(EKO MK/BUY/RM1.15/Target: RM1.45)

Ekovest reported 4QFY17 net profit of RM18.4m, bringing FY17 net profit to RM133m, representing 82% of our full-year estimate. Earnings missed estimates due to a high effective tax rate of 59% (vs our 24% estimate). The construction and infrastructure division continues to deliver strong growth. Maintain BUY with a lower target price of RM1.45 (down from RM1.55) as we trim our FY18/19 earnings estimates by 7% and 4% respectively.

Source: UOB Kay Hian Research - 5 Sept 2017