$ALSREIT / 5269 (AL-SALAM REAL ESTATE INVESTMENT TRUST)
Research by Maybank
Hold – Target Price RM0.45

“3Q23 earnings fell short”

9M23 core earnings and 3rd interim gross DPU of 0.3sen (YTD: 1.10sen) fell short, the former at only 58% of our FY23E. The discrepancy was mainly due to lower-than-expected contribution at KOMTAR JBCC. We lower FY23/24/25E net profit by -26%/-37%/-1% and DDM-TP by 1sen to MYR0.45 (Ke: 9.9%, LTG: 1%). Maintain HOLD. For retail REIT, we prefer Pavilion REIT (PREIT MK, CP: MYR1.21, BUY, TP: MYR1.41).

Analyst:
Nur Farah Syifaa
nurfarahsyifaa.mohamadfuad@maybank-ib.com