First of all, thank Sslee for his afford writing to the co.
Q1: Net Profit; RM 13,069,000: Net profit to shareholder: RM 7,298,000 (55.84%) Q2: Net Profit; RM 13,091,000: Net profit to shareholder: RM 9,051,000 (69.14%) Q3: Net Profit; RM 17,941,000: Net profit to shareholder: RM 8,521,000 (47.49%) Q4: Net Profit; RM 21,995,000: Net profit to shareholder: RM 5,710,000 (25.96%)
Analysis, HQ overhead, Q4: RM13.7m, the other 3Q= 28.1m-13.7 = 14.4m (Avg = 4.8m per Q, however, from the NP and NP to shareholder, is believed that Q3 weighted heavier than the first 2Q. HQ overhead jumped drastically in Q3 and Q4.)
In short, for Q4, HQ overhead + interest expenses = 22.9m, while the profit attributed to shareholder merely 5.71m (1.356% over revenue 421.1m)
From Q4 report, The profit attributable to ordinary equity holder of the parent for the current quarter decreased by RM2.8 million from a profit of RM8.5 million in quarter 3 FY2021 to a profit of RM5.7 million mainly due to donation and corporate social responsibility works of approximately RM1.5m million and stamp duties of RM0.5 million.
BUY, new SOP TP of MYR0.66 from MYR0.76, 35% upside, c.4% yield.
We expect a stronger FY22F earnings growth of 32%, partly driven by the revenue streams from the services segment, ie Ranhill Bersekutu and Ranhill Worley. We gathered that Ranhill Worley – together with Malaysia Marine & Heavy Engineering (MMHE MK, NEUTRAL, TP: MYR0.42) – was successful in a bid for Petronas’ parallel front-end engineering and design works for the Kasawari Phase 2 project,which should further support earnings. Potential rerating catalysts: i) Higher than-expected rate hikes for Ranhill’s Johor water operations, ii) positive outcome for its ASEAN expansion plans (ie source-to-tap water project in Indonesia), and iii) project wins related to water and renewable energy.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....