Posted by KC Loh > 2012-11-21 05:42 | Report Abuse

Well, maybank seems to think their earning upliftment is probably from winning petronas wholly owned osv tender. Hmm...good luck then. I guess anything goes! :)

Posted by KC Loh > 2012-11-21 06:06 | Report Abuse

Still same 38 old vessels as confirmed by cimb last report?

And I am not sure if its the same maybank analyst that wrote this :
Recovery hampered by cash shortage? Alam is increasingly dependent on associate and JV earnings, which made up 93% of 1H12 pretax profits. PBT was driven at the JV level by both higher OSV utilisation (est. 80-85%; PBT MYR16m +131% YoY) and initial OIC contributions (PBT MYR5m). While the associate/JV structure is part of Alam’s strategy, we feel that the lacklustre performance of its wholly/majority-owned operations severely underscores the need for a drastic fleet replacement, which Alam lacks the funds to undertake. Maintain HOLD. While downside operating risk is limited, upside catalysts are hazy. Its capacity to grow remains constrained by its stretched financing (including off-balance sheet JVs, gearing is estimated at 1.5-2x). We maintain our forecasts, expecting 2H to be stronger as we understand Alam will recognise another MYR15-20m in IOC profits as existing jobs hit completion milestones (order backlog: MYR110-120m). While 2012 is likely to witness a turnaround at Alam, we doubt there remains much room for further earnings growth in the coming years without a thorough fleet renewal plan.

Then source is stated somewhere in my august postings. To be read with the now ceased hwangdbs coverages

Posted by lotusf1 > 2012-11-21 06:49 | Report Abuse

You cant ballon your balance sheet by incerasing new fleets unless fresh jobs on your door ; also,strong earnings with high gearing on their backs is again not positive.

Posted by KC Loh > 2012-11-21 07:11 | Report Abuse

The immediate revenue is the 50mn pipe laying job. That should help their balance sheet somewhat. Job lasting only one month. Other two jobs are marine osv support, but by other non -petronas? firms and with longer duration.. but I am still trying to find indication petronas will look favorably on Alam. The last cimb report still indicates a fleet of 38 vessels only showed no indication of fleet renewal. Fleet utilization is already 80%,so I am expecting some management of time / utilization juggling, if ever!

Question now is, how many in the fleet does their associate has (which probably has newer vessels - but is this registered with Petronas?) And with such stretched capacity and still tendering for JV jobs in middle east and north America, can they really secure Petronas tenders? Ali baba? Questions which investors should research!

Posted by usry > 2012-11-21 07:23 | Report Abuse

This means we should avoid this company temporary as fundamental uncertainties..

Posted by KC Loh > 2012-11-21 07:36 | Report Abuse

Not necessary. It seems the maybank analyst (s) are confused from their write up. They may have confused me also in the process. But I am just advocating research from facts given. You guys can continue from there! That's where homework is important. If not, may just end up grasping at straws!

Posted by lotusf1 > 2012-11-21 08:34 | Report Abuse

Mostts anaylsts were overweight on OIl n Gas sectors -; think ,futures on these oil gas stocks are ok n prmising too.Our banks too,registered good performances ,and impottantly they were insulated from European risks exposures !

Posted by weechin53 > 2012-11-21 09:42 | Report Abuse

KC Loh that means we have to avoid going into it for the time being?

Posted by KC Loh > 2012-11-21 09:54 | Report Abuse

I would avoid for now. The good news factored in. Unless you guys know for sure petronas tender is really coming, then you bet accordingly.

Just protection of capital on my part with the price lately sliding!

Posted by tcleng > 2012-11-21 10:20 | Report Abuse

more buyers are in...

Posted by Erica > 2012-11-21 10:23 | Report Abuse

suddenly up...up....

Posted by Erica > 2012-11-21 10:24 | Report Abuse

any news coming??

Posted by usry > 2012-11-21 10:27 | Report Abuse

suddenly spike..

Posted by rogerlim > 2012-11-21 10:31 | Report Abuse

quite a surprise....

Posted by loiteckyew > 2012-11-21 10:34 | Report Abuse

yeah~ up up up

Posted by hlpang > 2012-11-21 10:35 | Report Abuse

Yeah~

Posted by kevin > 2012-11-21 10:37 | Report Abuse

maybe rise before financial result out...good sign maybe.

Posted by Noraini Ismail > 2012-11-21 10:38 | Report Abuse

Broke immediate support 0.70
Superman Sudah datang. Up up & away!!!!!

Posted by KC Loh > 2012-11-21 10:40 | Report Abuse

when is Alam's next quarterly announcement?

Posted by Erica > 2012-11-21 10:41 | Report Abuse

maybe within this month...

