[HSS ENGINEERS BHD：不断加强其建筑信息模型（“BIM”）服务，进入第四核心服务，即设施管理，以建立稳定的长期收入业务模式，东盟和印度地区的地域扩张]

工程设计：
截至2018年9月30日止的工程设计收入分别较去年同季和同期大幅增加380万令吉及1,860万令吉。这主要归功于主要的持续项目，包括拟议的Tun Razak Exchange（TRX）外部道路和西海岸高速公路以及为东海岸铁路线（“ECRL”）提供的设计服务，详细设计和初步设计（截至停止通知之日），已经为工程设计收入的主要比例做出了贡献。此外，他们新收购的子公司SMHB Engineering Sdn Bhd开始为其集团收购后的收入作出贡献，导致工程设计收入增加了1,330万令吉。

施工监理：
其主要的持续监管项目包括Maju Expressway Extension to KLIA，Sungei BesiUlu Kelang Elevated Expressway和West Coast Expressway，这些项目在建设阶段进展顺利，在2018年9月30日本期和季度结束时继续贡献大部分监管收入。此外，他们新收购的子公司SMHB Engineering Sdn Bhd在收购后开始为集团贡献收入，导致建筑监管收入大幅增加2640万令吉。

项目管理：
收入减少被新混合开发项目Taman Perling抵消，该项目按计划进行。

BIM服务：
本期和季度的收入减少主要是由于某些BIM项目的完成。

可报销收入：
可报销收入按一对一基准确认，监管人员提出顾问津贴，因此，无论可报销收入的减少或增加，其对这集团的财务表现并无重大影响。

马来西亚部门的收入增加归因于本地项目。

截至2018年9月30日止的本季度PAT大幅增长630万令吉或221.4％主要归因于新收购的子公司SMHB Engineering Sdn Bhd，除了现有子公司HSS Engineering Sdn Bhd提供的更高PAT外，其在收购后的当前季度贡献了477万令吉。

截至2018年9月30日止的本期间PAT增加795万令吉或88.6％主要归因于新收购的附属公司SMHB Engineering Sdn Bhd，除现有附属公司HSS Engineering Sdn Bhd的PAT较高外，于收购后当期贡献813万令吉。

截至2018年9月30日，其未开单的订单包括SMHB Engineering Sdn Bhd的订单，内容如下：
- 工程设计RM145100000
- 施工监理RM332611000
- 项目管理RM104730000
- BIM服务RM6154000
总计RM588595000
上述未开单的订单将在接下来的两（2）到五（5）年内逐步收费。

与上一季度相比，本季度的税前利润（“PBT”）增长了218万令吉或21.9％。这主要是由于尽管收入略有下降，但项目有利组合所带来的毛利润率较高。

前景：
i）水基础设施部门的前景：
新成立的水，土地和自然资源部（KATS）正在审查国家水政策，该政策将对马来西亚水务部门进行一些新的改革。预计一个部门下的水，土地和自然资源的整合将有助于更好地规划和管理我国的水利基础设施（包括污水处理基础设施），特别是整合州和联邦管辖区之间的差距。

在2018年11月12日举行的国家预算论坛上，新成立的水，土地和自然资源部（KATS）表示，2019年有为最近的国家水资源部门拨款约6.9亿令吉的预算，用来实施水资产项目和减少非营业用水（NRW）。除此之外，据了解，根据财政部下属的国家水资产所有者Pengurusan Asset Air Berhad或PAAB，也有可用于基本工程的资金。此外，随着马来西亚半岛11个州中7个州的水资产合并，PAAB应该能够通过与各州的租赁安排增加收入。联邦政府和PAAB资金的分配预算将用于水务部门的更多基本工程，其中包括水源工程，水处理厂，配水管道以及减少NRW。

对于污水处理部门，2019年的拨款预算为5.90亿令吉。政府也在考虑改善其污水收集系统，应该可看到更多资金用于基建工程，以建设更多的市政处理厂和污水网络系统，以连接那些利用化粪池和其他传统系统的家庭。

