The Star Online: Business

Alliance maintains "Neutral" on MPHB; TP: RM3.12
SKP and Dayang surged on HUC jobs award
RHB raised Dayang to a "Buy" call, ups its FV to RM6.50

Alliance maintains "Neutral" on MPHB; TP: RM3.12

Posted: 27 May 2013 07:06 PM PDT

PETALING JAYA: Alliance Research maintains its "Neutral" rating on Multi-Purpose Holdings Bhd (MPHB), given its limited upside post-demerger exercise as well as maintaining its target price at RM3.60, comprising of RM3.12 for its gaming operations and capital repayment of 48.5sen.

The research house said MPHB's earnings were above expectation, supported by improvement in all its divisions mainly from its gaming operations.

"Stripping out exceptional items amounting to RM16.4 million, which consist of gain on disposal of its stockbroking business of RM15.0 million, gain on disposal of investment properties of RM1.4 million -- core earnings for 1Q13 amounted to RM133 million, which achieved 31.9% and 33.9% of our and consensus full-year estimates respectively," it said.

Alliance said profit from its gaming division surged by 49.8% to RM148.4 million driven by additional one extra draw during the quarter compared to 1Q12, prize payout ratio at 59% vs a normalised ratio of 63% as well as savings in interest expenses from its debt restructuring exercise.

"Operating profit from its financial services division for 1Q13 was 4.8 times higher on-year at RM13.2 million from RM2.3 million reported in the corresponding period last year due to stronger income generated from its general insurance business and disposal gains of investment securities," it said.

Alliance added MPHB's operating profit from its corporate and other divisions for 1Q13 rose 50.1% on-year to RM25.2 million boosted by gain on disposal of its stockbroking business of RM15.0 million and savings in interest expenses arising from its debt restructuring exercise.

"Nonetheless, we observe that operational environment remains challenging for its gaming operations where gaming revenue per outlet eased by about 1.1% in 1Q13 compared to 1Q12. This reflects the ongoing competition in the numbers forecast operations industry," it said.

SKP and Dayang surged on HUC jobs award

Posted: 27 May 2013 06:55 PM PDT

Published: Tuesday May 28, 2013 MYT 9:55:00 AM

PETALING JAYA: Shares of both SapuraKencana Petroleum and Dayang Enterprise Holdings Bhd surged amid active trade on Tuesday, after both companies announced the award of hook-up and commissioning jobs.

At 9.45am, SapuraKencana gained 14 sen or 3.5% to RM4.04, while Dayang climbed 17 sen or 3.4% to RM5.07.

On Monday, SapuraKencana announced that ExxonMobil awarded a RM300 million to RM500 million contract to the former for the provision of hook-up and commissioning and topside major maintenance services.

Dayang was awarded a contract of similar services provision by Petronas Carigali, however, the value of the job was not disclosed.

Analysts believe that the contract awarded to Dayang should be valued between RM1 billion to RM1.2 billion based on previous awards.

RHB raised Dayang to a "Buy" call, ups its FV to RM6.50

Posted: 27 May 2013 06:38 PM PDT

Published: Tuesday May 28, 2013 MYT 9:38:00 AM

PETALING JAYA: RHB Research upgraded Dayang Enterprise Holdings Bhd to a "Buy" with a revised fair value of RM6.50.

The research house said it had also raised Dayang's 2013 to 2014 earnings forecasts and assumed a total of RM3.8bil worth of order wins from its Pan-Malaysia Hook-up and commissioning tender.

"Dayang Enterprise has received a letter of award to provide hook-up, commissioning and topside maintenance services from Petronas Carigali."

"While we were right to predict the short-term weakness on its share price, we believe that its share price should re-rate further to incorporate its total contract win of an estimated MYR3.3bil to RM3.5bil," it said.

Kredit: www.thestar.com.my

Isnin, 27 Mei 2013