Stripping off exceptional item of RM11.5m, Dialog reported 4QFY23 core net profit of RM115.3m, dipping by -2.2% YoY and -12.8% QoQ, attributed to weakness in all three segments. The Group’s downstream and midstream segments were dragged by cost overrun and financing cost respectively. Meanwhile, its upstream segment was impacted by higher maintenance activities and operating cost. All in, the Group reported a flattish FY23 core net profit of RM506m (+0.8% YoY), spot-on with our estimates at 100.3%, though lagging consensus estimates at 96.6%. Although its midstream segment will remain stable over the longer term with new capacity expansion in the future, we believe the Group is likely to continue facing headwinds in the near term due to elevated financing cost, and slower downstream activities. On this basis, we cut our FY24-25 earnings forecast by 5%-6% and downgrade our call to Neutral (from Outperform) with lower TP of RM2.40 (from RM2.65). A final dividend 2.40sen was proposed bring in a total dividend for FY23 was 3.70sen.
Source: PublicInvest Research - 16 Aug 2023
Chart | Stock Name | Last | Change | Volume |
---|
2024-05-15
DIALOG2024-05-15
DIALOG2024-05-15
DIALOG2024-05-15
DIALOG2024-05-15
DIALOG2024-05-15
DIALOG2024-05-14
DIALOG2024-05-14
DIALOG2024-05-14
DIALOG2024-05-14
DIALOG2024-05-14
DIALOG2024-05-14
DIALOG2024-05-14
DIALOG2024-05-13
DIALOG2024-05-13
DIALOG2024-05-13
DIALOG2024-05-13
DIALOG2024-05-13
DIALOG2024-05-13
DIALOG2024-05-10
DIALOG2024-05-10
DIALOG