SMHB工程集团作为一家重要的参与者，已经在马来西亚从事水务行业超过55年，在政府宣布水和污水处理基础设施项目时，它已准备好加入这个行列。事实上，SMHB已经开始大力参与最近公布的招标，特别是在沙捞越和沙巴，那里有缺水的问题。

（ii）东海岸铁路线（“ECRL”）待定政府审查的状况：
鉴于国家债务水平较高，他们支持政府降低债务水平的努力，包括审查ECRL等大型项目。截至本财政期间暂停之日，这公司的经营及财务状况并无重大影响，因为所有已完成的工程均须根据合约的条款及条件予以补偿。如果合同中止被解除，预计两份合约均对这集团的收入和盈利作出积极贡献。

（iii）未来计划：
这集团已制定如下一系列未来计划：
（a）不断加强其建筑信息模型（“BIM”）服务，该服务将于2020年起在马来西亚价值1亿令吉的公共项目中强制执行;
（b）建议进入第四核心服务，即设施管理，以建立稳定的长期收入业务模式;
（c）东盟和印度地区的地域扩张;和
（d）投入向发电行业提供支持服务，预计将获得政府的大力支持。

根据上述计划（i）及（iii），这集团预期2018财政年度会有合理表现，因为现有未开单的订单账面余额为5.886亿令吉，将为未来2至3年的盈利提供可见性。
------------------------------------------------
James Ng Stock Pick Performance:
Since Recommended Return:

a) KGB (KELINGTON GROUP BHD), recommended on 23 Dec 18, initial price was RM0.965, rose to RM1.16 in 1 month 8 days, total return is 20.2%

b) FRONTKN (FRONTKEN CORP BHD), recommended on 12 Aug 18, initial price was RM0.715, rose to RM0.845 (dividend RM0.007) in 5 months 19 days, total return is 19.2%

c) VIZIONE (VIZIONE HOLDINGS BHD), recommended on 30 Dec 18, initial price was RM0.85, rose to RM1.01 in 1 month 2 day, total return is 18.8%

d) KKB (KKB ENGINEERING BHD), recommended on 1 Jul 18, initial price was RM0.795, rose to RM0.94 in 7 months, total return is 18.2%

e) BAUTO (BERMAZ AUTO BHD), recommended on 14 Oct 18, initial price was RM1.89, rose to RM2.19 (dividend RM0.0375) in 3 months 17 days, total return is 17.9%

f) GBGAQRS (GABUNGAN AQRS BHD), recommended on 16 Dec 18, initial price was RM0.80, rose to RM0.905 in 1 month 15 days, total return is 13.1%

g) ELKDESA (ELK-DESA RESOURCES BHD), recommended on 18 Nov 18, initial price was RM1.27, rose to RM1.30 (dividend RM0.035) in 2 months 13 days, total return is 5.1%

我希望将我的策略分享给读者，希望他们在阅读后能够表现出色。我正在使用基本面分析（Fundamental Analysis）：

预计公司每年的增长率必须> 14％

我想说服读者学习基本面分析FA以便能从股市赚钱。

我为想从马来西亚股票市场赚钱的读者提供STOCK PICK服务。想订阅我的邮件以从股票市场获取良好回报的人，可以通过 jamesngshare@gmail.com 或我的FB页面 https://web.facebook.com/jamesshareinvest/ 与我联系

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-----------------------------
[HSS ENGINEERS BHD: continuous enhancement on its Building Information Modeling (“BIM”) services, proposed venture into a fourth (4th) core service i.e. facility management to develop a steady long term income business model, geographical expansion into ASEAN and India regions]

Engineering design:
Engineering design revenue increased substantially by RM3.8 million and RM18.6 million for the current quarter and current period ended 30 September 2018 respectively as compared to the corresponding quarter and period in previous year. This is attributable to the major on-going projects which includes Proposed Tun Razak Exchange (TRX) External Roads and West Coast Expressway and design services rendered for East Coast Rail Line (“ECRL”) detailed design and preliminary design up to the date of suspension notice, have contributed to the major proportion of engineering design revenue. In addition, their newly acquired subsidiary, SMHB Engineering Sdn Bhd who started to contribute revenue to their Group post acquisition has led to an increase in engineering design revenue by RM13.3 million.

