 in 2025. The analysts seem more optimistic after the latest results, with a nice gain to revenue and a slight bump in earnings per share estimates.

Althoughthe analysts have upgraded their earnings estimates, there was no change to the consensus price target of RM8.55, suggesting that the forecast performance does not have a long term impact on the company's valuation.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. We would highlight that Chin Teck Plantations Berhad's revenue growth is expected to slow, with the forecast 6.5% annualised growth rate until the end of 2025 being well below the historical 15% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 3.5% annually. So it's pretty clear that, while Chin Teck Plantations Berhad's revenue growth is expected to slow, it's still expected to grow faster than the industry itself.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Chin Teck Plantations Berhad's earnings potential next year. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. The consensus price target held steady at RM8.55, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have analyst estimates for Chin Teck Plantations Berhad going out as far as 2027, and you can see them free on our platform here.

Before you take the next step you should know about the 1 warning sign for Chin Teck Plantations Berhad that we have uncovered.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.