BIMB SECURITIES

22 October 2025 03:08

*BIMB Securities - Company Update*

*VELESTO*- Evolving into a Dividend Play

*Target Price: RM0.27 / BUY*

🛢️ *Velesto Energy (Velesto)* is actively pursuing *long-term contracts* as O&G operators seek to ensure capacity availability amid *firmer-than-expected rig demand* 🔩.

💸 With *better earnings visibility*, *low capex requirements* and *minimal borrowings*, the company may potentially distribute *dividends exceeding 100% payout* 🎉.

📊 No changes are made to our earnings forecast, but we raise our *FY25–27F DPS* assumption to *2 sen* (from 1.5 sen), implying a *7.7% dividend yield* and *106–132% dividend payout* 📈.

📈 The stock has bucked the *negative sentiment across the O&G sector*, climbing *+68% YTD* despite a *20% drop in oil prices* 🛢️⬇️.
This outperformance likely reflects *renewed investor appetite for yield-oriented names*, supported by *Velesto’s strong cash flow* and *rising dividend visibility* 💰.

✅ Maintain our *BUY* call on Velesto with an unchanged *TP of RM0.27*.
At our TP, the stock offers a *total potential return of 11.5%*, including *dividend yield of 7.7%* 📦💵.


📌 Click the link below for more info:
https://drive.google.com/file/d/1CjxJhq8F72q-LUkVV7dbTp7I8XBbQi2C/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

16 October 2025 08:20

Jangan lupa untuk datang ke booth @BIMB Securities di P01..Jumpa disana

BIMB SECURITIES

06 October 2025 03:29

*BIMB Securities - Sector Update*

*WATER* - Potential of Non-Portable Water

🚰 The new *dedicated treated water tariff* band for *data centres (DCs)* of *RM5.30–RM5.38/m³* (effective *1 Aug 2025*) makes *reclaimed water* structurally *cheaper* than potable water, boosting *IWK’s* competitiveness. 💧📉

📜 *Regulations* require DC operators to prioritise *alternative water sources*, positioning *IWK* as a natural supplier of reclaimed water. 🔄💦

📍 *Viability depends on proximity* — reclaimed water is only economical within *~10 km* of a treatment plant, limiting immediate rollout. 🗺️⛔

📌 In *Johor*, most DC parks (e.g. *Sedenak*) are *too far* from large *STPs*, so *Ranhill SAJ* (a subsidiary of *Ranhill Utilities Berhad*, Non-Rated) remains the *near-term beneficiary* as DCs will continue relying on *treated potable water*. 🏭💡

📌 Click the link below for more info:
https://drive.google.com/file/d/1suguz4-7ssVAbsItg2OHlb6-5vHMvxk5/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

30 September 2025 02:42

*BIMB Securities - Result Review*

*VANTNRG*- Debt Restructuring Done, PN17 Exit in Sight

*Target Price: RM0.72 / BUY*

Vantris Energy recorded a loss of *RM231mn* in *2Q26* mainly due to *unrealised forex loss* of RM239mn 💸. Excluding this, *core PATAMI stood at RM8mn* 💼, marking a strong *QoQ improvement* from core LATAMI of RM465mn in 1Q26 📈.

The turnaround was driven by *better dayrate and utilisation rate* (638 drilling days vs. 604 days in 1Q26) in the *drilling segment* ⛏️🛢️ and recognition of *gain amounting to RM52mn* from *reversal of contract liquidated damage* in the *E&C segment* 🏗️.

While revenue declined *12% YoY* to *RM1.1bn* 📉, it was mainly due to *weaker E&C revenue* amidst a *declining orderbook* 📊.

Importantly, there were *no foreseeable losses* recognised this quarter versus 1Q26 ✅. *O&M remained profitable* with *PBT of RM19mn* despite some *project challenges* dragging the segment’s margin 🛠️📉.

Overall, we deem the result as *within our expectation* ✔️.



📌 Click the link below for more info:
https://drive.google.com/file/d/1_VtNdJ490m3p0pLIDUFkEyhVEn1PyBbk/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

23 September 2025 02:39

*BIMB Securities - Company Update*

*SLVEST*- Earnings Growth Expansion with Canadian Brookfield

*Target Price: RM2.57 / HOLD*

*Solarvest* ☀️ has teamed up under a *Joint Investment Framework Agreement* with Canadian investment company – *Brookfield CTF Asia Holdings Pte Ltd* 🇨🇦 to develop up to *1.5GW of RE projects* in Malaysia 🇲🇾.

We are *positive* ✅ on the news as it could contribute to a *larger EPCC orderbook* 📈 in the near term (3 to 5 years), though *no changes* are made to our earnings forecast pending further *concrete project announcements* from this framework 📝.

*Solarvest’s earnings* 💰 are anticipated to remain strong in *FY26F–FY27F*, underpinned by an expanding orderbook that could reach *RM3bn*, propelled by *LSS5+*, *LSS6*, *BESS*, and *CRESS* initiatives ⚡.

