Posted by cwc1981 > 2022-01-06 15:44 | Report Abuse

For dividend income only

Posted by tonywong8 > 2022-01-06 17:45 | Report Abuse

KUALA LUMPUR: YTL Power International Bhd (YTL Power) can still maintain a dividend per share (DPS) payout of 5.0 sen, despite the massive capital expenditure (capex) needed for its upcoming data centre park, which will likely cost around RM10 billion to RM12 billion, Affin Hwang Capital said.

Affin Hwang said this provided that the data centres would be built in phases and YTL Power still has a cash balance of around RM6 billion on its balance sheet.

It said YTL Power intended to develop the 664 hectares it recently acquired into a data centre park, with 300 megawatt (MW) of green data centre capacity and 500MW of solar power by 2030.

"We believe that YTL Power's intention in acquiring Dodid Pte Ltd is to leverage on their expertise in the development of green data centres, as they currently own a 12.5MW Tier 3 data centre in Singapore.

"Management intends to secure long-term anchor tenants for these data centres before they start building. We believe that this could also help YTLP to secure better financing terms and reduces the cash outlay," it said in a note today.

However, Affin Hwang said it had yet to factor in any preliminary earnings or value contribution from the development, as YTL Power had yet to sign up sufficient anchor tenants to kick-start the project.

Affin Hwang said YTL Power was forced to seek new avenues for future earnings growth, as more countries had started to put in place a timeline to achieve net zero on carbon emissions, demand for conventional coal-fired power plants is on the decline.

"Major financing countries such as Japan, South Korea and China have also indicated that they will stop providing loans to new coal-fired power plants.

"Hence, there is a high likelihood that YTL Power's 80 per cent-owned 1,320MW Tanjung Jati A coal-fired power plant in Indonesia is unlikely to achieve financial close in the near term," it added.

Posted by cwc1981 > 2022-01-06 21:34 | Report Abuse

Good and bad. But confidence the management should already forsee and have counter measures

Posted by tonywong8 > 2022-01-07 12:55 | Report Abuse

Ytlpower, Jordan power station already in operation and expected revenue per annum is Rm700 millions(Based on 45% of revenue) and profit of Rm120 millions. Turnover of Rm3.5 billions last quarter, expected to increase further to Rm4 billions by 3rd quarter. Yearly revenue of Rm15 billions will be achievable.

Posted by tonywong8 > 2022-01-07 20:52 | Report Abuse

Ytlpower, 2022 turnover will be around Rm15 billions which will be 3rd highest after 2012 and 2013. After 8 years of dropping in revenue, business in utilities at singapore, YES in Malaysia and power supply in Jordan come with shale oil supply to power station, revenue will return to record level.

However, rate of earning(ROE) has yet returned to previous level and expected to go up in coming years.

YTLPower market value is only Rm5 billions @Rm0.63. Turnover of Rm15 billions.

Posted by tonywong8 > 2022-01-08 09:20 | Report Abuse

1% increase in ROE equivalent to 3% increase in earning. The management should look into how to improve the ROE by cutting cost and improve quality services.

Posted by cwc1981 > 2022-01-13 14:52 | Report Abuse

Just curious. Does YTL Power's Data Center in Singapore will benefit from Metaverse?

Posted by KINGV > 2022-01-17 11:49 | Report Abuse

YTLP in Singapore should perform very well in the power sector for the next few quarters assuming all things remain the same.

YTLP power capacity in Singapore is large relatively to her share of power capacity in other regions. Seraya power is about 3100MW while TuasSpring is about 400MW which when combined is about 3500MW. The acquisition timing of TuasSpring is good considering the price paid for and when prices of natural gas and electricity tariffs in Singapore were low relatively.

In Singapore the prices of natural gas and electricity tariffs have high positive correlation. Electricity tariffs charged to consumers has fuel price as the major component besides others. When natural gas price goes up so will electricity tariff. Power plants would have locked in prices of future contracts in natural gas. Generally when prices of natural gas goes up ,power plants will have better earnings since the electricity tariffs will also go up.

The other point to note is that the safety excess capacity/reserve margin of electricity in Singapore is falling to more realistic levels which is good for operating power plants.

Posted by nkk0819 > 2022-02-04 15:48 | Report Abuse

Pick up some at 0.605

Posted by calvintaneng > 2022-02-08 18:51 | Report Abuse

Ytlpower a surprise

sell assets in Australia can get 27 sen profit

Posted by cwc1981 > 2022-02-08 18:52 | Report Abuse

YTL power to suprise

Posted by calvintaneng > 2022-02-08 19:23 | Report Abuse

Ytl power paid up capital Rm5 Billions (60 sen)

Earns Rm2.214 Billions or 27 sen?

