HLIB Research maintains ‘buy’ call on Kimlun, group sees good quarter

KUALA LUMPUR: Hong Leong Investment Bank (HLIB) Research has maintained a ‘buy' call on Kimlun Corp Bhd with a target price of RM2.66 after the company announced a stronger-thanexpected third-quarter results.

For the third quarter ended Sept 30, 2016 Kimlun registered a pretax profit of RM21.96 million and a revenue of RM224.18 million.

The company also announced that it secured a RM52.8 million contract to supply and deliver pre-cast concrete tunnel segment linings to the Mass Rapid Transit Line 2 (MRT2) project.

The estimated completion date is Sept 30, 2019.

HLIB also said Kimlun has a strong showing in job wins.

Year-to-date, Kimlun has managed to secure jobs in excess of RM1.3 billion and was looking to add another RM200-RM300 million for the remainder of the year.

“We like Kimlun as a prudentlyrun construction outfit with commendable results delivery.

“The share price declined eight per cent from its peak this month, offering a good opportunity to accumulate,” it said. — Bernama

UEM Sunrise Q3 pre-tax profit rises to RM55.58 million

KUALA LUMPUR: UEM Sunrise Bhd's pre-tax profit for the third quarter (Q3) ended Sept 30, 2016 rose to RM55.58 million from RM48.1 million in the same period last year.

Revenue increased to RM421.25 million from RM353.06 million previously, it said in a filing to Bursa Malaysia yesterday.

"The higher pre-tax profit is due to lower operating expenses and the higher revenue is mainly due to contributions from the progress made by Residensi 22, Serene Heights and the Australian projects," it said. — Bernama