PBA
Pba Holdings Bhd
Company Background
The National Water Services Commission (SPAN) has emphasized that water resource availability is likely to be a significant constraint in supporting the rapid expansion of data centers in the country.
It seems unlikely that the inflow of foreign technology companies setting up data centers will be halted. Considering the government's high debt levels, foreign direct investment represents a crucial "free" flow of funds to stimulate our national economy, which is urgently needed.
Could it be that the government will mandate the reinforcement or construction of new water treatment plants to address this issue?
Which public-listed companies, in your view, stand to benefit from such developments?
My uneducated suspects:
$PBA / 5041 (PBA HOLDINGS BHD) $ENGTEX / 5056 (ENGTEX GROUP BERHAD) $RANHILL / 5272 (RANHILL UTILITIES BERHAD)
$PBA / 5041 (PBA HOLDINGS BHD)
PBA and the RM1 Billion Question: is it achievable by 2030?
In 2023, Penang’s total manufacturing investment amounted to RM63.4bil, constituting 42% of Malaysia’s total. The total manufacturing foreign direct investment (FDI) alone was RM60.1bil, more than the total it received from 2013 to 2020 combined.
Given this, it’s not surprising that PBA has projected water consumption could reach 1,532 million litres per day (MLD) by 2030.
Out of curiosity, I found myself wondering what PBA's revenue might look like in 2030.
Based on available data, the average revenue per cubic meter (1,000 litres) of water sold was RM1.18 in 2023. However, there was a tariff hike in 2024 for domestic users, which was reflected in 2Q24. Revenue from water sales was about RM137mil in 2Q24; annualizing this would mean RM546mil. The average water consumption in the first half of 2024 was 887 MLD. Based on this, the average revenue per 1,000 litres is RM1.69.
Using that RM1.69 rate for the 1,532 MLD in 2030 would imply annual water sales of RM945 million. However, there will be water tariff adjustments before 2030 for both the domestic and non-domestic sectors, as water operators are now able to adjust tariffs every 3 years from when they were last implemented. PBA adjusted its non-domestic tariff in 2023 and its domestic tariff in 2024.
If water consumption reaches 1,532 MLD in 2030, along with additional tariff hikes implemented before then, could PBA's revenue surpass RM1 billion?
KUALA LUMPUR: Stocks to watch on Monday include Tenaga Nasional Bhd (TNB), NCT Alliance Bhd, PBA Holdings Bhd, Top Glove Corp Bhd and Sunzen Biotech Bhd
Titan Trading Notes For Tuesday [10/9/2024]:
$KLCI briefly retraced back towards the 1651 points region with an overall negative market sentiment today as we still saw over 730 counters closing red for the day along with it. Daily trading volume settled around the 3.3 billion mark, mainly dominated by selling activities.
Main stocks that showed strong buying momentum would be the likes of 99SMART, PBBANK, CIMB, SENDAI, BAHVEST, ATAIMS, IHH, NOTION, IJM, and AMBANK. All of which were able to sustain their rallies throughout the day on the top volumes list despite the weak market sentiment.
$SENDAI / 5205 (EVERSENDAI CORPORATION BERHAD) was definitely one of the star performers today as it broke out strong towards the RM 0.60+ major resistance levels with huge volume and buying momentum today despite the weak market sentiment.
This came after weeks of retracement and consolidation around its RM 0.46 - RM 0.50+ major support levels. For now still facing some selling pressure around its RM 0.60 main downtrend resistance but if able to sustain, could breakout strong and start breaking out soon.
Will be monitoring SENDAI closely.
$ATAIMS / 8176 (ATA IMS BERHAD) on the other hand also was able to breakout strong from its RM 0.37 main downtrend resistance levels with good volume and buying momentum today despite the weak market sentiment.
For now looking quite strong here and seems to have formed a solid support region around the RM 0.34+ regions over the past few weeks already. If able to stay above its RM 0.36+ immediate support, could continue on towards and beyond the RM 0.42+ major resistance levels.
Will be monitoring ATAIMS closely.
$PBA / 5041 (PBA HOLDINGS BHD) since breaking out towards the RM 2.90 regions, had been retracing and consolidating over the past 2 weeks here, heading back towards the RM 2.40+ main support levels on the hourly charts.
