Key investment highlights

1. Renowned shareholder in recent years - Dato' Dr. Mohd Abdul Karim (Refer Serba and Kpower)

2. High order book: Market capitalisation of RM330 million with Order Book of RM2.4 billion (Refer below)

3. Improving financials (Refer below)

4. Solid latest quartelrly financial results (shot up 442% QoQ) and is expected to continue to report record high QoQ results (Refer below)

Historical financial snapshot

Current order book based on quarterly results

Order book from Serba (Approved related party transaction)

Illustration of target price

RM2.4 billion in order book to be recognised in 3 years (Refer above for the timing of recognition)

Revenue: RM800 milion a year (conservatively!)

Net profit: RM64 million a year (8% profit margin)

PE ratio: 10 times

TP: RM5.20

The above analysis provides the rationale for the recent price increase and increased interest in SCIB. SCIB is heading towards being a RM1 billion company (A Unicorn)

https://www.theedgemarkets.com/article/sarawak-consolidated-industries-goes-global-eyes-rm1-bil-market-cap-two-years

https://klse.i3investor.com/servlets/stk/9237.jsp