$SGX-AWX - Q1 2022 Record Revenue and Profit. Management upgrades revenue guidance

Some quick briefing notes.

- Revenue guidance now 700-750m SGD
- Revenue and profit had gone up sequentially for 5 quarters on the trot.
- Lots of questions from the floor were asking about revenue and profit numbers, which I dont personally fancy but Q1 revenue is already 36% of guidance. Management mentioned that 1st half revenue is heavier than 2nd half. Whilst many fund managers and analyst might take that as glass half empty, I'd say that historically speaking, management had the tendency to upgrade guidance from time to time.
- There were also alot of mentions about slight reduction in margin but I wouldn't personally read too much into it. Margin can defer QoQ plus with CEI acquisition, that business naturally will bring margin down.
- No new announcement on new customer win just yet but progress are going in accordance to plan.
- Loke Wai San believes they are in a multi-year ramp-up.
- AEM believes it is in a leadership position with regards to SLT
- Cash decreased from 216M SGD to 166M SGD to fund its working capital needs.

All in all, AEM market cap is currently at SGD1.4b; From various briefings, analysts reports and media outlets, it's fair to assume AEM is poised to hit around SGD140-160m of profit in FY2022. This indicates that AEM is currently trading at sub-10x earnings multiples.

Whilst market sentiment is weak especially on the tech / tech manufacturing front, in AEM you have a stock which is both growing in importance, as well as already undervalued.

It's never wrong to trim / take profit and follow the trend, but I'm staying invested in AEM.

cc: @wsoh @ValinV @zhengyou0705 @mengteck @Jinnsern @FIRLGuys @khaijiunnlim @asheryap @JXWK0116 @zhexiangxd @Jay888