Maintain BUY on WCT with a slight increase in our fair valueto RM3.05/share (previously: RM3.00/share) ' pegging the stock at an unchanged15% discount to its sum-of-parts value as we roll forward our valuation base toFY12F. 

' WCT reported FY11 results which were largely in line with expectations,coming in at between 2%-4% higher than both the street and our estimates.

' FY11 net profit rose 8% YoY to RM162mil. This was largely aidedby a pick-up in progress for some of its on-going projects and higherrecognition from its growing property investment portfolio.   

' On a sequential basis, construction earnings gained 49%QoQ on a step-up in progress for on-going projects. 

' WCT's order book trajectory is fast-improving. TheRM300mil Kota Kinabalu medical facility contract announced two days ago bringstotal new job wins to ~RM630mil within just two months into FY12F, and alreadysurpasses the RM187mil secured for the whole of 2011. 

' WCT's current tender book stands at RM4bil-RM5bil vs. outstandingorders of ~RM3bil+. About RM3bil of the tender book involves the Middle East(including the Oman expressway projects), with the balance comprising various localjobs.

' Key domestic bids include: (i) sub-contracting works forthe West Coast Expressway; (ii) station works for the Sg.BulohKajang MRT line;(iii) infrastructure opportunities within Iskandar Johor; (iv) Vale iron orefacility; (v) additional works at KLIA2; (vi) Langat 2; (vii) KL InternationalFinancial District (KLIFD); (viii) Gemas-JB double tracking; (viii) PenangTraffic Alleviation plan; and (ix) building jobs within the KL City Centre. WCT'snew property sales reached a record of RM400mil+ in FY11. Moving into thisyear, we gather that planned launches could be raised to ~RM1bil with apre-sales target  of ~RM700mil. Apartfrom its flagship Bandar Bukit Tinggi development, new launches would come fromMedini Iskandar, Bukit Jelutong and Paradigm office suites.    

' Despite the +13% increase in its share price ytd, WCT's valuationsare still compelling at FY12F-13F PEs of 11x-13x, still below its historicalpeak of 15x. Further valuation upside would come from future recurring incomefrom the KLIA2 integrated complex ' due by year-end (not included in our forecastyet).