[%leHp%]
Research by RHB
Neutral– TP RM 2.15

"Hit By High Depreciation Of Hotel Assets”

Maintain NEUTRAL with a lower MYR2.15 TP from MYR2.40, 10% upside and 3% yield. IOI Properties’ 4QFY24 (Jun) results were below expectations. Core earnings were hit by further write-down in the Xiang An project, as well as increased depreciation and write-off of certain hotel assets. Although the company no longer pursues the acquisition of Shenton House, we are cautious with the potential impact on gearing and interest expense given the commencement of Marina View development by year end and the operations of Central Boulevard from FY25. 

Analyst:
Loong Kok Wen CFA
[%rKZK%]

$KLSE-IOIPG
Research by RHB
Neutral– TP RM 2.15

"Hit By High Depreciation Of Hotel Assets”

Maintain NEUTRAL with a lower MYR2.15 TP from MYR2.40, 10% upside and 3% yield. IOI Properties’ 4QFY24 (Jun) results were below expectations. Core earnings were hit by further write-down in the Xiang An project, as well as increased depreciation and write-off of certain hotel assets. Although the company no longer pursues the acquisition of Shenton House, we are cautious with the potential impact on gearing and interest expense given the commencement of Marina View development by year end and the operations of Central Boulevard from FY25. 

Analyst:
Loong Kok Wen CFA
loong.kok.wen@rhbgroup.com

$IOIPG / 5249 (IOI PROPERTIES GROUP BERHAD)