Just amazing

Posted by StartOfTheBull > 2022-02-08 21:34 | Report Abuse

No more 60c tomorrow.

Posted by calvintaneng > 2022-02-08 21:37 | Report Abuse

Posted by StartOfTheBull > Feb 8, 2022 9:34 PM | Report Abuse

No more 60c tomorrow.

Sure!

If P/E 10

then should be Rm2.70

Posted by 888STOCK888 > 2022-02-09 01:40 | Report Abuse

I cut loss on this stock, once you see how YTL privatised its subsidiaries, you'll know this stock will not rise back to its previous glory... All glory to YTL

Posted by StartOfTheBull > 2022-02-09 06:32 | Report Abuse

I bet to differ. The one off gain only increase its NTA, it cannot be applied to calculate its PE ratio.

Posted by calvintaneng > 2022-02-09 09:11 | Report Abuse

Ytl privatised Ytl cement at Rm5.00 when Calvin bought at only Rm2.20

Posted by JacLow > 2022-02-09 09:15 | Report Abuse

Lol.. Again toking privatised.. For 5 yrs in this forum.. I hear until become uncle.

Just hope got special div.

Posted by wallstreetrookie > 2022-02-09 09:16 | Report Abuse

Earnings returned to 2015 highs present a solid opportunity for defensive plays. Long term price target of RM1.40.

Posted by wallstreetrookie > 2022-02-09 09:18 | Report Abuse

Regardless of privatisation, YTL Power International Berhad is indeed a strong buy right now.

Posted by jimjim111 > 2022-02-09 10:18 | Report Abuse

I am surprise YTLP make so much profit from the disposal, with the electricity price keep increasing and shortage, YTLP is in the very good position, example in Singapore, the contracted price from Genaco(YTLP) is up from 18sgd cents (one year ago) to 25sgd cents, and still many businesses are not able to have this rate as the energy company do not want to sell them in this price ...

Posted by newbie8080 > 2022-02-09 11:00 | Report Abuse

MD already commented gains will be deploy back to biz.

YTL Power group managing director Datuk Yeoh Seok Hong (pic) said the disposal allowed the company to realise gains from a mature investment, optimise the balance of assets in its business portfolio and increase the flexibility to deploy its cash reserves towards viable new ventures that complemented its existing businesses.

Posted by dragon328 > 2022-02-09 11:20 | Report Abuse

Electranet contributed about AUD23.9m profit after tax to YTLPI every year, hence the disposal of Electranet at RM3.057 billion values it at 42x PER.

The 100%-owned Wessex Waters contributes about RM500 million profit after tax to YTLPI every year. Just imagine valuing it at the same valuation of Electranet will give Wessex a value of RM21.2 billion or RM2.62 per share of YTLPI.

The 100%-owned PowerSeraya contributes about RM300 million profit after tax for YTLPI every year. Using the same valuation will give a value of RM12.6 billion of RM1.55 per share of YTLPI.

Not mentioning of other assets like the 45%-owned Jordan new power plant that will contribute over RM100 million profit every year after commercial operations later this year and potentially the proposed 500MW solar power plant at Kulai, YTLPI is deeply undervalued.

Posted by dragon328 > 2022-02-09 11:24 | Report Abuse

minus out the nett debt of RM21.6 billion, YTLPI should be worth at least RM21.2 bn + RM12.6 bn - RM21.6 bn = RM12.2 billion or RM1.50 per share.

Posted by dragon328 > 2022-02-09 11:34 | Report Abuse

If no further disposal of assets, YTLPI earnings are expected to rise from RM399m (EPS 5.0 sen) in FY2022 to RM638m (EPS 7.9 sen) in FY2023 and RM727m (EPS 9.0 sen) for FY2024 according to projections from Maybank IB.

These include contributions from the new Jordan power plant that will post earnings of over RM100m in first full year operations and increasing every year to as high as RM500m few years later as external debts are pared down and interest costs coming down.

PER valuation is going down to 7x and dividend yields at 7.5% assuming dividends maintained at 5.0 sen going forward.

With capex for Jordan power plant is coming to the tail end, free cash flows will improve as Jordan contributions pour in. There is a potential for dividends to improve to 6.0 sen in FY2023 and 7.0 sen in FY2024 pegged at 80% profit distribution.

Posted by dragon328 > 2022-02-09 11:43 | Report Abuse

You may think this is a one day show only. The share price is strong today on knee jerk reactions to the disposal news. But it could be the start of a strong re-rating phase that may push it to the RM0.90-1.00 level in next few months, especially once its Jordan power station achieves commercial operations.