We *maintain our HOLD* ✋ call with a *TP of RM2.57* on Solarvest. We ascribe *20x FY26F PER* for its *EPCC segment* 🏗️ and *DCF at a WACC of 6%* for its *LSS4/5/5+*, *CGPP*, and *Powervest* assets 📊.


📌 Click the link below for more info:
https://drive.google.com/file/d/1cEZRkekBEkVDDG1IPOkq9UlB7q1yA7PF/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

22 September 2025 02:58

*BIMB Securities - Sector Update*

*Automotive* - TIV Rebounds in August but YTD Trend Still Soft

*NEUTRAL*

*🚗 Total Industry Volume (TIV)* sales rose *4.8% MoM* to *73,401 units*, supported by *non-national marques* (*+12.8% MoM*) 📈, while *national players* were broadly flat (*-0.04% MoM*) ⚖️. The uptick benefited from *normalised operations* ⚙️ and *sustained demand* for key national and mass-market models 🚙.

We expect *sales to moderate in Sept* 📉, weighed by *fewer working days* 📅 and a *wait-and-see stance* ahead of *Budget 2026* announcements 💼.

🔋 *EV registrations* rose *17% MoM* to *3,461 units* (July: 2,792) ⚡.
- *BYD* led with *1,119 units* (*+29% MoM*) 🚘
- *Proton e.MAS-7*: *766 units* (*+12% MoM*) 🇲🇾
- *Tesla*: *509 units* (*+99% MoM*) 🚀
- *BMW*: *96 units* (*-19% MoM*) 🚫

*EV penetration* held at *4.2%*, with *charging rollout* still *lagging* the *10k year-end target* 🔌.

We reiterate our *NEUTRAL* stance on the *automotive sector* ⚙️, underpinned by expectations that *new model launches* and *national EV rollouts* will lend support to sales 🆕🚗.

We maintain:
- *HOLD* on *Sime Darby* (TP: RM2.27) 🟡
- *HOLD* on *MBMR* (TP: RM5.28) 🟡
- *SELL* for *BAuto* (TP: RM0.54) 🔻



📌 Click the link below for more info:
https://drive.google.com/file/d/1uJhc1_sKUINMBYsHK1AWOHOg_E6zZATx/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

19 September 2025 02:58

*BIMB Securities - Company Update*

*MPI*- Strategic Carve-Out from Infineon

*Target Price: RM22.58 / SELL*

Malaysian Pacific Industries Berhad (MPI) 🇲🇾 is making its tactical move, acquiring 100% of Infineon Technologies (Thailand) Ltd (IFTH) 🇹🇭 for USD77.9mn (~RM327.6mn) 💰 from Infineon’s subsidiaries; Spansion and Cypress Semiconductor.

Located in Nonthaburi, Thailand, IFTH is a backend semiconductor assembly and testing facility 🧪🔧 — a natural extension of MPI’s core OSAT business 💻📦.

Based on FY24 audited net assets of THB3.6bn (~RM470.7mn), the deal implies a 0.70x P/BV entry 📉, reasonably valued when benchmarked against 0.67x P/BV of two Infineon facilities acquired by ASE Technology back in Feb 2024 📊.

The deal will be funded entirely via internal funds and/or borrowings 💸🏦, with targeted completion by June 2026 (4QFY26) 📅. So, any impact on earnings will only be fully reflected from FY27F onwards and is expected to be marginal in the near term (<±5%) 📉📈.

While we are constructive on the long-term strategic logic of the acquisition 📈🤝, the deal remains subject to key execution milestones ⚙️. Given the recent share price rally 🚀, we reiterate our TAKE PROFIT / SELL call with a target price of RM22.58 🎯, anchored on 27x (-1SD below average of 3-year historical forward PER) implied to FY26F EPS of 83.6sen.

📌 Click the link below for more info:
https://drive.google.com/file/d/1SHLHrWy4W4klHCw1enqAgthPAEb0XmDb/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

17 September 2025 03:00

*BIMB Securities - Company Update*

*SCIENTX*- Second Attempt at SciPack Privatisation

*Target Price: RM3.81 / BUY*

📢 *Scientex* (71.89% stake) has proposed a *Selective Capital Reduction (SCR)* at *RM1.50/share* to acquire the remaining *28.11%* in *SciPack*, amounting to *RM147.8mn* 💰. If approved, SciPack will be *fully privatized* and *delisted* 🏢🔚.

📈 The offer is viewed as *fairly valued*, at *19.6x FY25 PER* and *1.32x PBV*, representing a ~2.7% premium to its last traded price of *RM1.46/share* 💹.

🤝 Full ownership strengthens *operational control*, eliminates *minority leakage*, and enhances *integration synergies* between Scientex’s *film manufacturing* and SciPack’s *packaging conversion* business 🎬📦. It also positions Scientex to *accelerate sustainable packaging solutions* development 🌱♻️.

