Lotte Chemical Titan Holding Berhad

Titan Trading Notes For Wednesday [21/5/2025]:

KLCI still closed back red around the 1548 points region with an overall mixed market sentiment as we still saw over 450 counters closing red for the day despite seeing some slight rebounds. Daily trading volume remains low around the 2.6 billion mark.

Main stocks that showed strong buying momentum would be the likes of PEOPLE, TANCO, PBBANK, LCTITAN, EWINT, CMSB, and NOTION. All of which were able to sustain their rallies throughout the day on the top volumes list despite the mixed market sentiment.

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD) since consolidating over the past 2 weeks, been holding above its RM 0.56+ support levels quite well on the daily charts and broke out back towards the RM 0.61 regions with good volume and buying momentum today, even closing on its intraday high.

For now, it's looking quite bullish here and if able to maintain above its RM 0.58+ immediate support levels, could continue on towards and beyond its RM 0.635+ major resistance for an uptrend continuation pattern soon.

Will be monitoring LCTITAN closely.

$SENDAI / 5205 (EVERSENDAI CORPORATION BERHAD) since announcing its latest RM 1.3 billion increase to its orderbook, had a huge breakout from its RM 0.535+ major resistance, rallying all the way towards the RM 0.57+ regions with good volume and buying momentum.

Overall it's looking quite strong here and as long as able to hold above its RM 0.535+ support on the daily chart, could continue on towards and beyond its RM 0.58 - RM 0.60+ major resistance levels in the coming weeks for an uptrend continuation pattern.

Will be monitoring SENDAI closely.

$EG / 8907 (EG INDUSTRIES BERHAD) although took quite a hit yesterday towards the RM 1.07+ support levels, was able to rebound back towards the RM 1.13 regions with good volume and buying momentum today despite the mixed market sentiment.

Looks like the buyers are still quite strong here and if ablet o hold above its RM 1.10+ immediate support levels, expecting it to breakout back towards and beyond its RM 1.16+ major resistance levels in the coming few days.

Will be monitoring EG closely.

Titan Trading Notes For Thursday [8/5/2025]:

KLCI had a slight rebound back towards the 1549 points region with an overall positive market sentiment today. Daily trading volume however remains around the 2.84 billion mark, which is still quite low.

Main stocks that showed strong buying momentum would be the likes of TANCO, DNEX, POS, YTL, GAMUDA, SNS, NATGATE, SIMEPROP, TM, MAYBANK, EWINT, LCTITAN, and MNHLDG. All of which were able to sustain their rallies throughout the day on the top volumes list.

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD) was definitely one of the star performers today as it broke out strong from its RM 0.45+ major resistance, rallying all the way towards the RM 0.575 regions with huge volume and buying momentum here.

For now looking quite strong here and if able to sustain above its RM 0.53+ immediate support, could continue to trend back up towards the RM 0.60+ regions in the coming week.

Will be monitoring LCTITAN closely. This rally came after it announced reduced losses from its latest QR.

$GAMUDA / 5398 (GAMUDA BERHAD) fter retracing back towards the RM 4.30+ support levels over the past 2 trading days, been able to form a higher low region and broke out strong back towards the RM 4.52 regions today, even closing on its intraday high here with good volume.

For now as long as able to keep this up, could continue on towards and beyond its RM 4.60+ major resistance levels soon in the coming week for an uptrend continuation pattern.

Will be monitoring GAMUDA closely.

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD)
Research Report by CGSI

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD)
Research by Maybank

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD)

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD)
Research by Maybank
SELL – TP RM0.94

"2Q24: PE-naphtha spreads still unfavourable”

LCTITAN’s 2Q24 results came in within our expectation. We make no change to our FY24-26E net profit forecasts. We also maintain our SELL rating with an unchanged TP of MYR0.94, based on FY24E P/B of 0.15x, reflecting near-trough historical P/BV multiple as we continue to expect huge losses to persist in FY24E.

Analyst:
Jeremie Yap
jeremie.yap@maybank-ib.com

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD)
Research by CGS
REDUCE – TP RM0.93

"Tough conditions with no relief in sight”

■ 1H24 core net loss of RM411m made up 46% of our full-year loss forecast, which we consider to be broadly in line.
■ Market conditions in the petrochemical market remain weak, in our view, due to modest demand growth in light of industry overcapacity.
■ With little to look forward to, we reiterate our Reduce rating and end-CY24F TP of 93 sen, still based on P/BV of 0.2x (trough valuation during Covid-19).

Analyst:
Raymond YAP, CFA
raymond.yap@cgsi.com

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD)
Research by TA
SELL– TP RM1.06

"Losses Persist with no Improvement in Sight”

As we incorporate an ESG Premium of 3%, we raise our TP to RM1.06/share (previous: RM1.03/share) pegged to 0.22x CY25 P/B ratio. Maintain Sell.

Analyst:
Ong Tze Hern
thong@ta.com.my

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD)

Key Takeaways from $TGUAN / 7034 (THONG GUAN INDUSTRIES BERHAD)'s AGM

📌 In the fourth quarter of last year, there was a bad debt of 10 million due to a long-standing debt from a customer during MCO, as recommended by the auditor, though TGUAN noted that the customer has a repayment plan extending over the next 4 years, potentially allowing for a write-back.

📌 This year, expansion will decelerate due to the relatively weak overall environment, with the overall utilization rate at 60%. Two new production lines for Stretch film were installed last year and earlier this year, which have already commenced operations.

📌 In Myanmar, development has been halted due to geopolitical tensions.

📌 Regarding the production of food packaging, industrial goods packaging, and courier bags, the boss noted that demand has remained relatively stable this year, with slight growth in local demand and average foreign demand.

