SUPERMIX2 : R U HAPPY OF COLLECTING IT? DO YOU KNOW HOW MUCH IS MMCCORP'S DEBT?? HAHAHHAHAHAHAHA.... GOOD LUCK.... MRT COMPLETE SOON...WHAT ELSE REVENUE IT CAN SOURCE FOR... THIS COMPANY WILL GO BURST WITH HIGH DEBT! 1.8BIL PROFIT VS 25.7BIL DEBT AND 21.3BIL NET DEBT....IF ITS SO GOOD WHY PPL ARE DUMPING INSTEAD OF BUYING AFTER THE DECENT EARNING :) PLS THINK.
I think the net debt 21Bil is before the listing of malakof, after the listing its net debt is only 7.5Bil, its NTA from 2.49 - 2.97....with PE only 3.36, port expansion, development in vicinity of Senai Airport....MMC Corp is extremely devaluated
mmccorp only has 19% share in malakoff, if I'm not mistaken. If a company has less than 20% share of other company, it's consider as an investment (only effects the assets portion of the financial statement), Malakoff liability isn't counted. That's why you see huge debt reduction in mmccorp's financial statement....correct me if I'm wrong :)
paperplane2016, can buy into mmc corp? The price stuck below RM2 for so long although analysts gave high target price. What should be the fair value of this company?
Yes, debts has made it low as fund mgrs not liking their high gearing, like DRB-Hicom. But we notice it has done well pairing down this few years. First Malakoff being spin off, debts came down substantially, next we shall see port biz spin offs.
By tht time re-rating will happen.
I am looking into 100% over return from current 1.90. Ppl really misunderstood the true value of port biz they had. Look at Westport? Westport itself is a big bluechip, MMC should be also.
PETALING JAYA: MMC Corp Bhd is expected to benefit from Tanjung Bin Energy (TBE) power plant that is now operational ahead of schedule, which is also timely to cater for the country’s all-time high electricity demand.
TBE is wholly-owned by Malakoff Corp Bhd, which in turn is a 37.6% associate of MMC. TBE that operates a 1,000MW coal fired power plant (T4) with a 25-year power purchase agreement (PPA) with Tenaga Nasional Bhd (TNB) obtained its commercial operational date (COD) on Monday.
According to MIDF Research, TBE has raised Malakoff’s effective capacity by 19% to 6,346MW.
“We have imputed the share of earnings from Malakoff into our forecasts. We believe the news is positive for MMC as the COD for TBE is slightly ahead of consensus estimate in April,”it said in a report yesterday.
MMC, a utilities and infrastructure group, saw its net profit more than double to RM1.64bil last year, mainly attributed to exceptional gains arising from the RM1.3bil listing of its energy unit, Malakoff, in May last year.
The surge in net profit was also attributed to the fair value re-measurement in NCB Holdings Bhd’s investment of RM143.5mil.
MIDF said the COD for TBE could not have come at a better time following TNB’s announcement last week that electricity usage reached a new high of 17,175MW due to the current heat wave thus reducing the electricity reserve margin to about 21%.
“This is below the 25% benchmark which we believe is more conducive for electricity security,” said MIDF that reiterated a ‘buy’ call with unchanged target price of RM3.05.
MIDF also highlighted that MMC could be a beneficiary of positive news flow in the coming months with the impending roll out of the mass rapid transit line 2 (MRT 2) tunnelling package of which MMC-Gamuda joint-venture is a top contender.
“In addition, the entire MRT 2 project could be valued above its initial estimates due to realignments. Further clarity on MMC’s plans to list its ports assets could also provide additional feel-good factor for the stock,” it said.
Zooming in on Malakoff, Affin Hwang Investment Bank was “neutral” on this development as TEB has achieved commercial operation as expected in March 16 and this has already been reflected in its earnings forecast.
“Malakoff’s 2016 earnings is expected to grow by 20% given the higher net effective generation capacity with TEB,” said Affin Hwang that maintained a “buy” call with a target price of RM1.92.
The Board of Directors of MMC Corporation Berhad is pleased to recommend the payment of a final single-tier dividend of 3.8 sen per ordinary share on 3,045,058,552 ordinary shares amounting to RM115,712,224.98 for the financial year ended 31 December 2015, subject to the approval of the members at the forthcoming fortieth (40th) Annual General Meeting of the Company.
The notice of the book closure and date of payment in respect of the aforesaid final single-tier dividend will be determined and announced in due course.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
Masked Rider
89 posts
Posted by Masked Rider > 2016-02-18 18:54 | Report Abuse
it has been this way for months....