💼 The *RM147.8mn* payout will be financed via *internally generated funds* and/or *borrowings* at SciPack 🏦. The *gearing impact* is expected to be *modest and manageable* (0.34x–0.35x) given Scientex’s strong *operating cash flows* 💪💸.

📊 Full consolidation of SciPack is expected to add *~RM7.8mn* annually to Scientex’s earnings, with a net uplift of *~RM5.5mn p.a.* after financing costs, translating into *~1% EPS accretion* at group level 📈📘.


📌 Click the link below for more info:
https://drive.google.com/file/d/1wEfVqveNEPlFBxAzSryTLkpXX1WAJDNr/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

12 September 2025 02:55

*BIMB Securities - Result Review*

*HIBISCS*- OPP Lumut Visit Note

*Target Price: RM2.10 / BUY*

🛢️ We recently visited *Hibiscus’ Onshore Gas Processing Plant (OPP)* facility in *Lumut, Brunei*. We were briefed about planned projects to extend production life at *MLJ field* 🛠️🌍.

⚙️ *MLJ field* currently produces around *6,000–7,000 boepd*, which makes up *20–25%* of Hibiscus’ total production 📊.

✅ Maintain *Hibiscus as a BUY* with a *TP of RM2.10* 💹. Our BUY recommendation is premised on its growth strategy to boost production to *35k boepd* in *CY2026* (2QCY25: 25.4k boepd) 🚀, underpinned by:
(i) *North Sabah water flood project* 💧
(ii) *UK Teal West development project* 🇬🇧⚒️

This will help sustain its earnings despite lower oil prices 📉💼.


📌 Click the link below for more info:
https://drive.google.com/file/d/1fvpx0Y8aqM2-dJkndRnQjlVzQrgvs3lE/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

11 September 2025 02:41

*BIMB Securities - Sector Update*

*PLANTATION* - MPOB Aug 2025 a Firmer CPO Prices Amid High Stock Levels

*OVERWEIGHT*


🌴 *Aug 2025 Palm Oil (PO)* end-stocks rose to *2.20mn MT* (*+4.2% MoM*) as Aug production rebounded to *1.86mn MT* (*+2.3% MoM*) 🏭.

📉 Exports eased marginally to *1.32mn MT* in August (*-0.3% MoM*), likely due to cautious buying interest from key markets 🌍 and competitive Indonesian supply 🇮🇩.

📈 We raise our *2025 average CPO price* to *RM4,300/MT*, supported by:
i) Stable supply and demand dynamics ⚖️
ii) CPO discount against soybean oil 🫘
iii) Policy-driven demand from potentially higher 🇮🇩 *Indonesia’s biodiesel mandates* and 🇺🇸 *US EPA’s proposed greater biofuel blending requirements* ♻️
iv) A positive catalyst from the 🇪🇺 *EU’s acknowledgement of MSPO*, which can facilitate EUDR compliance ✅

🔼 *Upgrade to OVERWEIGHT* call on the sector, supported by favourable near to mid-term CPO prices 💵, limited downside risk 🔒, and undemanding valuations 📊.

🏆 *Our top picks* are:
- *Hap Seng* (BUY, TP: RM2.40)
- *Sarawak Oil Palm* (BUY, TP: RM3.75) 🌿


📌 Click the link below for more info:
https://drive.google.com/file/d/1atItu-2Hea-PsZW9XGUewPSEX0yhuv69/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

14 August 2025 03:21

*BIMB Securities - Sector Update*

*WATER* - Reclaimed Water in Johor - Strategic Necessity for Hyperscale DCs

🚰 On *11 August 2025*, *IWK* and *JSW* announced a partnership to supply up to *12 MLD* of reclaimed water to *BDC* and *Computility*, marking a landmark step in implementing the *Water Sector Transformation 2040 (WST 2040)* strategy 💧♻️

💸 The introduction of a dedicated *DC tariff band* of *RM5.30–RM5.38/m³*, with *Johor* setting theirs at *RM5.33/m³* under the *1 August 2025 water tariff reform*, establishes a monetisation benchmark for large-scale reclaimed water contracts 📊

📈 Driven by projections that *DC water demand in Johor* will surge from *20 MLD to 368 MLD by 2030*, the *IWK–JSW* reclaimed water initiative addresses a forecast *570 MLD* treated water supply shortfall, despite *RM6.8bn* in planned water infrastructure investments 🚧💦

✅ This positions reclaimed water as both a *strategic necessity* and *ESG-aligned solution* 🌱

🏗️ Scaling reclaimed water adoption will require substantial capital for *WRP upgrades, pipelines*, and *metering*, with the *BOT model* offering multi-year project flows for *contractors*, *pipe manufacturers*, and *engineering service providers* in high-growth industrial hubs such as *Johor* 🏭🔧📐

📌 Click the link below for more info:
https://drive.google.com/file/d/1bymJ4_Z47QWBH0_ZI6w4qRv0Kf0-T4iy/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

12 August 2025 03:07

*BIMB Securities - Sector Update*

*PLANTATION* - MPOB July 2025 - Stockpiles Continue to Build, Hitting 2.11mn Tonnes

*NEUTRAL*

🌴 July 2025 Palm Oil (PO) end-stocks rose to 2.11mn MT (+4.1% MoM) as MoM production rebounded to 1.81mn MT (+7.1% MoM) 📈.

