[%rGyD%] 
Research by RHB
Buy – TP of MYR 4.70

“The Beginning Of a Super Cycle; Reiterate BUY” 

Stay BUY, with new MYR4.70 TP from MYR3.30, 22% upside and 2% yield. Historic high earnings of MYR92m (+2.9x YoY, +5x QoQ) achieved in 1Q24 was a beat, thanks the higher-than-expected margin from ASP upticks and favourable hedging position. We believe this is the beginning of a super cycle where earnings are set to quantum leap (underestimated by the market), bolstered by the new found pricing power and margins, based on the trend of elevated combined ratio and sustained cocoa demand.

Analyst(s):
Lee Meng Horng
[%bHGj%]

$KLSE-GCB 
Research by RHB
Buy – TP of MYR 4.70

“The Beginning Of a Super Cycle; Reiterate BUY” 

Stay BUY, with new MYR4.70 TP from MYR3.30, 22% upside and 2% yield. Historic high earnings of MYR92m (+2.9x YoY, +5x QoQ) achieved in 1Q24 was a beat, thanks the higher-than-expected margin from ASP upticks and favourable hedging position. We believe this is the beginning of a super cycle where earnings are set to quantum leap (underestimated by the market), bolstered by the new found pricing power and margins, based on the trend of elevated combined ratio and sustained cocoa demand.

Analyst(s):
Lee Meng Horng
lee.meng.horng@rhbgroup.com