So far had been able to hold quite well and formed its higher low region already as it was able to breakout strong towards the RM 2.60++ regions today with good volume and buying momentum. If able to sustain, could continue to trend up towards and beyond the RM 2.90+ regions soon.
Will be monitoring PBA closely for entry opportunities.
$PBA / 5041 (PBA HOLDINGS BHD) 2024 AGM
1. PBA projected investment for 8 WCP 2030 projects is RM1.184 billion and PBA will not directly fund all the WCP 2030 projects. The first 2 projects under WCP 2030 were implemented under direct funding. The DAF module at the Bukit Panchor Water Treatment Plant has been commissioned. Package 12A of the Sungai Dua Water Treatment Plant is due for commissioning in September 2024. There are 6 other WCP 2030 projects that are scheduled for completion in the timeframe from 2025 to 2028. Some of these projects will be undertaken under direct funding by PBA. PBA will have the options of applying for bank loans or leasing agreements with Pengurusan Aset Air Berhad (PAAB) for the other projects. The shortfall in the company's cash flow will be funded via internally generated funds or external funding and has not been finalised yet.
2. The package 12A of the Sungai Dua Water Treatment Plant is expected to be completed by September 2024 instead of July 2024 as scheduled. The slightly delay was due to the shortage of construction materials and manpower. With the completion of the said project, it will definitely have a positive impact on water supply services in Penang.
3. The projected water demand for years 2024 and 2025 is 1,402 MLD and the total water treatment capacity after the completion of the Bukit Panchor DAF module (10 MLD) in 2023 and package 12A, Sungai Dua WTP (114 MLD) will be 1,726 MLD.
4. To realise the full benefits of Package 12A, PBA is also expediting the laying of new pipelines to channel more water from Sungai Dua to SPS and DBD.
5. The major pipeline projects scheduled for implementation in 2024 include:
(a) 13km of a 1.8m pipeline from Sungai Dua to Butterworth in Seberang Perai
(b) 3.9km of a 1.8m pipeline from the Macallum Area to Bukit Dumbar on Penang Island
(c) the 1.35m River-Crossing Pipeline at Sungai Perai
6. The NRW percentage formula is: "system input - billed consumption / system input * 100". The formula does not take into account revenue, land area or pipeline length. It simply shows the percentage of water loss.
7. PBA pipeline replacement projects are primarily preventive maintenance projects. The objectives are to replacing leaking pipelines and minimise the risks of outdated pipelines bursting. Accordingly, pipeline replacement projects will reduce NRW percentage. So PBA is working to improve Penang's NRW percentage.
8. 23% NRW is the target set under the business plan for 2023 - 2026, which was submitted to SPAN earlier. However, due to the high water demand in Penang State in recent year, PBA had to pump treated water at high pressure to meet the demand. This caused a higher NRW than expected, therefore PBA had to review and revise the NRW target for this year to 28.6% and submit it to SPAN for approval.
9. PBA is still proactively looking into NRW management and to maintain its status as one of the lowest NRW water operators in Malaysia.
10. Non-Revenue Water monitoring is done on a monthly basis and the actual consumption of NRW percentage is done yearly. The average NRW as of April 2024 was 28.4%.
11. PBA did not receive any subsidy from the government whether state or federal.
12. As PBA profitability rises and share price increases, PBA will try to maintain the dividend yield according to the FD rates of the market.
13. PBA will carry out the projects such as Mengkuang project treatment plant, Sg Muda water treatment plant, and Sg Kerian water treatment plant for FY2025 and beyond to prevent putting all the eggs in one basket.
Change in Boardroom - PUAN NOR HATINA BINTI MD SALLEH
Change in Boardroom - MR LIM ENG HUAT
Change in Boardroom - MISS LIM SEANG LEE
General Meetings: Outcome of Meeting
Change in Nomination and Remuneration Committee - CIK LIM KIM SUAN
Change in Boardroom - CIK LIM KIM SUAN
Change in Audit Committee - CIK LIM KIM SUAN
KUALA LUMPUR: PBA Holdings Bhd today announced that its Penang water supply unit, Perbadanan Bekalan Air Pulau Pinang Sdn Bhd (PBAPP), will see a RM11 million impact on revenue from the state government’s move to not bill consumers for the first 10,000 litres of water usage.