📦 Exports increased to 1.31mn MT (+3.8% MoM), likely due to improved shipment to India 🇮🇳. However, overall export performance remained weak ❗ and insufficient to offset the higher supply.

📉 2H2025 price outlook: CPO is expected to trend softer in 3Q before staging a modest recovery in 4Q. We forecast CPO to trade within RM3,700/MT to RM4,300/MT, averaging around RM4,000/MT for 2H25 📊.

🔑 Key factors:
i) 🌾 Seasonal palm oil production peaks in 3Q
ii) 🌍 Rising global vegetable oil supply
iii) 💹 Narrower CPO price discount to soybean oil
iv) ⚙️ Widening palm oil–gas oil (POGO) spreads

📌 We reiterate a *NEUTRAL* call on the sector. Still, we favour upstream-focused players with attractive dividend yields 💰, such as *Hap Seng* (BUY, TP: RM2.40) and *Sarawak Plantation* (BUY, TP: RM2.83).


📌 Click the link below for more info:
https://drive.google.com/file/d/1UWN-f4cGXKs2HmJfumUukwKOXdS0V5oA/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

04 August 2025 03:17

*BIMB Securities - Company Update*

*AXREIT*- AXREIT's First Acquisition of 2025

*Target Price: RM2.17 / BUY*

🏢 Axis-REIT (AXREIT) has proposed acquiring a warehouse complex in Port Klang from TS Worldwide Warehousing for RM80mn 💰. The asset comprises single and one‑and‑a‑half‑storey warehouses 🏬 with an attached office 🖥️, situated on leasehold land under PN 123193, Lot 171738 in Telok Gong, Klang 📍.

📦 AXREIT will take ownership of 10.19 acres 🌳 subdivided from the original 16.03‑acre master title, together with all existing structures 🏗️. The acquisition strengthens Axis-REIT’s presence in Klang’s logistics corridor 🚛 and supports its strategy of growing a portfolio of prime, income‑accretive industrial properties 📈.

📌 Click the link below for more info:
https://drive.google.com/file/d/1PpmUq7bD1lAgkZOBXJrtvkZinIBhXlZa/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

04 August 2025 03:15

*BIMB Securities - Sector Update*

*WATER* - New Water Rates Rolled Out Nationwide

The government has implemented a new water tariff structure 💧📈 effective 1 August 2025, introducing higher rates for heavy users ⚠️ and a new category for data centres 🖥️, while safeguarding low-volume domestic users 🏠💙.

The hike is a key step toward structural reform 🏗️, yet domestic tariffs still fall short of covering average water treatment costs 💸💦, leaving room for future rationalization 🔄.

The sharpest tariff hikes 📊 were concentrated in middle-to-high domestic and non-domestic bands, especially in Terengganu, Kelantan, Johor, and Selangor 📍, while Perak and Labuan saw minimal changes ➖.

Higher tariffs improve long-term financial viability 📉➡️📈 for water concessionaires and benefit listed players with water infrastructure exposure like Gamuda 🏗️ and Taliworks 🚰, as well as pipe makers such as Engtex 🛠️ and Hiap Teck 🔧.


📌 Click the link below for more info:
https://drive.google.com/file/d/1Du44CherX-68iwsinY5xhKJ6l9Lz0TWv/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

01 August 2025 02:56

*BIMB Securities - Result Review*

*UNISEM*- Growth Undone by Domestic Inefficiencies

*Target Price: RM1.83 / SELL*

Unisem (M) Berhad (Unisem) delivered an encouraging feat 📈 amid a backdrop of global uncertainty 🌍, with its 2Q25 revenue rising to RM475mn, a 12% QoQ and 20% YoY expansion 🚀. This exceptional performance was buoyed by strong demand in the automotive 🚗 (+46% YoY) and industrial 🏭 (+41% YoY) segments.

However, the rally hit a speed bump ⚠️ on the bottom line. Core PATAMI tumbled to RM1.8mn 💸, no thanks to slower-than-expected production ramp-up at the Gopeng facility 🏗️, which delayed cost optimisation and offset the strong operational gains from Chengdu 🇨🇳.

These were compounded by higher depreciation 📉 from newly commissioned equipment 🛠️ and forex losses 💱. While cumulative 1H25 earnings fell short of street and our estimates 📊, only at 10% of the full-year forecast, management stayed committed to reward shareholders with a 2 sen dividend 💰, bringing YTD payouts to 4 sen 🎉.