Posted by KC Loh > 2012-11-21 10:42 | Report Abuse

will be good earnings because of the 50mn pipe laying work!

Posted by buybackma > 2012-11-21 10:43 | Report Abuse

perisai moves Alam said , I Followwwwwwwwww ... fullawei

Posted by tcleng > 2012-11-21 10:48 | Report Abuse

REPORT WILL BE OUT TOMORROW... ALL oil & gas counters running up now. Wish it will break 0.72 today

Posted by KC Loh > 2012-11-21 10:48 | Report Abuse

no wonder! :)

Posted by Noraini Ismail > 2012-11-21 10:51 | Report Abuse

Alamak superman taking a break "ciak teh" pulak......

Posted by willyy > 2012-11-21 10:55 | Report Abuse

0.7 can in now?

Posted by usry > 2012-11-21 10:59 | Report Abuse

Wait my Q at 0.695.. hope will done it before lunch break..

Posted by Klsenewbie > 2012-11-21 11:14 | Report Abuse

It's now 0.695

Posted by excelyou > 2012-11-21 13:19 | Report Abuse

Alam will annnouce more project soon from Petronas or SapuraKencana.

A fund manager started to accumulate since last week.

Market talk, Alam will reach RM0.78 in near term.

Posted by usry > 2012-11-21 13:21 | Report Abuse

I got my ALAM at 0.695.. will keep it until my target reach.

Posted by Matsaham Mashuk > 2012-11-21 13:23 | Report Abuse

Nice--)TP1.25 by OSK. Wait T+3 for confirmation.Smile--)

Posted by willyy > 2012-11-21 13:24 | Report Abuse

excelyou ，thanks

Posted by excelyou > 2012-11-21 13:27 | Report Abuse

After SapuraK, Perisai, Perdana up since last few months, Alam should be the next counter after O&G sector is so positive.

Posted by tcleng > 2012-11-21 13:58 | Report Abuse

i support you excelyou...

Posted by tcleng > 2012-11-21 13:59 | Report Abuse

0.78 should be easily touch below RSI still at low

Posted by Erica > 2012-11-21 14:06 | Report Abuse

Yesterday Sin Chew also publish ALAM maybe get more project in near future.....

Posted by peter123 > 2012-11-21 14:08 | Report Abuse

All are good news about ALAM. How come it moves a bit only?

Posted by tradersam 56 > 2012-11-21 14:25 | Report Abuse

Moving a bit is better than none or goin down! Patience bro peter123.

Posted by Wong Yi Shen > 2012-11-21 14:33 | Report Abuse

huhuhu...i'm joining u all here....let my lucky cat bless u all...kekek

Posted by peter123 > 2012-11-21 14:39 | Report Abuse

ok i give my support at 0.695

Posted by excelyou > 2012-11-21 15:09 | Report Abuse

Besides the domestic tenders, ALAM latest JV entity in Saudi Arabia is also seeking for new works. However, investment bankers have not imputed any earnings contribution from this new JV entity given that it is still in the preliminary stage. This JV company was incorporated to undertake projects providing marine construction-related and marine services in Saudi Arabia.

Posted by excelyou > 2012-11-21 15:13 | Report Abuse

ALAM could be a sub-contractor for works to SapuraK who won the Inspection, Repair and Maintenance (IRM) contract worth RM700m from Petronas Carigali, where we foresee a rental income here for ALAM's diving assets.

However, the company is still busy with other Inspection, Repair and Maintenance (IRM) bidding as well, with each contract value ranging from RM200m-RM300m.

Posted by Ho Lee Man > 2012-11-21 15:22 | Report Abuse

excelyou
How many shares you hold in Alam ?

Posted by excelyou > 2012-11-21 15:31 | Report Abuse

Few thousand.

Posted by KC Loh > 2012-11-21 15:33 | Report Abuse

no wonder.... LOL

Posted by koyokui > 2012-11-21 15:38 | Report Abuse

go alam go.hari ini hari minyak.kahkahkah.memang bende ni penting pon.hari hari aku pam minyak

Posted by Ho Lee Man > 2012-11-21 15:43 | Report Abuse

I have close to 600,000 Alam shares.
I collected at 0.61 ,0.635 and 0.65sens
I remember asking KC on this counter a month back.
I m waiting to unload soon after their quarterly report

Posted by KC Loh > 2012-11-21 15:45 | Report Abuse

must have given you bad advice, Ho Lee Man.... :(

Posted by minitrader > 2012-11-21 15:46 | Report Abuse

fatt tatt lo..

Posted by excelyou > 2012-11-21 15:56 | Report Abuse

Nice HLM.