📌 TGUAN has established a presence in the US, with a sales person, sales point, and warehouse set up to provide after-sales service and educate customers on product usage. The company's stretch film, incorporating nano-technology and comprising very thin layers, has transitioned from 33 layers to 67 layers.

📌 With regards to entering the real estate sector, the company sees potential due to the success of many Kedah real estate companies, prompting the initiation of involvement in this industry to diversify profit streams.

📌 Construction of 200 stores adjacent to LAGENDA properties is planned, primarily focused on residential housing. TGUAN's involvement aims to create a more integrated township, with Phase 1 set to establish 60 shop lots, projecting gross profits in the double digits. Feedback from the market has been positive, indicating potential for successful sales.

📌 The company's raw materials, including naphtha, PE, and PP, have stable prices at a considered low level. Notably, $LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD)'s continued loss-making performance which is also why the company to accumulate raw materials in Q3 and Q4. This strategy aims to maintain or expand the company's future gross profits.

📌 The company anticipates that its growth may not reach previously high expectations. While Q1 showed satisfactory growth, Q2 exhibited a gradual slowdown.

PETALING JAYA: Lotte Chemical Titan Holding Bhd (LCT) is expected to face widening core losses in its second quarter ending June 30, 2024 (2Q24), mainly due to lower sales volume and weak product spreads.

Quarterly rpt on consolidated results for the financial period ended 31/03/2024 (Amended Announcement)

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD)
Research by CGS
Reduce – TP of MYR 0.93

“LINE project could widen losses materially”

1Q24 core net loss was broadly in line with expectations at 23% of our fullyear forecast; this was LCT’s eighth consecutive quarterly loss since 2Q22. Reiterate Reduce as we believe the ongoing weakness in polymer selling prices may extend for some time in light of global production overcapacity. LCT is in a particularly weak position given it is a high-cost naphtha feedstock cost producer; our end-CY24F TP remains at 93 sen (trough P/BV of 0.2x).

Analyst(s):
Raymond YAP, CFA
raymond.yap@cgsi.com

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD)
Research by Maybank
Sell – TP of MYR0.94

“1Q24 core net loss wider than expected”

LCTITAN’s 1Q24 results came in below expectations and as such, we widen our FY24E net loss forecasts to -MYR770m (from -MYR648m) by: i) increasing our naphtha feed cost assumption to USD656/tonne (from USD640/tonne); and ii) lowering our operating rate assumption to 65% (from 67%). We maintain our SELL rating on LCTITAN with a marginally lower TP of MYR0.94 (from MYR0.95), based on an unchanged FY24E P/B of 0.15x, reflecting near-trough historical P/B as we expect huge losses to persist in FY24E.

Analyst(s):
Jeremie Yap
jeremie.yap@maybank-ib.com

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD)
Research by TA
Sell – TP of MYR1.03

“Losses Continue Ahead of Planned Turnaround”

Lotte Chemical Titan Holding Bhd (LCTITAN) registered an eighth consecutive core loss in 1QFY24. 1QFY24 results came in below our expectations but within consensus’ forecasts. We previously forecasted a core profit of RM41.4mn for FY24. The earnings miss was due to lowerthan-expected plant utilisation and poorer-than-expected product spreads

Analyst(s):
Ong Tze Hern
thong@ta.com.my

KUALA LUMPUR: Lotte Chemical Titan Holding Bhd’s (LCT) net loss narrowed to RM178.03 million for the first quarter of the financial year ended March 31, 2024 (1Q FY2024) compared with a net loss of RM224.76 million in the same quarter in 2023.

© New Straits Times Press (M) Bhd

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD)

KUALA LUMPUR: Lotte Chemical Titan Holding Berhad (LCT) remains cautious due to uncertainties arising from oil price volatility, petrochemical glut, economic slowdown from inflation, and rising geopolitical tensions.

Quarterly rpt on consolidated results for the financial period ended 31/03/2024

OTHERSLOTTE CHEMICAL TITAN HOLDING BERHAD
- Press Release

General Meetings: Outcome of Meeting

It is no secret that South Korean chemical company Lotte Chemical Corp (LC Corp) is mulling disposing of its stakes in loss-making Malaysian unit, Lotte Chemical Titan Holding Bhd (LC Titan).

Annual Report & CG Report - 2023

PROPOSED RENEWAL OF THE EXISTING SHAREHOLDERS' MANDATE FOR RECURRENT RELATED PARTY TRANSACTIONS OF A REVENUE OR TRADING IN NATURE AND CONTRACTS ENTERED INTO FROM TIME TO TIME WHICH ARE NECESSARY OR WOULD FACILITATE THE DAY-TO-DAY OPERATIONS OF OUR GROUP

General Meetings: Notice of Meeting

$LCTITAN / 5284 (LOTTE CHEMICAL TITAN HOLDING BERHAD)

KUALA LUMPUR: Lotte Chemical Titan Holding Bhd (LCT) has provided clarification regarding recent speculations about Lotte Chemical Corp (LCC) considering various strategic measures related to the company.

© New Straits Times Press (M) Bhd

KUALA LUMPUR: Lotte Chemical Titan Holding Bhd (LCT) has clarified that after a thorough inquiry, Lotte Chemical Corp (LCC) is currently weighing various strategic measures related to the company.

KUALA LUMPUR: Lotte Chemical Titan Holding Bhd (LCT) has clarified that after a thorough inquiry, Lotte Chemical Corp (LCC) is currently weighing various strategic measures related to the company.

OTHERSLOTTE CHEMICAL TITAN HOLDING BERHAD ("the Company")
Clarification on the article titled "Lotte puts Lotte Chemical Titan in Malaysia on market"