Gamuda

[winston]

vested

Strong pipeline of projects to lift Gamuda

Gamuda Bhd is poised to exceed its order book target of RM40bil-RM45bil by the end of 2025, driven by a strong pipeline of projects across Malaysia, Australia, and Taiwan.

Assuming a burn rate of RM1bil per month, Gamuda may end up with an order book of RM 59bil by end-2025.

TA Research revised its earnings projections lower following Gamuda’s weaker-than-expected performance.

Source: The Star

https://www.thestar.com.my/business/bus ... ift-gamuda

[winston]

vested

Robust outlook for Gamuda

Gamuda Bhd is expected to deepen its involvement in the Ulu Padas hydroelectric dam project in Sabah, with further contract wins on the horizon as the state accelerates efforts to secure long-term water and energy security.

Gamuda’s recent results briefing, the company indicated it expects to secure RM4bil worth of water-related infrastructure works linked to the dam.

“The project is among several high-conviction bids collectively worth RM35bil that Gamuda is eyeing within the next two to three quarters.

Gamuda, together with Conlay Construction in a 75:25 joint venture, was previously awarded a RM3bil contract to build the 188MW hydroelectric dam, slated for completion by end-2030.

Source: The Star

https://www.thestar.com.my/business/bus ... for-gamuda

[winston]

not vested

Renewed confidence in data centre prospects

Maintain BUY call and MYR4.95 RNAV-TP GAM has proposed to dispose 389 acres of land to Pearl Computing (Pearl).

Pearl also awarded MYR1.0b of contract works to GAM.

Our FY7/26E and FY7/27E earnings and MYR4.95 TP are little changed.

This development is significant as it avails MYR16b-MYR18b of future contracts and more importantly, the data centre angle to our investment thesis is intact despite the US’ AI Diffusion Rule, rise of DeepSeek and tariffs.

Source: Maybank

https://mkefactsettd.maybank-ke.com/PDFS/454808.pdf

[winston]

not vested

Investors overlooking property business

Gamuda is acquiring 336 acres of additional land at Gamuda Cove, bringing its total land area there to 846 acres and GDV to RM21bn.

We think Gamuda’s property business is often overlooked, with property presales of 10% CAGR in FY19-24 and FY25F presales above its peers.

Reiterate Add with SOP-derived TP of RM6.00.

Source: CGS

https://rfs.cgsi.com/api/download?file= ... DA92551F86

[winston]

not vested

To expand Gamuda Cove landbank

Maintain BUY call and MYR4.95 RNAV-TP GAM has proposed to acquire 336 acres of land near Gamuda Cove for MYR248.7m or MYR17 psf.

We maintain our earnings estimates and TP pending completion of the acquisition.

We do not expect this acquisition to impact GAM materially but still like GAM for its E&C business where FYTD contract wins and outstanding orderbook have grown to a record MYR15.5b and MYR37b respectively.

We expect GAM to close FY25E with c.MYR20b of contract wins.

Source: Maybank

https://mkefactsettd.maybank-ke.com/PDFS/458310.pdf

[winston]

not vested

Exposure to data centres to grow meaningfully

Maintain BUY with higher TP of MYR5.37 (+9%)

GAM attended our Data Centre Corporate Day last week.

We believe Pearl Computing (Pearl) will award most of its data centre jobs to GAM. This will augment GAM’s already large orderbook from non-data centre jobs.

We raise our FY7/26E and FY7/27E job wins assumption to MYR22.5b from MYR20.0b.

Moderated by lower property sales, we trim FY7/25E EPS by 1% but raise FY7/26E and FY7/28E EPS by 4% and 7% respectively.

Consequently, we raise our SOTP-TP to MYR5.37 from MYR4.95.

Source: Maybank

https://mkefactsettd.maybank-ke.com/PDFS/465165.pdf

[winston]

not vested

Gamuda (GAM MK) 3QFY25: Well On Track; Expecting A Strong 4Q Ahead

Gamuda delivered commendable earnings growth and margin expansion, lifted by a higher domestic project mix and progress billings within the construction segment.

Orderbook replenishments are well on track to meet management’s guidance, with plenty of room for upside surprise.

We anticipate much stronger 4QFY25 earnings sequentially.

The group’s visionary strategies are forming the foundations for a record year in FY26-27.

Maintain BUY with an unchanged target price of RM5.55.

Source: UOBKH

https://research.uobkayhian.com/content ... e=hs_email

[winston]

not vested

3QFY25: On track

Maintain BUY and MYR5.37 SOTP-TP

Earnings were within our expectations while dividends outperformed.

Margins expanded on rising share of higher margin domestic construction projects.

We expect 4QFY25 earnings to be stronger on larger property sales and construction works accelerating.

Our earnings estimates, premised on MYR20.0b-MYR22.5b new E&C jobs p.a. over FY25E-FY27E, are unchanged.

Near term potential job wins are Ulu Padas water supply project and data centre jobs which could add >MYR10b to orderbook.

Source: Maybank

https://mkefactsettd.maybank-ke.com/PDFS/467324.pdf