VIVOCOM SUMMARY - Latest Update 

- Q1 result Profit after Tax RM20mil. Exceeded expectation. 
- Q2 result Profit after tax RM21mil. Above expectation again.
- Q3 and Q4 will be much higher profit due to multiple project billing progression.
- Forecast profit FYE2016 is RM80mil. 
- Total Order book currently stand at RM 3.9bil. 
- Total project pipeline not received yet are RM 1.8 bil + rm500 & rm 400mil in HOA
- There is a plan to move Vivocom to Main Board in 2017. 
- Share Capital 3.2bil. Vivocom has the largest market capitalization for the SME sector. 
- Current Net Tangible Asset is 30.5 sen. 
- Business Partners include CRCC, China MCC, Regal International Group, Zhonghe Haoxing etc... 
- D'Idaman (Phase 5) - 230 mil, Regal Tropics Sarawak - 250 mil, V Plaza Balakong - 23 mil, Regal Singapore - 200 mil, M101 Skywheel - 500 mil. 

These finalisation projects totalling up to 1.7 bil till sept2016 and added to current bookorder of 2.2 bil..then they already meet the 3.9bil current order book .and another remaining target order book 2.7bil will make up total order book 6.6bil by year end 2016. lasting up to 2018.

August 20, 2016,
Borneo post

KUCHING: Vivocom International Holdings Bhd’s (Vivocom) orderbook is expected to grow further by the fourth quarter of the financial year 2016 (4QFY16).
Researchers with MIDF Amanah Investment Bank Bhd (MIDF Research) in a report expected Vivocom’s orderbook to grow further from its current levels to RM3.9 billion by 4QFY16, or approximately 36 months backlog.
It noted that the group recently entered into a joint-venture agreement with Seni Perspek Sdn Bhd as a turnkey contractor to develop 377-acres of land known as Bandar Tasik Amanjaya in Kinta, Perak.
The recent slew of projects in Perak had also increased its orderbook from RM3.3 billion to RM3.7 billion, an increase of 12 per cent, the research team said.
“We forecasted Vivocome to win circa RM950 million of jobs for FY16 estimate (FYE16). Due to its orderbook replenishment abilities, Vivocom has clinched circa RM3.5 billion projects.
“Going forward, we foresee a good possibility of Vivocom securing sub-contracting jobs from projects such as Gemas-Johor Bahru double railway track from China Railway Group Ltd (CREC) and the construction of affordable housing in Merujaya, Perak.
“We estimated that the said projects would give a total additional injection of RM2 billion to its current orderbook,” it projected.
Meanwhile, MIDF Research pointed out that there is a likelihood of Vivocom participating in work packages (circa RM2 billion) related to the CREC regional centre in Bandar Malaysia.
“Hence we believe that its orderbook will continue to rise to meet our earnings expectation for the next three financial years,” it added.
On the construction project in Perak, MIDF Research noted that the projects currently amounts to circa 17 per cent of its orderbook estimates for Vivocom.
“Consequently, if the project in Merujaya is won, the percentage would rise to circa 29 per cent. This is reassuring as Vivocom tapers down the risk of relying too heavily on projects from China’s State-owned Enterprises (SOE).
“We view the project awards from Perak as a stepping stone for Vivocom to win more government related works considering that track record is a primary consideration in winning any bids from Public Works Department (PWD) and the Ministries,” the research team opined.
It also noted that the affordable housing market segment is an area where Vivocom could give a strong focus on especially in Perak where the state government is targeting affordable housing projects for every district.
“We estimate that more than 30,000 houses are needed to fulfill the demand gap. Vivocom’s entrance into the affordable housing space gives comfort to the prospects of its orderbook replenishment,” it said.
Overall, MIDF Research reaffirmed its ‘buy’ call on the stock.
It said, “We reiterate our FY16F/FY17F earnings projections. Nevertheless, we fine-tuned our discounted cash flow variables to factor in higher reinvestment rate of 41 per cent and cash of RM47 million.
“We reaffirm our perspective that Vivocom is currently positioned at the inflection point of stabilised margins of 10 per cent.
“We estimated that Vivocom would be able to maintain the momentum of clinching new projects supported by its healthy financial position.”

