Home sweet home: To be launched this Sunday, phase one of Estuari Gardens @ Puteri Harbour is made up of 350 units of double-storey superlink houses with a built-up area ranging from 251.58 sq m to 329.80 sq m, and priced between RM1.39mil to RM2.82mil each.
KUALA LUMPUR: Maybank Investment Bank Research expects UEM Sunrise
’s sales to pick up in the second half with high pipeline launches worth RM1.7bil.
The research house said the new launches included the St Kilda project in Melbourne and Solaris 3 at Mont Kiara.
“Management maintains its RM1.2bil sales target for 2017 (versus RM1.4bil achieved in 2016). Unbilled sales stood at RM3.7bil in end-Mar 2017 (3.4x 2017F revenue),” Maybank said.
It said UEM Sunrise’s 1Q17 sales were weak at RM169mil, or just 14% of UEM Sunrise 2017 sales target due to the lack of new launches in 1Q17.
“First quarter 2017 net profit of RM61.3m accounted for 24%/28% of our and consensus full-year estimates – in line,” Maybank said.
It has maintained its earnings forecasts and RM1.11 target price on an unchanged 60% discount to RM2.85 RNAV per share. It has also reiterated its “hold” on UEM Sunrise.
“There is no change to our earnings forecasts with the Canadian land sale gain to drive the 73% YoY net profit jump forecast for FY17.
“Profits should normalise in FY18; we forecast -24% YoY, before picking up strongly in FY19 on full completion of its Aurora project in Melbourne which will see big chunk earnings recognition.
“We currently value UEM Sunrise based on a 60% discount to our estimated RNAV; the steep discount is to reflect its large exposure in IM (>85% of GDV in Johor),” Maybank said.
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