© New Straits Times Press (M) Bhd
OTHERSPBA HOLDINGS BHD. ("PBA" or "the Company")
MEDIA RELEASE : NO CHARGES FOR FIRST 10m3 IN BI-MONTHLY PENANG DOMESTIC WATER BILLS UNTIL 31.12.2024
Quarterly rpt on consolidated results for the financial period ended 31/03/2024
Titan Trading Notes For Wednesday [15/5/2024]:
$KLSE-KLCI had a good rebound back towards the 1605 points region with an overall mixed market sentiment as we still have over 500+ counters closing red today. Daily trading volume remains at a healthy level around the 4.6 billion mark, which is good.
Main stocks that showed strong buying momentum today would be the likes of FPHB, PMHLDG, AT, RENEUCO, PDZ, PA, CLOUDPT, YTLPOWR, NOTION, YTL, MRCB, PERDANA, UEMS, SSB8, and ANEKA. All of which were able to sustain their rallies throughout the day on the top volumes list.
$PMHLDG / 1287 (PAN MALAYSIA HOLDINGS BERHAD) after retracing back towards its RM 0.29+ immediate support levels over the past few days, was able to form a higher low region and broke out all the way towards the RM 0.355 regions today with good volume and buying momentum.
For now as long as able to sustain above its RM 0.29+ immediate support levels, could continue on towards and beyond its RM 0.355+ regions soon for an uptrend continuation pattern.
Will be monitoring PMHLDG closely here as something big seems to be brewing.
$CLOUDPT / 0277 (CLOUDPOINT TECHNOLOGY BERHAD) after retracing over the past few days here forming a support around its RM 0.69+ regions, and was able to form a higher low there and broke out all the way towards the RM 0.76 regions today, forming a new all time high here with good volume and buying momentum.
For now looking very strong here and as long as able to sustain above its RM 0.715+ immediate support levels on the hourly charts, could continue on towards and beyond the RM 0.76+ regions soon for a bullish continuation pattern.
Will be monitoring CLOUDPT closely here for an entry opportunity as seems to be on a strong uptrend.
$MTEC / 0295 (MASTER TEC GROUP BERHAD) after consolidating over the past few weeks here, had been able to form a solid support region around its RM 1.15+ regions here on the hourly charts, forming a good higher low region.
Today, it was able to breakout strong towards the RM 1,38 regions with huge volume and buying momentum today, showing no sign of slowing down at all. For now as long as able to sustain above its RM 1.29+ immediate support levels, could continue on towards the RM 1.40+ regions soon.
$PBA / 5041 (PBA HOLDINGS BHD) since breaking out towards the RM 2.20+ regions, had been retracing and recently formed a solid support region around its RM 2 major support levels on the daily chart here
For now seems to be able to hold above this region and if able to sustain, could continue to breakout towards and beyond the RM 2.20+ major resistance levels and start trending up towards the RM 2.50+ zones once more.
Will be monitoring PBA closely
Titan Trading Notes For Tuesday [7/5/2024]:
$KLSE-KLCI had a good breakout towards the 1597 points region today with an overall positive market sentiment. Daily trading volume also saw a jump back towards the 4.4 billion mark, which is a pretty good sign.
Main stocks that showed strong buying momentum would be the likes of SNS, SENDAI, DNEX, ICONIC, PWRWELL, TOPGLOV, YTL, JIANKUN, MRDIY, IFCAMSC, CAPITALA, YTLPOWR, INTA, PMHLDG, HEGROUP, and IOIPG. All of which were able to sustain their rallies throughout the day on the top volumes list.
$SNS / 0259 (SNS NETWORK TECHNOLOGY BERHAD) was definitely the superstar performer for the day as it managed to breakout from its RM 0.395 major resistance levels, rallying all the way towards the RM 0.50 new all time high levels with huge volume and buying momentum.
For now looking very bullish here for SNS and as long as able to sustain above its RM 0.445+ immediate support levels, could continue on this strong parabolic rally towards and beyond the RM 0.50+ regions in the coming few days itself.