Construction supervision:
Their major on-going supervision projects including Maju Expressway Extension To KLIA, Sungei BesiUlu Kelang Elevated Expressway and West Coast Expressway which are progressing well in line with the construction stage of these projects continued to contribute majority of the supervision revenue during current period and quarter ended 30 September 2018. In addition, their newly acquired subsidiary, SMHB Engineering Sdn Bhd who started to contribute revenue to their Group post acquisition has led to a substantial increase in construction supervision revenue by RM26.4 million.

Project management:
The decrease of revenue is offset by new project Taman Perling Mixed Used Development which is progressing as per schedule.

BIM services:
The reduction in revenue for both current period and quarter was mainly due to the completion of certain BIM projects.

Reimbursable income:
Reimbursable income is recognised on a back to back basis with sub-consultant and allowances claimed by supervision staff and therefore it has no significant impact on the financial performance of the Group regardless of the decline or rise in reimbursable income.

The higher revenue posted by Malaysia segment was attributed to local projects.

PAT for current quarter ended 30 September 2018 grew substantially by RM6.30 million or 221.4% is mainly attributable to newly acquired subsidiary, i.e. SMHB Engineering Sdn Bhd who contributed RM4.77 million in current quarter post acquisition apart from higher PAT contributed by existing subsidiary, HSS Engineering Sdn Bhd.

PAT for current period ended 30 September 2018 increased by RM7.95 million or 88.6% is mainly attributable to newly acquired subsidiary, i.e. SMHB Engineering Sdn Bhd who contributed RM8.13 million in current period post acquisition apart from higher PAT contributed by existing subsidiary, HSS Engineering Sdn Bhd.

Their unbilled order book which includes order book from SMHB Engineering Sdn Bhd as at 30 September 2018 is as follows:
- Engineering design RM145100000
- Construction supervision RM332611000
- Project management RM104730000
- BIM services RM6154000
Total RM588595000
The above unbilled order book will be billed progressively on average over the next two (2) to five (5) years.

Compared with preceding quarter, the profit before tax (“PBT”) for current quarter grew by RM2.18 million or 21.9%. This was mainly due to higher gross profit achieved arising from favourable mix of project margin despite a minor drop in revenue.

Prospects:
(i) Prospects in the Water Infrastructure Sector:
The newly formed Ministry of Water, Land and Natural Resources (KATS) is reviewing the National Water Policy which will see some new reforms in the water sector for Malaysia. The integration of water, land and natural resources under one ministry can be expected to result in better planning and management of the water infrastructure (including sewerage infrastructure) in the country, especially in bridging the gap between State and Federal jurisdictions.

In the post national budget forum held on 12th November 2018, newly formed Ministry of Water, Land and Natural Resources (KATS) has indicated that there is an allocation of about RM690 million for the year 2019 in funds for the water sector under the recent National budget for implementation of projects for water assets and for reducing Non-Revenue Water (NRW). In addition to that, it is understood that there are also available funds for capital works under Pengurusan Asset Air Berhad or PAAB who is the national water asset owner under the Ministry of Finance. Furthermore, with the consolidation of water assets in now 7 out of 11 states in Peninsular Malaysia, PAAB should be able to increase their revenue from the leasing arrangements with the states for the acquired assets. The allocated budget from the Federal Government as well as PAAB’s funds will be channelled towards more capital works in the water sector which will include source works, water treatment plants, water distribution pipelines, and also towards reducing NRW.