📌 Click the link below for more info:
https://drive.google.com/file/d/1uAkddti2TsoAr-KrwC2UZQ_z8sUmM-bL/view?usp=sharing


📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

22 October 2025 03:04

*BIMB Securities - Sector Update*

*AUTOMOTIVE* - TIV slow in Sept

*NEUTRAL*

🚗 *Total Industry Volume (TIV)* sales eased 3% MoM to *58,490 units* in Sept 2025, primarily due to *shorter working days* and *consumer caution ahead of Budget 2026*. The decline was mitigated by stronger performance from *national marques* (+4.2% MoM) 💪, supported by *normalised production* and *steady demand* for mass-market models, while *non-national brands* contracted 5.4% MoM 📉.

⚡ *EV registrations* expanded 15% MoM to *3,532 units* (Aug: 3,461), driven by:
- Sustained deliveries from *BYD* (1,028 units, -8% MoM) 🚙
- *Proton e.MAS-7* (757 units, -1% MoM) 🇲🇾
- Stronger momentum from *Tesla* (+35% MoM to 685 units) 🔋
- *BMW* (+2% MoM to 98 units) 🏎️

⚠️ *EV penetration* held steady at *4.4%*, while *infrastructure development* continues to lag behind the *10k charging-point target* for 2025 🛠️.

📊 We expect *EV sales to be front-loaded in 4Q2025*, driven by *pre-emptive buying* ahead of the *expiry of CBU tax exemptions* and potential *OMV tax* implementation in 2026.

📌 We maintain our *NEUTRAL* stance on the *automotive sector*, supported by ongoing *new model launches* and *national EV rollouts*.
We retain:
✅ *HOLD* on Sime Darby (TP: RM2.27)
✅ *HOLD* on MBMR (TP: RM5.28)
❌ *SELL* for BAuto (TP: RM0.54)



📌 Click the link below for more info:
https://drive.google.com/file/d/1mPTgpLjRyDxd4KGzYE8Mx7sySToVZBbH/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

06 October 2025 03:30

*BIMB Securities - Company Update*

*MAXIS*- Secured 2100 MHz Spectrum from MCMC

*Target Price: RM4.05 / BUY*

📡 *Maxis* has accepted *MCMC’s* offer for a *2×10 MHz* in the *2100 MHz band*, with a total cost of *RM400mn*. 💰📶

✅ We view the acquisition of additional *4G spectrum* as necessary for Maxis to enhance its *network efficiency* and *user experience*, particularly for *urban coverage*. 🏙️📲

📊 We think the cost impact is *manageable* at roughly *4%* of our *FY25-27F earnings estimate*. 💼💸

🔄 Maintained our *TRADING BUY* recommendation on Maxis with similar *TP of RM4.05*. At our TP, the stock offers a total potential return of *13.7%* (including *dividend yield of 4.5%*). 📈💵📥

📌 Click the link below for more info:
https://drive.google.com/file/d/1I4TSRVOtWiCe0z-9_rIXFQnB1eklGG97/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

06 October 2025 03:28

*BIMB Securities - Sector Update*

*UTILITIES* - Utilities: Deal Struck of 200MW Solar Farm to Power Sarawak

*OVERWEIGHT*

⚡ *Syarikat SESCO Bhd* on Friday announced a *200MWac* of new solar capacity, executing two 30-year *Power Purchase Agreements (PPAs)*.
📄 The contracts were awarded to a 70%-owned subsidiary of *Malakoff* for a *100MWac* facility in *Bintulu* (🎯 COD: *1 May 2028*) and to a 60:40 joint venture between *Solarvest* and *Press Metal*—Mukah Solar Powerplant Sdn Bhd (MSPSB)—for another *100MWac* plant (🎯 COD: *30 Nov 2027*).

🔧 We forecast *Solarvest* and *Malakoff* will secure the full *EPCC contracts* (💰 RM350–380mn each), with post-COD *recurring revenue* of *RM17mn* and *RM20mn yearly* from *Nov 2027* and *May 2028*, respectively.

📊 Our FY26–27F earnings forecasts for *Malakoff* remain *unchanged*, as PPA contributions commence only in *FY28*. Similarly, our *Solarvest* estimates already reflect its *EPCC and asset pipeline*.

✅ *Maintain BUY* call on *Malakoff* at *TP: RM1.13* (based on 20x P/E pegged to FY26F EPS of 5.6 sen, implying +1 SD above 4-year avg P/E of 15x).
📈 Meanwhile, we recommend investors to *TAKE PROFIT* on *Solarvest (TP: RM2.57)* as the share price has rallied significantly amid *unchanged fundamentals*. 🌞💼

📌 Click the link below for more info:
https://drive.google.com/file/d/1cJZVeKop9v35x6vpqY3SOIe1r4cRrzqj/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

26 September 2025 02:49

*BIMB Securities - Initiation Coverage*

*SKYWLD* - Quality as The Cornerstone

*Target Price: RM0.78 (BUY)*

🏙️ *SkyWorld Development Berhad* is an urban developer (mid-/high-rise condominiums, affordable housing, and mixed-use precincts) focused on *quality* ✅, with a small exposure to *Ho Chi Minh City* 🇻🇳.

