[%DEFY%] 
Research by HLIB
BUY – TP RM1.73

"Seizing the day”

Kimlun is expected to record stronger 2H revenue performance driven by acceleration in construction billings, active precast orders and property recognition. Likewise, core earnings should follow suit. Record high orderbookof RM3.5bn (4.1x cover) could still grow on the back of higher tenders worthRM4.4bn. Precast should benefit from construction upcycle in SG and MY. Timeline on new property projects are on track to benefit from healthy sentiment in Johor. Trading at an orderbook/MC ratio of 7.3x (HLIB coverage: 2.2x) implies its high orderbook levels have not been priced in. No change to forecasts. Maintain BUY with unchanged TP of RM1.73.

Analyst: 
Edwin Woo, CFA
[%gwBR%]

$KLSE-KIMLUN 
Research by HLIB
BUY – TP RM1.73

"Seizing the day”

Kimlun is expected to record stronger 2H revenue performance driven by acceleration in construction billings, active precast orders and property recognition. Likewise, core earnings should follow suit. Record high orderbookof RM3.5bn (4.1x cover) could still grow on the back of higher tenders worthRM4.4bn. Precast should benefit from construction upcycle in SG and MY. Timeline on new property projects are on track to benefit from healthy sentiment in Johor. Trading at an orderbook/MC ratio of 7.3x (HLIB coverage: 2.2x) implies its high orderbook levels have not been priced in. No change to forecasts. Maintain BUY with unchanged TP of RM1.73.

Analyst: 
Edwin Woo, CFA
ckwoo@hlib.hongleong.com.my

$KIMLUN / 5171 (KIMLUN CORPORATION BERHAD)