If dividends improve to 7.0 sen by FY2024, it will not be a surprise for share price to catch up to RM1.00 still based on a 7% dividend yield.

Posted by dragon328 > 2022-02-09 15:26 | Report Abuse

Some may think that YTLPI earnings may drop after the disposal as the associate's earnings of RM72m a year will be gone, but in fact YTLPI net profit will increase due to lower interest costs.

YTLPI will receive cash of RM3.0 billion after disposal, which will help to reduce nett borrowings. If average interest cost is 5.0% p.a., then the disposal proceeds will help to reduce interest cost by RM150 million a year. If interest cost is 4.0% p.a., then annual interest cost saving will amount to RM120 million which will be higher than the earnings contribution from Electranet.

Posted by tonywong8 > 2022-02-09 16:16 | Report Abuse

花4亿买回5%自己的股票，可以推高股价来回馈股东。大家都在公司亏了不少钱。

Posted by dragon328 > 2022-02-09 17:27 | Report Abuse

I reckon that YTLPI could use RM810 million from cash proceeds to pay a special dividend of 10 sen per share, then remaining RM2.2 billion to pare down debts and reduce interest costs by RM100 million a year (still higher than the associate earnings of RM72m).

Share price should surge to at least RM0.72-0.75 in near term.

Posted by dragon328 > 2022-02-10 09:41 | Report Abuse

Take profit lah and sell to 0.63 for me to pick up more.

This is not a penny goreng stock. It will attract institutional funds to buy for long term investments. Weak holders and speculative retailers may take profit for 3-5 sen tiny profit and will likely miss out on the next explosive rerating moves.

Posted by winlast > 2022-02-10 13:26 | Report Abuse

it with going up soon to RM 70 cent ,just be patiently waiting ,cheer YTL power

Posted by Nkk1370 > 2022-02-12 19:24 | Report Abuse

Time for the Board to reward the faithful minority shareholders with some decent dividend

Posted by KINGV > 2022-02-13 12:18 | Report Abuse

Yes I think the board should consider a special dividend in light of the rare huge capital gain.

I do not wish to comment too much except to note that the Yeohs are well represented in the board and they have been well rewarded with a nice ESOS. They should also consider the minority shareholders interest when the time is right.

Posted by tonywong8 > 2022-02-13 16:43 | Report Abuse

我们跟着公司己经好几年了，公司的股价一路往南，我们没有放弃，反而一直加注它。现在，公司套现了澳洲的一笔生意，赚了一大笔钱，公司马上就出ESOS奖励大股东和职员，而我们小股东，希望公司能考虑一下，我们的一份。

Posted by cktay > 2022-02-13 20:46 | Report Abuse

Price : 64s
NTA : RM1.59
Div Yield : 7.03
Market Cap : RM5.2b

This company may be one of the most undervalued companies on bursa. The exceptional gain of RM2.2b from just one investment, the sale of its stake in ElectraNet already is almost half its capitalization.
Even Forbes took notice of it.
https://www.forbes.com/sites/jonathanburgos/2022/02/09/malaysian-tycoon-francis-yeohs-ytl-power-sells-stake-in-australian-electric-utility-for-717-million/?sh=1aac0a3e4a33

Posted by cktay > 2022-02-13 20:48 | Report Abuse

Why it is not distributing the cash is because it is investing to create future value ….
The company is developing a large scale solar farm with an electricity generation capacity of 500 megawatts in the Kulai Young Estate in the southern Malaysian state of Johor (bought from BousteadPlant). The facility is located about 60 kilometers north of Singapore (very close actually), a key market for YTL Power.

Posted by cktay > 2022-02-13 20:49 | Report Abuse

How big is 500 megawatts?
… as of March 2021 the government shortlisted 30 winning bidders with a combined capacity of 823MW … expected to enter into commercial operations in 2022 and 2023 … expect solar capacity to reach over 4GW by 2030, from an estimated 996MW as of end-2020
https://www.mida.gov.my/mida-news/solar-power-market-to-see-stronger-growth/
So many companies to share 823MW, but YTLPower gets 500MW in one go (because it is aim for export to Spore)

Posted by cktay > 2022-02-13 20:49 | Report Abuse

Singapore plans to import up to four gigawatts (GW) of low-carbon electricity by 2035, or about 30% of its total supply to diversify supply and boost energy security according to Trade and Industry Minister Gan Kim Yong.
(Singapore consumed a total of 25.9 TWh of electricity
About 95% of Singapore’s electricity is generated from natural gas, though it plans to ramp up sources of renewable energy (to 30%??)