🏗️ SkyWorld has completed *12 projects* with a combined *GDV of RM5.3bn*, achieved a *take-up rate of more than 99%* 📈, and recorded *QLASSIC workmanship scores* averaging *81.3%* 🛠️🏅.

📊 Since listing, SkyWorld has launched *RM1.6bn* in GDV. The current *landbank spans 254.6 acres* 🌿 with an estimated remaining *development value of RM19.5bn* 💼🏘️.

📌 Click the link below for more info:
https://drive.google.com/file/d/16DQ3hjTK8Z9s6QYF5yytDO-XENQY2SCf/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

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Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

22 September 2025 02:58

*BIMB Securities - Result Review*

*GAMUDA*- Stepping Up to Rm50bn Order Book Target

*Target Price: RM6.80 / BUY*

*Solid 4QFY25 📈🏗️*
Gamuda delivered a *solid 4QFY25*, with *core net profit rising* to *RM325.2mn* (*+32.0% QoQ*, *+20.1% YoY*) 💰, driven by accelerating domestic construction works 🏗️ (Penang LRT 🚝, Penang Silicon Island 🏝️, data centres 🖥️) and stronger Vietnam property handovers 🏘️ (Eaton Park 🇻🇳).

For *FY25*, *core net profit* reached *RM982.5mn* (*+11.1% YoY*) 📊, *within market expectations* ✅, meeting *96.7% of consensus estimates* 📉. However, it accounted for only *85.4% of our forecast* ❗, falling short mainly due to a *higher-than-expected effective tax rate* of *30.9%* 💸 (vs. 8.3% in 3QFY25 and 19.3% in 4QFY24).

📌 Click the link below for more info:
https://drive.google.com/file/d/1UHEykVP1YCmjOZj1SRdxZDsXBpoPIQ1h/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

19 September 2025 02:58

*BIMB Securities - Result Review*

*CYPARK*- Dragged by High Operational Cost from WTE Segment

*Target Price: RM0.99 / BUY*

Cypark’s 3MFY26 core net loss of RM26mn ❌ was below our earnings estimate 📊. This was mainly due to still high depreciation & amortisation 🏗️📉 as well as persistently higher operational costs from the WTE segment 🔥⚙️. Revenue declined by 16% YoY 📉, attributed to the absence of construction revenue from the Hospital Rawang project 🏥 and the scheduled outage of the WTE plant during the quarter 🛠️.

We raised admin expense forecasts to optimise operations 🧾🔧, cutting our FY26 PATAMI by 29% to RM30mn 💸. However, we remain *sanguine* with the group’s effort towards *refinancing its capital structure* 💼🏦 and near-term upside from replenishing its EPCC jobs from *LSS5+ and HHFS in Tasik Kenyir* ☀️🌊.

*Maintain our BUY call* on Cypark ✅ with a lower DCF-derived *TP of RM0.99* 🎯 (from RM1.02).

📌 Click the link below for more info:
https://drive.google.com/file/d/1aHjgbLxcX-Z1ZjsNgszki29grFjuFpRd/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

17 September 2025 03:01

*BIMB Securities - Sector Update*

*OIL & GAS* - Pivot towards Greenfield Services Players

*OVERWEIGHT*

🛢️ During the recent *2QCY25 result season*, most companies under our coverage posted *quarterly results largely within expectations* ✅ — except *Dayang*, which *underperformed* 📉.

🔮 Looking ahead, we anticipate *stronger project sanctions* over the next *6–12 months* as oil & gas companies continue to *high-grade project pipelines*, supported by *stabilising oil prices* 🛢️ and *easing drilling service rates* 🛠️. This will *benefit upstream services players* including *MMHE*, *Velesto*, *Vantris*, and *MISC* 🚢💼.

📈 Maintain an *OVERWEIGHT* stance on the *Oil & Gas sector*, particularly favoring companies with:
✔️ *Long-term earnings visibility*
✔️ *Solid growth potential*
✔️ *Decent dividend yields* 💰

🏆 Our top picks are *MISC* (TP: RM9.90) and *Hibiscus* (TP: RM2.10) 🌟.

⚠️ *Key risks* to our recommendation include a *stronger Ringgit* 💱 and *lower oil prices* 🔻.


