歐美明年降息機會大，屆時美元指數下降，原物料行情將走揚，若俄烏與以巴戰爭結束，只要戰後重建題材浮上檯面，「明年可能用噴的，我很有信心」。

Eastern steel recent newly expansion second phase blast furnace, have increase 3 fold slab steel production volume. Most of slab steel are for export oriented, mainly export to Turkey and new market in Mexico, which is under north American free trade zone.

Export Slab steel is use for oversea mid stream HRC production, which in turn import back to Malaysia.

Next year, Sept, eastern steel will have own HRC mill, therefore, able to increase value chain, supply own HRC to meet all Malaysia demand

Eastern steel is Malaysia sole slab steel producer, slab steel is upstream flat product, a key raw s
material for midstream HRC production.

近期大陸熱軋漲到人民幣4,000元以上，再也沒有回頭，顯示根基打得穩；由於大陸鋼價有撐，東南亞鋼市也挺住，價格止跌向上；美國行情更如同井噴般暢旺，美國熱軋底材二周來每公噸漲200美元，價格好、訂單量也多，燁輝一直接單

鋼市內需轉熱 掀起提貨潮…中鋼訂單量衝18個月高點

中鋼因應下游追單，積極規劃提升內需供應量，但當前看來，仍供不應求。業界認為，此舉將牽動明年鋼市量能，直接影響中鋼明年首季產銷。近期，中鋼業務副總劉敏雄鐵口直言「明年鋼市用噴的」，下游大戶的下單是否積極，將是最關鍵指標，值得後續關注

Don forget can entitle RM5 dividend first in Jan while waiting real boom profit in next Q result

Next Q result

1. 3 fold increase capacity from eastern steel start to contribute
profit

2. USD index ease, RM regain strength

3. Current steel price uptrend

4. Major infrastructure to begin start next year, namely penang LRT, johor LRT, MRT3, HSR

5. Eastern steel HRC to begin production in Sept 2024

Steel price uptrend only begin Nov, and positive increase selling price will reflect in next Q. Upcoming infrastructure such as LRT pPenang, LRT johor, MRT3, HSR will serve major catalyst for steel demand forward

Hiaptek 3 fold increase in slab capacity is yet to unleash as maiden production only begin in Oct 2023. It will only able to reflect in next Q result.

In additional, the adverse impact on currency will revert to favorable impact as USD strength currently diminishing , RM will regain strength forward

added last batch hiaptek at 39-39.5sen to average

Accumulated at 1.18-1.20, I happy now become one of the top 30 largest PBA shareholder.

I happy become one of the top 30 largest PBA shareholder now, accumulated 1.18-1.20, rank above 25 if based on PBA latest annual report

https://www.thestar.com.my/news/nation/2023/12/10/suggested-mechanism-for-new-water-tariffs-to-be-brought-to-cabinet-next-week

Steel price just breakout 4000 per tonnes

based on the internal agreement, ESSB plans to distribute 30% of its profit as a dividend, says Law, and this could start as early as 2025.

“Our capacity expansion will lead to multifold growth in ESSB’s revenue, with significant cost savings arising from the greater economies of scale. Hiap Teck looks forward to much greater contributions from ESSB in the immediate future,” he adds.

added more at 41.5-42sen

Law said from next year onwards, ESSB’s product focus will shift to the production of HRCs, which are widely used in downstream products such as CRCs, galvanised and pre-painted steel coils, welded steel pipes and tubes for industries such as manufacturing, automotive, electrical and electronics, oil and gas, and shipbuilding.

It is learnt that Malaysia’s demand for HRCs in 2022 was around two million tonnes, which was mainly met by imports that reached RM6 billion in value based on the current exchange rate.

Law said that ESSB aims to bridge the gap by producing 2.7 million tonnes of HRC a year.

“We will be the only HRC producer in Malaysia,” Law told reporters at a press conference before the Phase 2 project completion ceremony here on Wednesday.

In Malaysia, ESSB is the sole producer of steel slabs — a core ingredient in the manufacture of steel plates, HRCs and cold rolled coils (CRCs).