“two-year trial to import 100 megawatts (MW) of electricity from Peninsular Malaysia” … existing interconnector….expected to commence in early 2022,” said EMA … Utility YTL PowerSeraya said it has been appointed as the electricity importer for a two-year trial to import 100MW of electricity from Malaysia through existing interconnectors … PowerSeraya is licensed to generate 3,100MW and it sits on Jurong Island –Singapore’s oil, gas, and petrochemicals hub.

Posted by cktay > 2022-02-13 20:49 | Report Abuse

DATA CENTRE
YTLPower acquired a 12.5MW green hyperscale data centre inSingapore, in line with the aim to expand its data centre presence in SEA …. YTL Data Center Holdings Pte Ltd (YTL DC) has completed the acquisition of Dodid Pte Ltd … Dodid is a green and state-of-the-art facility that serves the largest hyperscale customers in Asia … YTL DC is also working closely with YTL PowerSeraya, Singapore’s second-largest power producer, and its retail arm Geneco on green energy solutions to enable the data centre to be run on renewable energy … YTL DC is working on a pipeline of projects to roll out 300MW of green data centre capacity regionally by 2030 …. sustainable data-driven ecosystems powered by renewable energy, which will help meet the region’s growing appetite for cloud-based solutions and services. “With YTL’s deep expertise in key telecommunications (YES) and electricity markets in Singapore, Malaysia and Indonesia, we are able to extract synergies from across the YTL Group’s core businesses to bring cost efficiencies and long-term value to customers,” said Yeoh.

Posted by cktay > 2022-02-13 20:50 | Report Abuse

In a high inflation climate with interest rates going up, there may be a switch to value stocks / and defensive stocks like Utilities, if war breaks out.
Nasdaq is presently down 11% from its peak in 2022. But maybe EPF’s analysts / fund managers still think that it is still better to invest in Facebook (Meta) and Tesla, hence YTL Power’s price has been stuck in a down trend ever since.

Posted by investor6688 > 2022-02-18 10:14 |

Post removed.Why?

Posted by investor6688 > 2022-02-18 10:18 |

Post removed.Why?

Posted by cwc1981 > 2022-02-21 15:28 | Report Abuse

Going to partner Shoppee for digital banking license

Posted by somo1 > 2022-02-22 16:42 | Report Abuse

Not really. It's YTL Corp doing the partnering.

Posted by cwc1981 > 2022-02-23 10:24 | Report Abuse

opps. not sure but mentioned in the HLIB research dated 9th February 2022.

Posted by somo1 > 2022-02-23 11:32 | Report Abuse

They're being careless.

Posted by investor6688 > 2022-02-23 11:59 |

Post removed.Why?

Posted by lawpc128 > 2022-02-24 12:44 | Report Abuse

Quarterly results tomorrow - good or so so.......?

Posted by observatory > 2022-02-24 21:03 | Report Abuse

How to value the individual parts of YTL Power?

All analysts use SOTP method. But while their TPs are not too far apart, the valuation they attach to each business varies enormously.

For example, in Maybank 26-Nov-2021 report, Wessex contributes 75% and Jawa Power 18% to the total equity valuation (before debts and discount applied)

In Kenanga 9-Feb-2022 report, Wessex is 77%, and Seraya 12%

In Hong Leong 9-Feb-2022 report, Wessex only 17%, Power Seraya 32%, Tanjung Jati each 17%.

In RHB 9-Feb-2022 report, Wessex is 54%, Power Seraya 25%

It seems there are a lot of guesswork.

Posted by dragon328 > 2022-02-24 21:50 | Report Abuse

The assets owned by YTL Power are all long term cash generating units, eg. Wessex and PowerSeraya hold perpetual licence, Electranet with 200 years licence, Jawa Power 30 years PPA, Jordan 30-40 years.

The largest earnings contributor currently is Wessex Waters, so naturally it should contribute the bulk of the SOP valuation to YTLPower. Wessex is a regulated asset in the UK and hence has a Regulated Asset Base valuation agreed with the regulator. Market valuation is usually at a substantial premium to the RAB.

One good example is Electranet which is itself a regulated asset in Australia. YTLPower just sold off its entire stake in Electranet at a huge premium to RAB.

So valuation can vary to a large extent. What I know is that the market valuation of Wessex alone is way higher than the market cap of YTLPower.

Since SOP is hard to determine, so I fall back to cash flow valuation. The free cash flows of YTLPower are so strong that it can declare 5.0 sen dividends every year yielding 7.5%.