📌 Click the link below for more info:
https://drive.google.com/file/d/1BK64VThkBdcxkJxFr1UADONX9oAbQH-1/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

12 September 2025 02:56

*BIMB Securities - Sector Update*

*WATER* - IWK; From Sewerage Operator to Circular Economy Champion

💧 IWK is now financially independent (subsidies ended 2024), despite tariffs covering only 25–70% of actual costs, supported by tariff reform and non-core revenue streams 📊💼

🚰 The Johor pilot (12 MLD) with JSW marks Malaysia’s first large-scale rollout, critical to address a looming treated water shortfall as DC demand soars ⚠️🏗️

♻️ IWK’s circular economy push with BOT-funded projects in reclaimed water, plus biosolids, biogas, and solar 🌱☀️ unlocks multi-year project flows for contractors, pipe makers, and ESG-focused investors 🛠️📈

📌 Click the link below for more info:
https://drive.google.com/file/d/1E5Ps-Yz7Hj7wXCoOdTAJjRHkEWuOcE8Y/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

12 September 2025 02:55

*BIMB Securities - Result Review*

*BAUTO*- Earnings Collapse, Sharp Miss

*Target Price: RM0.54 / SELL*

🚗 *Bermaz Auto (BAuto)* posted 1QFY26 core net profit of *RM8.1mn* (📉 -88.7% YoY, 📉 -60.8% QoQ), a sharp miss versus both our and consensus expectations, catching the market off guard 😮.

📉 The earnings slump was driven by weaker *Mazda* and *Kia* volumes nearing end-cycle, margin compression 💸, and associate losses, partly offset by initial *XPeng* contributions ⚡🚘.

📊 Revenue fell *41.9% YoY* to *RM491.3mn*, pressured by aggressive pricing from Chinese EV entrants 🇨🇳🔌.

💰 The group has declared a *first interim dividend of 0.75 sen* for the quarter, translating to a yield of *1.1%* based on the current market price 📉💵.




📌 Click the link below for more info:
https://drive.google.com/file/d/1E4B1VD_QAOxZmC79vi6uGarrq4sTmQ7k/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

14 August 2025 03:22

*BIMB Securities - Company Update*

*IHH*- Acibadem Expands in Turkiye via Bayindir Acquisition

*Target Price: RM8.60 / BUY*

🏥 *IHH’s* majority-owned Turkish subsidiary, *Acibadem*, has signed a deal to acquire an *80% stake in Bayındır Hospitals* from *Is Bankası* for *USD55mn (~RM232.2mn)*, valuing the group’s three hospitals at *USD80mn* 💵📈

➕ Following completion, *Acibadem’s hospital network* in *Türkiye* will increase from *26 to 29 hospitals*, reinforcing its position as the country’s *largest private hospital operator* 🇹🇷🏨

🤝 *Is Bankası* will retain a *20% stake* and a *board seat*, ensuring local operational continuity and governance support 🧑‍⚖️📋

🌍 The acquisition aligns with *IHH’s broader expansion strategy* in key growth markets and enhances its *geographic reach*, *service offering*, and *long-term earnings potential* 🚀💼

✅ We maintain a *BUY* call with an *unchanged TP of RM8.60*. Our valuation is based on an *SOP approach* with a *WACC of 7%* for Parkway Pantai Limited and *11%* for Acibadem 📊📌


📌 Click the link below for more info:
https://drive.google.com/file/d/1QdH6E2paXxuRlBd8GD6LzdWLR2YjZAFS/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

14 August 2025 03:12

*BIMB Securities - Sector Update*

*WATER* - Reclaimed Water in Johor - Strategic Necessity for Hyperscale DCs

🚰 On *11 August 2025*, *IWK* and *JSW* announced a partnership to supply up to *12 MLD* of reclaimed water to *BDC* and *Computility*, marking a landmark step in implementing the *Water Sector Transformation 2040 (WST 2040)* strategy 💧♻️

💸 The introduction of a dedicated *DC tariff band* of *RM5.30–RM5.38/m³*, with *Johor* setting theirs at *RM5.33/m³* under the *1 August 2025 water tariff reform*, establishes a monetisation benchmark for large-scale reclaimed water contracts 📊

📈 Driven by projections that *DC water demand in Johor* will surge from *20 MLD to 368 MLD by 2030*, the *IWK–JSW* reclaimed water initiative addresses a forecast *570 MLD* treated water supply shortfall, despite *RM6.8bn* in planned water infrastructure investments 🚧💦

✅ This positions reclaimed water as both a *strategic necessity* and *ESG-aligned solution* 🌱

🏗️ Scaling reclaimed water adoption will require substantial capital for *WRP upgrades, pipelines*, and *metering*, with the *BOT model* offering multi-year project flows for *contractors*, *pipe manufacturers*, and *engineering service providers* in high-growth industrial hubs such as *Johor* 🏭🔧📐

📌 Click the link below for more info:
https://drive.google.com/file/d/1bymJ4_Z47QWBH0_ZI6w4qRv0Kf0-T4iy/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

06 August 2025 02:48

*BIMB Securities - Result Review*

*HARTA*- Competitive Pressures Threaten Recovery Outlook

*Target Price: RM1.05 / SELL*

🧤 Hartalega’s 1QFY26 core PATAMI of RM11.3mn fell below expectations, achieving only 7.7% of our estimate and 15.2% of consensus 📉. The shortfall was mainly due to lower-than-expected sales volume 📦 and margins 📉.

