[%wfxb%] 
Research by Maybank
Sell – TP of MYR0.94

“1Q24 core net loss wider than expected” 

LCTITAN’s 1Q24 results came in below expectations and as such, we widen our FY24E net loss forecasts to -MYR770m (from -MYR648m) by: i) increasing our naphtha feed cost assumption to USD656/tonne (from USD640/tonne); and ii) lowering our operating rate assumption to 65% (from 67%). We maintain our SELL rating on LCTITAN with a marginally lower TP of MYR0.94 (from MYR0.95), based on an unchanged FY24E P/B of 0.15x, reflecting near-trough historical P/B as we expect huge losses to persist in FY24E.

Analyst(s):
Jeremie Yap
[%UyaG%]

$KLSE-LCTITAN 
Research by Maybank
Sell – TP of MYR0.94

“1Q24 core net loss wider than expected” 

LCTITAN’s 1Q24 results came in below expectations and as such, we widen our FY24E net loss forecasts to -MYR770m (from -MYR648m) by: i) increasing our naphtha feed cost assumption to USD656/tonne (from USD640/tonne); and ii) lowering our operating rate assumption to 65% (from 67%). We maintain our SELL rating on LCTITAN with a marginally lower TP of MYR0.94 (from MYR0.95), based on an unchanged FY24E P/B of 0.15x, reflecting near-trough historical P/B as we expect huge losses to persist in FY24E.

Analyst(s):
Jeremie Yap
jeremie.yap@maybank-ib.com

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD)