[%umdU%]
Research by RHB
Buy - TP RM1.95

"Good Things Take Time; Stay BUY"

Keep BUY with new MYR1.95 TP from MYR2.11, 19% upside and c.3% yield. KKB Engineering’s 1H24 core profit of MYR7m (-45% YoY) missed our and Street’s estimates – making up 24% and 22% of full-year projections partly due to higher-than-expected portion of non-controlling interests (NCI). Nevertheless, we expect better contributions in 2H24 from projects such as the Rosmari & Marjoram (R&M) onshore gas plant in Bintulu project moving higher along the S-curve. We continue favouring KKB for its prowess in Sarawak-centric infrastructure and oil and gas (O&G) jobs.

Analyst:
Adam Bin Mohamed Rahim 
[%yYZP%]

$KLSE-KKB
Research by RHB
Buy - TP RM1.95

"Good Things Take Time; Stay BUY"

Keep BUY with new MYR1.95 TP from MYR2.11, 19% upside and c.3% yield. KKB Engineering’s 1H24 core profit of MYR7m (-45% YoY) missed our and Street’s estimates – making up 24% and 22% of full-year projections partly due to higher-than-expected portion of non-controlling interests (NCI). Nevertheless, we expect better contributions in 2H24 from projects such as the Rosmari & Marjoram (R&M) onshore gas plant in Bintulu project moving higher along the S-curve. We continue favouring KKB for its prowess in Sarawak-centric infrastructure and oil and gas (O&G) jobs.

Analyst:
Adam Bin Mohamed Rahim 
adam.mohamed.rahim@rhbgroup.com