📊 1QFY26 revenue and PBT declined 9.6% QoQ and 18.8% QoQ, respectively, due to front-loading ahead of the US tariff in 4QFY25. During this period, sales volume was down 3.3% QoQ while utilization rate stood at 67% (vs 69% in 4QFY25) ⚙️.

📉 On a yearly comparison, revenue and PBT declined 5.3% and 65.2% respectively.

🔍 Management expects stronger demand in 2HCY25, especially from normalising healthcare consumption globally 🌍, continued restocking trends 📦, and geopolitical tensions (US-China) ⚔️ shifting some demand to Malaysian players 🇲🇾.

📌 Click the link below for more info:
https://drive.google.com/file/d/10J-SqD9B4xBrA5y-kih84_fgg6uXfQEz/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

04 August 2025 03:16

*BIMB Securities - Company Update*

*INARI*- Lighting The Way - Venturing into LED Business

*Target Price: RM2.23 / HOLD*

Inari Amertron Berhad (Inari) 🌟 is making its boldest move yet by teaming up with China’s LED player, Sanan Optoelectronics Co Ltd 🇨🇳 in a USD239mn (~RM1.03bn) acquisition 💰 of Lumileds Holding B.V., including 11 of its subsidiaries 🌐.

Structured through a Hong Kong-based SPV 🏢 (with 74.5% held by Sanan and 25.5% by Inari), the deal includes an additional USD41mn in working capital 💼, bringing total investment to USD280mn, with Inari’s share at USD71.4mn 📊.

This marks a seismic shift 🌍 in Inari’s strategic playbook, moving beyond its OSAT comfort zone 🔄 into the global LED arena 💡. Funded entirely from its 2021 private placement proceeds and backed by a rock-solid balance sheet (~RM2bn cash 💵, zero debt ❌💳), Inari is flexing its financial muscle 💪 without overleveraging.

The acquisition is expected to be completed by March 2026 📅. Thus, if Lumileds stays in the red 🔻, earnings decretion to Inari (potentially ~24%) will only be fully reflected from FY27F onwards 📉.

We are positive about the strategic direction 🚀 of this deal. But with the ink still drying 🖊️, we are keeping our numbers steady and staying grounded 🌱. We reiterate our HOLD call 🟡 with a target price of RM2.23 🎯, anchored on a 29x (–1SD below average of 3-year historical forward PER) implied to FY26F EPS of 7.7sen.


📌 Click the link below for more info:
https://drive.google.com/file/d/1Av3CzrQ-7UkvVi2A0kjIzRBOjjCY6qbW/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

04 August 2025 03:15

*BIMB Securities - Sector Update*

*CONSUMER* - 13MP: The Rise of tge Empowered Malaysian Consumer

*OVERWEIGHT*

The 13th Malaysia Plan (13MP) 📘 provides a supportive policy backdrop for consumer names under our coverage 🛍️, with targeted fiscal transfers 💸, progressive wage reforms 💼, tourism recovery ✈️🏝️, and food security agendas 🌾🥦 forming the cornerstone of demand uplift 📈.

We expect value-for-money retailers 🛒 and selected consumer staples 🥫 beneficiaries to demonstrate earnings resilience 💪 and potential of growth re-rating over the medium term 📊.

Key measures expected to benefit the consumer sector from the 13MP can be divided into three segments:
i) higher disposable income 💵
ii) robust tourism activities 🏨🚗
iii) food security and improved nutrition 🍽️🌿.

📌 Click the link below for more info:
https://drive.google.com/file/d/1IlunSP64Deu_F9G5_rVEOVoPZthvwzxS/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd

BIMB SECURITIES

31 July 2025 02:53

*BIMB Securities - Company Update*

*DIALOG*- Providing a dedicated storage tank for Petronas' new biorefinery plant

*Target Price: RM2.00 / BUY*

🛢️ *Dialog* announced that its *25%-owned JV company* has secured a *25-year contract* to supply a *dedicated storage tank* for the upcoming *Petronas-led biorefinery* in *Pengerang*.

📈 We estimate this project will boost its *storage capacity* by *5% to 5.5mn cbm* and provide *incremental earnings* by *2% p.a.* beginning *FY28*.

🚀 The stock price has appreciated by *more than 20%* since we initiated coverage on the stock. However, we still see *some upside* from current level.

✅ Maintain our *BUY* call on the stock with a *higher TP of RM2.00* (from RM1.94).


📌 Click the link below for more info:
https://drive.google.com/file/d/1b2sNKvY5KQn7gUt9crFYzL1Ns8mj2i0z/view?usp=sharing

📞 If you need further assistance, you can reach us via Whatsapp at +60192066296

Best Regards,

Retail Dealing | BIMB Securities Sdn Bhd