For the sewerage sector, the allocated budget is RM590 million for the year 2019. The Government is also looking at improving their collection which should see more funds available for capital works to build more municipal treatment plants and sewerage network systems to connect households that are still utilising septic tanks and other traditional systems.

SMHB Engineering Group, being a key player and having been in the water industry in Malaysia for more than 55 years, is well positioned to jump on board the bandwagon when the water and sewerage infrastructure projects are announced. In fact, SMHB is already taking strides to participate in the recent tenders that have been released, particularly in Sarawak and Sabah where water shortage is a state concern.

(ii) Status of East Coast Rail Link (‘’ECRL’’) Pending Government’s Review:
Given the high national debt level, they are supportive of the government’s efforts in reducing the debt level which includes the review of mega projects like ECRL. There was no significant impact on the operations and financials of the Company up to the date of suspension in the current financial period as all completed works shall be compensated for in accordance with the terms and conditions of the contracts. In the event the suspension of the contracts is lifted, it is expected for both contracts to contribute positively to the revenue and earnings of the Group.

(iii) Future Plans:
The Group has put in place a series of future plans as follows:-
(a) Continuous enhancement on its Building Information Modeling (“BIM”) services which will be made mandatory in 2020 onwards for public projects worth RM100 million in Malaysia;
(b) Proposed venture into a fourth (4th) core service i.e. facility management to develop a steady long term income business model;
(c) Geographical expansion into ASEAN and India regions; and
(d) Venturing into the provision of support services to the power generation sector which is expected to receive strong government support.

Premised on the aforesaid plans (i) and (iii), the Group expects reasonable performance in the financial year 2018 given the existing unbilled order book balance of RM588.6 million which will provide visibility in earnings for the next 2-3 years.
------------------------------------------------
James Ng Stock Pick Performance:
Since Recommended Return:

a) KGB (KELINGTON GROUP BHD), recommended on 23 Dec 18, initial price was RM0.965, rose to RM1.16 in 1 month 8 days, total return is 20.2%

b) FRONTKN (FRONTKEN CORP BHD), recommended on 12 Aug 18, initial price was RM0.715, rose to RM0.845 (dividend RM0.007) in 5 months 19 days, total return is 19.2%

c) VIZIONE (VIZIONE HOLDINGS BHD), recommended on 30 Dec 18, initial price was RM0.85, rose to RM1.01 in 1 month 2 day, total return is 18.8%

d) KKB (KKB ENGINEERING BHD), recommended on 1 Jul 18, initial price was RM0.795, rose to RM0.94 in 7 months, total return is 18.2%

e) BAUTO (BERMAZ AUTO BHD), recommended on 14 Oct 18, initial price was RM1.89, rose to RM2.19 (dividend RM0.0375) in 3 months 17 days, total return is 17.9%

f) GBGAQRS (GABUNGAN AQRS BHD), recommended on 16 Dec 18, initial price was RM0.80, rose to RM0.905 in 1 month 15 days, total return is 13.1%

g) ELKDESA (ELK-DESA RESOURCES BHD), recommended on 18 Nov 18, initial price was RM1.27, rose to RM1.30 (dividend RM0.035) in 2 months 13 days, total return is 5.1%

I wish to share my strategy to readers, hope that they can perform well after reading this. I am using Fundamental Analysis:

the forecasted growth of a company must > 14% per year

I wish to convince readers to learn FA in order to make money from stock market.

I am providing STOCK PICK SERVICE for readers who want to make money from Malaysian stock market. Those who want to subscribe to my mailing list to achieve a good return from stock market, you can contact me at jamesngshare@gmail.com or PM me in my FB page https://web.facebook.com/jamesshareinvest/

In order to facilitate the query of the company and stock picking articles and videos I have written, an index has been produced. Everyone can find company and stock picking articles and videos from https://web.facebook.com/jamesshareinvest/posts/2188967218036687 by date.

James的股票投资James Share Investing Blog: https://klse.i3investor.com/blogs/general/

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James Ng