CIMB Research believes that the orderbook of Vivocom Intl Holdings Berhad (Vivocom) will balloon to RM4bn at year-end if the company succeeds in its target of RM1.8bn for second half 2016. Further, the research house believes that “its contract win of RM3.5bn will surpass our RM3bn estimate for 2016”.
In a “company flash note” today, CIMB Research said that Vivocom’s swelling orderbook “will lend strong support to our FY17F earnings visibility”.
This follows on from Vivocom’s largest contract win to date (which Business Today had reported on yesterday) – refer to our report VIVOCOM INTL HOLDINGS BERHAD – “A MID CAP CONSTRUCTION RISING STAR THAT CONTINUES TO SHINE BRIGHTLY! – that the company had had won a RM756m contract award from the Perak state government to build 4,000 units of affordable housing over four phases.
This contract is the largest win so far for Vivocom this year. The project consists of 15 blocks of 21-storey apartments on 66 acres of land in the Bandar Tasik Amanjaya township, located in Tronoh on the outskirts of Ipoh, Perak.
“The award brings Vivocom’s contract wins YTD to RM1.7bn and outstanding orderbook to c.RM2.2bn,” said CIMB Research.
“A RM4bn orderbook will place Vivocom alongside mid-cap construction companies such as Sunway and WCT that trade at 13-15x P/E vs. Vivocom’s 4x FY17 P/E,” said CIMB Research.
“We maintain Add with an unchanged SOP-based target price, with the construction business valued at 10.5x, based on a 30% discount to the average sector P/E of 15x,” concluded the report.
Other research houses, similarly, have made “BUY ON VIVOCOM” calls – with target prices ranging from 59 sen to RM75 sen per share, signaling strong upside potential and capital appreciation of more than double its current share price.
Given the numerous BUY calls, the general consensus is that at present levels, Vivocom shares represent great value for bargain hunters especially in view of the Bonus Issue (1 for 4) reward just announced.
CIMB has a target price of 78sen for Vivocom, against its current share price of 28 sen at closing today.

“Our shareholders base keeps growing as more and more retailers see value in Vivocom as a long term investment. As at 27th July our shareholders had increased to 16,358 investors from 12,250 in February,” Vivocom executive director Choo Seng Choon (pic) said.
This probably explains why Vivocom’s share price had climbed from 22.5 sen in late June to close at 29 sen last Monday (1 Aug 2016): Fresh funds had entered the stock during the five-week period and hence increased the Company’s shareholders base.
Based on its annualised 1st quarter results, it’s worthwhile noting that Vivocom is currently only trading at less than 10 times price-earnings multiple whilst its peers with similar market capitalisation are currently trading at price-earnings multiples ranging from 14 times to 17 times.
“We pride ourselves on our pursuit of excellence in our core businesses, and we intend to be wealth creators on a sustainable basis for all our loyal shareholders in the long run,” emphasised Choo

Vivocom to win RM600m deal? 22 AUGUST 2016 @ 11:07 AM BY ZAIDI ISHAM ISMAIL KUALA LUMPUR: Vivocom International Holdings Bhd, fresh from winning a RM100 million contract last week, is expected to clinch another construction project with a gross development value (GDV) of about RM600 million in Ipoh. Sources said the construction industry was abuzz with news that a significant win was on the horizon for Sarawak-based Vivocom. This contract was just the “tip of the iceberg” for the firm as it was set to win more lucrative projects in the future, they said. “The Perak government and the company is finalising a contract for a construction project valued at RM600 million in Ipoh,” one of the sources told Business Times. Vivocom executive director Choo Seng Choon told Business Times he “is not in a position to confirm or deny this development”. “Please wait for the appropriate announcement to be made.” However, he admitted that the senior management of Vivocom had been working “12-hour days to ensure smooth commencement and execution of the company’s various construction projects”, adding that the company had also expanded its construction team rapidly in recent weeks in line with the swelling order book. “We have hired some highly experienced construction professionals to oversee various projects,” he said. Vivocom announced to Bursa Malaysia on Friday it had received a letter of award for a RM100 million contract from Green Ventures Development Sdn Bhd to be the turnkey contractor to build two 18-storey blocks in Chepor, Perak, for the 1Malaysia Civil Servants Housing programme. Meanwhile, a construction professional said the industry was surprised at Vivocom’s amazing transformation in the recent months. The company has been winning over market cynics and quietly delivering secured projects while hiring top professionals to oversee various projects, some of which are of national interests. Separately, CIMB Research believes that Vivocom’s order book is expected to swell to the tune of RM4 billion by year-end if the company hits its target of RM1.8 billion for second half of this year. The research house believes “its (Vivocom’s) contract win of RM3.5 billion will surpass its RM3 billion estimate for 2016”. In a recent note to investors, CIMB Research said Vivocom’s fast-growing order book “will lend strong support to its 2017 earnings visibility”. Earlier this month, Vivocom announced it had secured a RM756 million contract, its largest win to date, to build 4,000 units of affordable housing over four phases in Perak. The project consists of 15 blocks of apartments over 26ha and it will form part of the mammoth 594ha Bandar Tasik Amanjaya township in Tronoh, on the outskirts of Ipoh. “The award brings Vivocom’s contract wins year-to-date to RM1.7 billion and the outstanding order book to RM2.2 billion,” said CIMB Research. “A RM4 billion order book will place Vivocom alongside mid-cap construction companies such as Sunway Construction and WCT Holdings Bhd.” On Bursa Malaysia last Thursday, Vivocom closed at a 10-week high of 31 sen. Investors have also been pouring money into the stock ahead of its one-for-four bonus issue, which is expected to be completed next month. CIMB Research believes the company’s swelling order book provides “scope for massive price/earnings re-rating”. The research firm has a target price of 78 sen for Vivocom. Meanwhile, MIDF Research on Friday upgraded Vivocom’s target price to 63 sen from 59 sen.

