[%qIeC%]
Research by HLIB
Hold – TP RM20.02

“Moderation in sales"

PMM chalked in 4QFY24 core PAT of RM15.7m (-30% QoQ; -12% YoY), which brought FY24 sum to RM75.4m (+32% YoY). Overall, LASC segment sagged from the termination on kitchen appliances. We expect tepid profitability on the back of the suboptimal plant utilisation from the termination of kitchen appliances coupled with higher sunk cost due to excess labour in hand. Additionally, we opine the export outlook to be muted for PMM with the moderation in global growth as a result of a slowdown in major economic activities and sustained inflationary pressure. We roll forward our valuation horizon to FY25 (from FY24) based on 13x PE – our TP increases to RM20.02 (from RM18.70). Maintain HOLD.

Analyst:
Syifaa’ Mahsuri Ismail
[%cKgn%]

$KLSE-PANAMY
Research by HLIB
Hold – TP RM20.02

“Moderation in sales"

PMM chalked in 4QFY24 core PAT of RM15.7m (-30% QoQ; -12% YoY), which brought FY24 sum to RM75.4m (+32% YoY). Overall, LASC segment sagged from the termination on kitchen appliances. We expect tepid profitability on the back of the suboptimal plant utilisation from the termination of kitchen appliances coupled with higher sunk cost due to excess labour in hand. Additionally, we opine the export outlook to be muted for PMM with the moderation in global growth as a result of a slowdown in major economic activities and sustained inflationary pressure. We roll forward our valuation horizon to FY25 (from FY24) based on 13x PE – our TP increases to RM20.02 (from RM18.70). Maintain HOLD.

Analyst:
Syifaa’ Mahsuri Ismail
syifaa@hlib.hongleong.com.my

$PANAMY / 3719 (PANASONIC MANUFACTURING MALAYSIA BERHAD)