Company Update

We came away from Faber’s analyst briefing feeling positive on the company’s future growth. Maintain BUY with a revised  SOP-based  TP  of  MYR3.71  (from  MYR3.50,  18%  upside).  We  raise  our  FY15-17  earnings  forecasts  by 3.4%/6.3%/10.8% to include the recently-secured pavement structural overlay contract worth MYR80m and a one-off price increase in its recently-renewed HSS contract.

Source: RHB Research - 23 Mar 2015