Selanjutnya di : http://www.nst.com.my/news/2016/08/167324/vivocom-win-rm600m-deal?m=1

HOA RM600Mil will turn to LOA by this end month September 2016. Don't forget also

The Board of Directors (“the Board”) of Vivocom is pleased to announce that on  1 September 2016, Vivocom had vide its subsidiary company, Vivocom Enterprise Sdn Bhd (“VESB”), entered into heads of agreement (“HoA”) with Dazamega Ventures Sdn Bhd (“Dazamega”) to be appointed as the turnkey contractor for the development on a piece of land located at HSD 228147, PT 262096, Mukim Hulu Kinta (“ Project” or "Proposed Development").
 
Subject to the execution of the final agreements, Dazamega will appoint VESB as the turnkey contractor for the Project. The estimated Gross Development Value (“GDV”) for the project is RM 600 million, comprising of six blocks of 22-storey residential condominium. The execution of the final agreements shall be conditional upon the finalisation and completion of the contract bill of quantities.
Further details of the Project will be announced upon the execution of a formal final agreement between the Parties.
 
2. SALIENT TERMS OF THE HOA
The salient terms of the HoA include, amongst others, the following:-
2.1 Proposed Development
2.1.1 Dazamega is the developer to develop the Land with an estimated gross development value of approximately RM600 million (Ringgit Malaysia Six Hundred Million) to build 6 blocks of 22 storeys condominium.
2.1.2 Subject to the terms and conditions of the HoA, Dazamega will appoint VESB as the turnkey contractor to design, construct the structures, infrastructures and all associated works on the said Development. In turn, VESB is required to complete the construction of the whole development within 48 months after the launch.
2.1.3 The Parties are not obligated to proceed with the Proposed Development unless the terms and conditions of a final agreement is agreed upon and executed by 30 Sept 2016, unless further extended by mutual agreement between the Parties.

A friendly reminder for those who forget. All research house CIMB, Affin Hwang, UOB, Mercury and MIDF called the same thing. Add rating and buy call.

You can also choose to trust hired dogs like traderman, doracuties, disagreetoagree, sayangawak and whatever new ID hired dogs sell call research house.

This is not a buy call from me. But if want to buy, buy at lower price now. And hold your share long term. Tq

After reporting strong Q2 results, Vivocom now lands another new RM600 million project in Perak!
Sep 1st, 2016 – by Business Today

Reputable research houses continue to be bullish on the stock, with BUY calls ranging from
63 sen to 78 sen, with CIMB believing a Massive Re-Rating is imminent!
Just when we thought it couldn’t get any better for Vivocom Intl Holdings Berhad (stock code: 0069), the company today announced that it had just bagged another huge contract in Perak with an estimated Gross Development Value (“GDV”) of RM 600 million!
In a filing to Bursa Malaysia this evening, it was announced that subsidiary Vivocom Enterprise Sdn Bhd (“VESB”) had entered into a heads of agreement (“HoA”) with Dazamega Ventures Sdn Bhd for the former to be appointed as Turnkey Contractor for the development of six 22-storey residential condominium blocks on a piece of land located at Mukim Hulu Kinta on the outskirts of Ipoh, Perak.
This development follows on the heels of Vivocom having secured a RM100 million contract for the construction of 2 block of 18 storeys  of 1Malaysia Housing Projects for Civil Servants (PPA1M) also in Mukim Hulu Kinta, and which was announced to Bursa Malaysia on 19 August.
In addition and also in Perak, the company had on 4 August announced of its partnership with Seni Prospek Sdn Bhd to build 4,032 units of affordable housing, which is divided over 4 phases with a provisional contract value of RM 189 million for each phase, hence totaling the contract sum of RM 756 million, as part of the Bandar Tasik Amanjaya township located in Tronoh on the outskirts of Ipoh, Perak.
When fully completed, this development will form part of the mammoth 1,469 acres Bandar Tasik Amanjaya township, which is the brainchild of state-owned Menteri Besar Incorporated (MB Inc), and would also comprise condominium units, retirement homes, terrace and semi-detached houses, bungalow, shops, a street mall and various institutions of higher learning.
This means that, collectively within the last 30 days or so, Vivocom had landed three significant projects amounting to RM1.5 billion (!), quite a feat considering that the transformation of Vivocom from a sleepy telecommunications provider to what CIMB Research had described as a “Giant Unleashed” took less than 12 months!