Hiap Teck's Eastern Steel to shift product focus to hot rolled coils next year

https://theedgemalaysia.com/node/689303

Eastern steel already expand long steel production 3 fold in last Aug 2023. It is now inject more capital to build flat steel HRC to be complete by end next year

bought back hiaptek at 42.5sen

Cash is piling high every quarter. Wait for final Q4 to announce first and final dividend.

Capital commitment for new land acquisition can easily fulfil by free strong cash generated every quarter.

Recurring income from its investment portfolio like mall, hotel, car park are steady increase, reap more than RM 100m net cash annually

location location location determine sellable properties project

Such strong EPS and net cash position deserve higher valuation at least PE 5x compared to current just PE 3x, upside potential is awaiting to unleash

Every quarter KSL reap strong positive cash flow from properties development and properties investment portfolio, replenishing cash hoard use for land acquisition without need to get bank borrowing. Internal fund is more than sufficient to buy earning accretive land

Matched also all order at 60sen

added more at 60.5sen

sold back 1.93

Good Q2 result

Unlike Q1 EPS due to forex gain, latest Q2 EPS is solid from properties development progress billing and hotel

Hotel room record increasing room rate and occupancy and upcoming high class is landed properties at reclaim island

bought at 59sen

Capitalisation rate, indicates the income a property asset is expected to generate versus how much it cost

Assuming a cap rate of 5.5%, KSL current investment properties generate more than RM 100m could therefore fetch RM2 billion, which represent 1.8 times its current market capitalisation,

Capitalising investment properties on the REIT investment theme is a huge catalyst for the company as KSL can park its properties investment income under tax rate 10% instead of company holding level at 25% tax rate on condition at least 90% income from REITS payout as dividends

Take note KSL properties investment like mall and hotel are highly profitable, reap more than RM 100m net profir annually. These profitability is expect to increase higher with newly open Esplanade mall and hotel.

if opt REITS listing , KSL can unleash even higher value to its NTA. Through REITS listing, KSL not only can maintain majority stake, but also can enjoy tax benefit 10% instead of current 25%. The REIS listing can therefore fetch as much RM 2 billion based on 5.5% yield, These REITS listing if materialize at RM 2 billion is 80% higher than entire KSL market cap now only at RM 1.2 billion

bought suncon at 1.89-1.90

Impossible to privatize at RM 1.2 vs. NTA RM 3.5 as privatization need 90% minority acceptance before takeover can materialize.

While, privatize to based on NTA is hard, but, composition of KSL NTA is highly liquid include 2 mall, 3 hotel, and prime land in Johor especially pulai near skudai which easy accessible to upcoming RTS link. As much as 40sen/share in NTA is also form by cash.

bonus share, dividend or privatize?

It also imply that once Myeg establish Zetrix blockchain platform, any sale of zetrix token is almost PURE PROFIT. The more these zetrix digital token sale, the higher profit

The increase in Revenue of RM9.25 million and PAT of RM8.75 million was
primarily due to: i) contribution from our Zetrix blockchain platform; and ii) contribution from the sale of Zetrix tokens implying zetrix business fetch indeed super high profit margin >90% !!!!

ready to fire up

Added for last batch ksl at 1.15

Director deserve salary and entitle remuneration in line with increasing company growing net asset.

It is far better than award cheap share option or free share incentive to directors or discount private placements which are highly dilutive to EPS and at expense to minority shareholders interest.

As the long overdue esplanade mall and esplanade hotel, drag and delay 2 year due to covid have finally completed and operation now in Feb for hotel and mall open in May to generate another stream of investment properties income, shareholder can expect tailing end major capex, increasing free cash flow forward and resume dividend for fy 2023 and can expect bonus share anytime now.

KSL massive capex on KSL Esplanade mall and KSL esplanade hotel have over as mall and hotel both already completed and operation since May and fed 2023 respectively.

Therefore, aside normal yearly land replenishment to keep its total landbank siza at around 2500 acres, there is no major capex forward.

KSL now have huge reserve and in net cash position of 40sen/share. It is therefore normal for KSL to resume bank dividend policy these year and due to declare bonus share to capitalize on its huge reserve.

locked all profit

added more myeg at 80sen

sold more at 46.5sen

:D)

bought back myeg at 79sen

sold some at 46sen

bought uems at 78.5-79sen

sold at 62sen

sold at 55sen