IOIPG (5249): Financials Summary, Key Results, Growth

@Permutation, I am not good at reading technical charts, but purely looking at the short term chart with MACD still in the 38th day of dead cross, the short term chart indeed looks bearish.

But any bearish chart may change to bullish if the stock price stages a strong rebound like >10% in a day or 20%-30% within a week. I have no crystal ball to foretell when the chart will turn bullish.

I am more towards a fundamental investor, my strategy is always buy on weakness and add more when the share price goes lower than my initial purchase price, as long as the company fundamentals remain intact.

1 month ago

And do not forget a stock chart can be easily manipulated if the volume is not big enough.

A shortie can dump the share price to a level just to make the chart to send out a SELL signal, and the opposite is true.

1 month ago

@dragon328 if a rise in share price is not supported by its fundamentals, any gain would only be short term (unsustainable run); vice versa.

1 month ago

BTW, collected some at 1.97 today. All the best for those who stayed.

1 month ago

Permutation

@dragon, TQ

1 month ago

Eagle77

Next week 1.80 ⬇️⬇️⬇️🩸🩸🩸

1 month ago

raymondroy

5 up on friday positive sign indeed..... fundamentals intact thats the key (note : ignore eagle.... where ever he goes he is pessimistic, with no substance and data haish.... bottom feeder :)

1 month ago

Eagle77

1.50 coming ⬇️⬇️⬇️🩸🩸🩸

4 weeks ago

goody99

too bad it does not drop as severe as others

3 weeks ago

bullrun2025

@dragon328, what is the strategy now

3 weeks ago

The selling today and last Friday was done by foreign funds due to fears of a US recession coming and escalating conflicts in the Middle East. Intelligent reports suggest that Iran will strike on Israel as early as today itself, this to me is the biggest uncertainty right now.

The fear of US recession is not my biggest concern as there have already been signs that US economy is in a bad shape. While this may have big impact on US/regional stock markets and currency movements, I do not expect it to have any serious impact on IOIPG's business operations and its earnings prospects.

As I can see some foreign funds were selling on IOIPG (net sell of RM8m last Friday, today could be more), I will stay defensive and will accumulate more towards RM1.80 which is the lowest level of the year and the lowest entry cost of foreign funds.

3 weeks ago

As the deadline looms for IOIPG to hold an EGM to vote on the Shenton House proposal (by end Oct 2024), the management should have appointed an independent advisor to prepare a feasibility study report for minority shareholders to consider on the Shenton House proposal. I will wait for that report to be out and the date of EGM to be fixed to decide on next moves.

3 weeks ago

kkl123

Wake up IOI P
I sold simeprop. to support you here.

3 weeks ago

kkl123

Wake up IOI P
I sold simeprop. to support you here.

3 weeks ago

HLIB raises tp for IOIPG to RM3.60 today. Nice

3 weeks ago

Zazzyy

2PiCk bird appear just a black crow. don’t bother just chirping .

3 weeks ago

bullvestor

Why is it cheap

3 weeks ago

goody99

刘镇东：柔新若能合作好，就能带动大马第二次经济起飞
https://www.youtube.com/watch?v=p1DH-OOV4Cg

In the video, he also mentions what the government is trying to do:
- raising wages
- encouraging women to work to increase family income
- welfare reform to cope with aging society

3 weeks ago

mineduit44

IOI Properties’ high gearing may swell with Shenton House project; shares down though analysts stay bullish.😔

3 weeks ago

IOIPG has no issue of high gearing, it is more like certain parties' bad mouthing of the company's success in IOI Resorts City and Singapore CBD projects.

Assuming IOIPG acquires a 100% stake in Shenton 101, the acquisition cost would amount to SGD1.01bn, while net gearing is estimated to increase to 88.8% from 73.3% as at 31 Mar 2024. While there are persistent concerns among investors on the elevated net gearing level of IOIPG, I think investors should not be overly concerned about this. Firstly, IOIPG is expected to recognize substantial revaluation gains upon the completion of IOI Central Boulevard in September 2024, which should lower its net gearing. For instance, if IOICB is valued at the minimum SGD5.0 billion, IOIPG would book in a revaluation gain of SGD1.0 billion which will increase shareholders’ funds and reduce the net gearing ratio to 77% from 88.8%. A revaluation to SGD6.0 billion would lower the net gearing to 68%. Secondly, the group’s property investment and hotel assets are strong cash flow generators, which should help to service interest and debt repayments. For 9M FY2024, IOIPG registered almost RM250 million of segmental profits for its Property Investment segment. Added back depreciation charges of about RM50m, operating cashflows generated from Property Investment amounts to RM300m in 9 months, annualized to RM400 million. When IOICB is completed and tenanted out, potential gross rental income may top SGD200 million a year. Therefore, total rental income from investment properties may top RM1.0 billion a year.

2 weeks ago

Furthermore, when Shenton House is redeveloped and tenanted out, potential gross rental income may be about 503,000 sf x 80% NLA x SGD14.00 psf x 12 months = SGD68 million a year. At the same valuation of 3%-4% yield, Shenton House may be valued at SGD1.7b – SGD2.2b. Injecting Shenton House into the Singapore REIT would bring in cash proceeds of SGD850 million to SGD1.1 billion to IOIPG. This would bring down the Group’s net gearing ratio from 77% (assuming IOICB valued at SGD5.0b) further to 63%. If IOICB is revalued to SGD6.0 billion, then net gearing will fall further to 56%.