CIMB Research: Re-rating for Vivocom set to continue!
These achievements also serve as testimony of Vivocom fast becoming one of the most sought after contractors in Malaysia, most evident in the company’s extremely bullish results posted for its second quarter ended 30th June 2016.
To recap, Vivocom announced last Tuesday (30 August) that Q2 profit before tax soared to RM32.29 million from a deficit of RM1.50 million in the previous year’s corresponding quarter.
This unprecedented profit was achieved on the back of a surge in turnover of RM121.56 million from RM8.64 million previously. After accounting for taxation of RM6.87 million, profit after taxation came in at RM25.42 million.
The solid set of results for Q2 – which even surpasses what was already an achievement in Q1 when net profit came in at RM19.87 million on the back of RM141.54 million in turnover – was attributed predominantly to Vivocom’s construction division, which contributed 77.4% of total revenue.
CIMB Research described Vivocom’s Q2 results as “Another Smashing Quarter”, adding that that the “Strong Sustained Q2 Momentum” lifted 1H16 net profit to RM41m.
“Annualised 1H16 net profit exceeded expectations at 36% above our full-year forecast,” continued the report, adding that “1H16’s margins were boosted by tail-end recognition of progress billings of several building jobs and a lucrative short-term rescue project.”
CIMB Research is also raising its FY16F EPS by 16% to impute higher gross margins given the strong 1H results: “We maintain our SOP-based target price, valuing the construction business at 10.5x P/E, based on a 30% discount to the average sector P/E of 15x, comparable to other pure contractors of this size and in line with the expansion in sector multiples over the past six months given the bullish outlook of the construction sector.”
CIMB Research also emphasised that Vivocom’s re-rating should start after the strong 1H results: “Potential re-rating catalysts are: 1) large-scale project wins, 2) continued delivery of above-sector margin execution, and 3) bonus issue.”

Currently, it has a target price of 78 sen for Vivocom, an upgrade from its previous 72 sen target price.
Bullish “BUY” calls also from MIDF Research, UOB Kay Hian and Affin Hwang!
MIDF Research, meanwhile, also has a “BUY” call on Vivocom and upgraded its target price to 63sen (from 59sen previously).
It believes that Vivocom had clinched RM3.5 billion worth of projects thus far and added that “Vivocom’s orderbook will continue to rise to meet our earnings expectation for the next three financial years.”
This endorsement was with reference to the Vivocom group having been on a consistent winni

Good job Guys! Don't give up! Don't sell your share! It's worth more than this... keep buying when it drop low. Tqvm

The only things u can make operator make losses is buy at when drop low. Maybe put buying q at 0.200. Hold tight ur share. Put inside cupboard

Wah today is Dogs day! So many hired dogs. Share will up today . Hold tight!

Doracuties just sell off all your 20mil share. Don't talk bull shit! U are just another disagree ID.

The gross value might be above rm600 mil.

By this month end before 30 sept, letter award of rm600mil will be officially receive by Vivocom and announce

Longnian, I give a like a your comments.

Auntie disagree = traderman = conman

I curse you one more time traderman ! Good karma coming

William Loh, Martin, golden triangle, Bruce, investing1st...a big thanks for you guys to help to educate newbie and your hardworks comments are appreciate

U really think operator keep selling and pressing down the share price and they will make money!!! Don't fall their trap..time to go up will come ... Don't worry . Don't follow sell call

For me message is very clear, buy only when it's drop low, then keep and don't play contra. This week operator just want to flush out contra player.

