[%bxwh%] 
Research by RHB
BUY - TP of RM0.85

"Commendable Results Despite Adversities; BUY"

Keep BUY and MYR0.85 TP, 22% upside, c.1% yield. FY23 core earnings beat our estimates but missed Street’s due to JHM Consolidation’s strongerthan-expected industrial segment. Slower revenue and loss of economies of scale, coupled with higher input costs dragged FY23 profitability. Current below-mean valuation vis-à-vis a potentially better FY24 makes JHM a BUY, given the potential rebound from the industrial segment’s recovery – amid the bottoming out of the semiconductor sector – and contributions from new major customers in the automotive segment.

Analyst(s):
Lee Meng Horng 
+603 2302 8115
[%rNEM%]

$KLSE-JHM 
Research by RHB
BUY - TP of RM0.85

"Commendable Results Despite Adversities; BUY"

Keep BUY and MYR0.85 TP, 22% upside, c.1% yield. FY23 core earnings beat our estimates but missed Street’s due to JHM Consolidation’s strongerthan-expected industrial segment. Slower revenue and loss of economies of scale, coupled with higher input costs dragged FY23 profitability. Current below-mean valuation vis-à-vis a potentially better FY24 makes JHM a BUY, given the potential rebound from the industrial segment’s recovery – amid the bottoming out of the semiconductor sector – and contributions from new major customers in the automotive segment.

Analyst(s):
Lee Meng Horng 
+603 2302 8115
lee.meng.horng@rhbgroup.com