Highlights of the day
§
Bumi
Armada (Results Review): 1QFY12:
Below expectation, but improve margin (Maintain BUY, TP: RM5.10) [download
report]
Bumi Armada’s net profit came below house and street
estimates, making up 16% and 15% of full year estimates, respectively. EBITDA
improved by 19ppt to 68% y-o-y, which is the highest in the industry, backed by
lower revenue as the bigger FPSO contribution pushed the blended margin
upwards. We remain positive on the company on the back of: (i) improving EBITDA
margin from 49% to 68% y-o-y; (ii) expectation of restored utilization rate of
the OSV segment; and (iii) uptick in the FPSO contract award in 2H of the year.
Maintain BUY, TP: RM5.10
§
Petronas
Chemicals Group (Results Review): 1QFY12:
Within expectation (Maintain BUY, TP: RM7.69) [download
report]
PChem’s net profit of RM1,019m came within house and street estimates,
making up 25% of both full year estimates respectively. EBITDA margin improved
by 2.3ppt y-o-y, due to improved performance of both Olefins and Derivatives
(O&D) and Fertilisers and Methanol (F&M) segments in the quarter. We
make no changes to our estimate, hence maintain BUY call, with TP of RM7.69.
Other reports
Other Malaysian news
§ RHB
Cap: Pays RM1.9bn for OSK IB
§ DRB-Hicom: Top level
departures at Proton, keeping Lotus
§ Shin
Yang: Unit gets RM166.3m shipbuilding jobs
§ Guocoland: To invest
RM12.5bn in Sepang
City
§ Evergreen
Fibreboard: On replanting move
§ Alam
Maritim: Won ExxonMobil contract
§ Construction: Malaysia
§ Oil
and gas: Petronas inks new PSC with Talisman, Carigali to
recover oil off Sabah
§ Oil
and Gas: Petronas to manage Prince Court
§ Economy: PM unveils
21 new NKEA projects worth RM20.46bn
Global news
§ Europe: Spain
§ Europe : Greek
Democratic Left demands euro pledge to back Syriza party
§ Vietnam
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