Dora cuties if u worry so much on Vivocom and want dividend payout, please follow traderman call sell ur 20mil units share ...

Post removed.Why?

Hahahah traderman early posting try to be positive comments. Last posting ask people to sell . Conman. Sorry been busy with other works. And also already take us all positions. No more money to buy no. Also sapu some Wb at 0.120. Sohai traderman

Traderman tqvm

Disagreetoagree disappear. Why suddenly there is a traderman. U can change ID. U can add more new ID. But your intention so obvious . Until u give us so much good indication has precious and potential Vivocom. Without you, I never able to collect at cheap price again. My banker friends also thank you on behalf.

Buy when it drop low, I always remind anyone don't chase high.

Golden triangle tp 0.355 is too low. Next tp is 0.400. If u want short term gain, u will regret playing Vivocom. By end year breaking 0.500 is not difficulty at all. By that time, u will think why I did not buy now.

I boycott edge market newspaper long long time. Most of the article is goreng stuffs.

Edge market newspaper was the one who spread lie rumors about dr yeoh resignation. There is no surprise they purposely do it again. Cause their boss also a trader.

Post removed.Why?

Sorry la

Keep your buy q at lowest. Don't chase..

I had no intention to against anyone. But I just don't want people fall to operator trap. If u are not one of them, don't feel offense. I not in king in this forum

In may 2016,share price below 0.300 with order book rm2bil. In September 2016, share price still below 0.300 with order book swelling More than rm4bil. Once multiple project running in same time frame, quarter result revenue will increase higher every quarter. Soon the revenue might hit rm40mil a quarter.

Tomato, what ever intention u want to spread I don't know. If u not confidents with Vivocom , pls sell the share tomorrow cheaply. All contract sign, has all term and conditions agreed. Government project all must be pay according to contract. Who want to do business without profits. Be logic and common sense

The Board of Directors (“the Board”) of Vivocom is pleased to announce that on  1 September 2016, Vivocom had vide its subsidiary company, Vivocom Enterprise Sdn Bhd (“VESB”), entered into heads of agreement (“HoA”) with Dazamega Ventures Sdn Bhd (“Dazamega”) to be appointed as the turnkey contractor for the development on a piece of land located at HSD 228147, PT 262096, Mukim Hulu Kinta (“ Project” or "Proposed Development").
 
Subject to the execution of the final agreements, Dazamega will appoint VESB as the turnkey contractor for the Project. The estimated Gross Development Value (“GDV”) for the project is RM 600 million, comprising of six blocks of 22-storey residential condominium. The execution of the final agreements shall be conditional upon the finalisation and completion of the contract bill of quantities.
Further details of the Project will be announced upon the execution of a formal final agreement between the Parties.
 
2. SALIENT TERMS OF THE HOA
The salient terms of the HoA include, amongst others, the following:-
2.1 Proposed Development
2.1.1 Dazamega is the developer to develop the Land with an estimated gross development value of approximately RM600 million (Ringgit Malaysia Six Hundred Million) to build 6 blocks of 22 storeys condominium.
2.1.2 Subject to the terms and conditions of the HoA, Dazamega will appoint VESB as the turnkey contractor to design, construct the structures, infrastructures and all associated works on the said Development. In turn, VESB is required to complete the construction of the whole development within 48 months after the launch.
2.1.3 The Parties are not obligated to proceed with the Proposed Development unless the terms and conditions of a final agreement is agreed upon and executed by 30 Sept 2016, unless further extended by mutual agreement between the Parties.

I m so thankful, I can buy cheap.

Even operator sell between themselves, they still make losses. That why I keep remind don't chase high, even mother share. Keep buy at lower q and keep longer term.

Post removed.Why?

Those cannot take it, just keep and don't look at market! After September and then check ur profits

Post removed.Why?

Buying so cheap today. Tq operator

I had told u guys, operator has info ahead of us... Believe what u investing !

Open market share left 250mil. Operator now trying to Change their high price share to low price share. Who sell who will regret! Keep buying at low price

Tq so much 0.270 so cheap. Keep put more buying q at lower price. Contra player stay out!

Wish everyone a good luck!

Thanks you all warriors. I had your companion, I feel full energy. Be brave yourself , good or not good result, I will hold it till next years. All my buying q put lower price. Just come and sell all to us!

So obvious when today announce result the dogs barking more noise. Hahahahahahhahaha

Tomato915 I support you. I prepare for the worst. Bad result never mind. But I manage to buy cheap share price today.

Condolences !

Many dogs been hits by car lately. Soon your turn traderman