2 weeks ago

Kikilala3188

Yes dragon328, these are the likely scenarios on table now

And thanks to HLB for weekend publication, things are positive for coming 10-12 trading days until the next QR release with dividend payout before Shelton EGM

2 weeks ago

raymondroy

i guess ioipg will have little option than to accept the offer to take up shenton house deal, as otherwise CEO will be in an awkward position of being in conflict of interest with his day to day job, besides im not sure his private company will have the muscle to complete the job anyway (wonder how he won the deal in the first place?) .... wonder also if the handover will need approval from the original tenderer? although no doubt.... ioipg is a strengthened purchaser with the means of completing the job ..... so all thats starts well ends well I guess :-)

from earnings perspective next announcement will be an uphill task of meeting with YoY results of 235m profit.... and surely the FY2024 will not be able to beat FY2023 results.... gotta beware of this .... happy hunting

2 weeks ago

@raymondroy, I beg to differ on IOIPG's upcoming Q4 FY2024 result. IOIPG registered a headline net profit of RM235m in Q4 FY2023 due to some extraordinary gain of RM128m, striping out the EI, core net profit for Q4 FY23 was RM108 million.

I believe IOIPG's upcoming Q4 FY2024 will beat last year result in terms of headline profits as well as core net profit.

2 weeks ago

@dragon328, what is the impact on ioipg if ioi reits is formed?

3 days ago

This is a gem stock with nta rm 4 n low pe ratio of 14....im willing to hold long term.

3 days ago

Epf is buying big lately in this counter...something is cooking?

3 days ago

@myloh123, I have detailed the benefits and impact on IOIPG should it set up a REIT to house its assets in 3 categories:
1) first a commercial REIT in Singapore to house its prime office towers IOI Central Boulevard, then at later stage inject Shenton House into this REIT - total valuation over SGD5.0 billion for IOICB and SGD2.0 billion for Shenton House

2) a commercial REIT in Malaysia to house all its office towers and shopping malls, with IOI City Mall being the biggest asset, together with IOI Mall Puchong and the recently acquired Tropicana Gardens Mall - total valuation may be over RM6.0 billion

3) a hospitality REIT in Malaysia to house all its hotels - total valuation over RM2.0 billion

Please refer to my earlier article on IOIPG for more details

3 days ago

Ok tqvm🙏

3 days ago

VincentTang

Excellent qr. Limit up limit up...

3 days ago

kkl123

PE 5. now
Up to PE 10. Is fair price
RM 4

3 days ago

bullvestor

Why 1b profit

3 days ago

😱

3 days ago

Txs dragon328...perfect timing

3 days ago

Kikilala3188

And now decline Shenton acquisition

Means quicker move into reit?
https://theedgemalaysia.com/node/724672

3 days ago

The decline of Shenton House proposal is a good deed by IOIPG management and board of directors. The explanation given is just right as it would increase IOIPG gearing further to 0.89x.

Recall that IOIPG share price suffered heavy selling in the few days before the Shenton House proposal was announced, the share price dropped from RM2.50 level to RM2.00 level. Now that the proposal is rejected, the share price should at least climb back to RM2.50 level.

3 days ago

Kikilala3188

Yeah this brings the numbers back to required level; next is to push for REIT and lift further to 2.90-3.10

3 days ago

sg999

there is no banker control ioipg, beware on tmr might open high close low again, whole property sector is sinking now.

3 days ago

Agjl

Excluding fair value, PBT ard 84m. M i right?

3 days ago

Hi Dragon328, underlying PBT of the quarter is almost halfed YOY, mainly due to greater write-offs and depreciation , but I do see property segments improved YOY (however QOQ decreased by around 20mil/9%) . What do you think of this quarter’s performance looking purely at the core of the business?

3 days ago

@Agjl, excluding the revaluation gains and impairments, the underlying PBT is RM87.3 million as stated in the report. But in the hotel segment, there was additionally some higher depreciation and write-off of hotel assets totalling RM96.7m, if I exclude the write-off of hotel assets, I estimate the underlying PBT would have been around RM170 million.

3 days ago

@stockpicker888, as explained above, there was some hotel asset write-off in the hospitality segment in Q4 FY2024, which I suspect was related to old assets at the recently acquired W Hotel KL. I would treat it as one-off and estimate it to be around RM80m.
So I would put the core PBT of Q4 FY2024 to be around RM170m which would be some 60% higher than last year Q4.

3 days ago

Against Q3 FY2024, Q4 core earnings would have been higher as well. Recall that in Q3 Fy2024, the earnings were boosted by a land sale amounting to RM211 million.

3 days ago

@dragon328 you're absolutely right, while waiting for your response, my doubt has been clarified via looking back at Q3 report. Hence, core property business + hotel/mall segments are generally improving YOY and QOQ basis. Coupled with the rejection to take over Shenton House, hopefully, investors would finally see the intrinsic value of this gem. Next up, I'm anticipating the further reveal of the the Johor-SG SEZ deal, to be the next catalyst of its share price. Fingers crossed , and happy investing to all.

3 days ago

Agjl

Sg999….i think u might be right. Today open high and close low for the day… sold tis morning ard 2.05 hope to buy back later.. the company is good but sentiments are not so favorable at the moment. Thus i sold. Happy hunting. Cheers!

2 days ago

Agjl

Dragon…thanks for the clarifications. Cheers!

2 days ago