Will be monitoring SNS closely here as something big seems to be brewing.
$DNEX / 4456 (DAGANG NEXCHANGE BERHAD) on the other hand also looking quite strong here as it had been able to hold quite well above its RM 0.39+ main support levels on the daily chart over the past month, forming a higher low region.
It was even able to breakout from its RM 0.415+ major resistance levels today and rallied towards the RM 0.42 regions with good volume and buying momentum. For now looking quite strong here and could be ripe for an uptrend continuation pattern towards the RM 0.435 - RM 0.45+ regions soon.
Will be monitoring DNEX closely as it seems to be ripe for an uptrend.
$PBA / 5041 (PBA HOLDINGS BHD) since consolidating over the past 2 months without much volume and action, was able to breakout strong from its RM 2.10+ major resistance levels today and rallied all the way towards the RM 2.16 levels with good volume and buying momentum.
Looks ripe for an uptrend continuation pattern here as long as able to stay above its RM 2.10+ immediate support levels, could continue to trend back up twoards the RM 2.30 - RM 2.50+ major resistance levels soon in the coming weeks.
Will be monitoring PBA closely
Annual Report & CG Report - 2023
Share Buy-Back Statement to shareholders in relation to Proposed Renewal of Authority for the Company to purchase of its own shares
PBA - Notice of Book Closure
Titan Trading Notes For Tuesday [30/4/2024]:
$KLSE-KLCI had a good breakout towards the 1582 points region with stocks like YTLPOWR and YTL leading the index. However, the overall market sentiment was mixed today as we had over 430 counters closing red for the day. Daily trading volume settled around the 4.2 billion mark, which is still decent.
Main stocks that showed strong buying momentum would be the likes of TOPGLOV, CAPITALA, YTL, YTLPOWR, MINETEC, SIMEPROP, YNHPROP, UEMS, AAX, CAREPLS, and SNS. All of which were able to sustain their rallies throughout the day on the top volumes list.
$TOPGLOV / 7113 (TOP GLOVE CORPORATION BHD) after consolidating over the past few months with RM 0.78+ as the main support levels on the daily chart, was able to breakout strong today from its RM 0.86+ major resistance, rallying all the way towards the RM 0.89 regions.
For now looking quite strong here and as long as able to sustain above its RM 0.86+ immediate support levels, could continue on towards testing its RM 0.92+ major downtrend resistance levels soon in the coming week.
Will be monitoring TOPGLOV closely here.
$AIRASIA / 5099 (AIRASIA GROUP BERHAD) on the other hand since breaking out towards the RM 1.12 regions, had been retracing on a downtrend over the past year here without much volume and action.
Recently, it was able to form a solid base around its RM 0.65+ major support levels and was able to breakout from its RM 0.72+ main downtrend resistance last week with good volume and buying momentum.
If able to sustain above its RM 0.755+ immediate support levels, could continue on an uptrend towards the RM 0.825 - RM 0.85+ major resistance levels soon. Will be monitoring CAPITALA closely as seems to be forming a new uptrend.
$PBA / 5041 (PBA HOLDINGS BHD) since retracing and consolidating over the past few months, was able to form a solid base around its RM 1.75+ major support levels on the daily chart and today, was able to breakout strong from its RM 1.90+ major resistance and rallied all the way towards the RM 2.08 levels with good volume and buying momentum.
Although it faced some selling pressure above the RM 2= regions but as long as able to sustain above its RM 1.90+ immediate support levels, could continue on towards the RM 2.20+ major resistance levels soon in the coming week.
Will be monitoring PBA closely here and if able to sustain, could continue on a bullish uptrend once more.
$SNS / 0259 (SNS NETWORK TECHNOLOGY BERHAD) since breaking out towards the RM 0.425 regions, had been retracing and consolidating over the past few weeks here and recently formed a solid base around its RM 0.35+ major support levels.
Seems to have stabilized already and if able to sustain as a higher low, could be breaking out towards the RM 0.385+ major resistance levels soon in the coming few days for at least a technical rebound. If the breakout is strong, could even start trending back towards the RM 0.40 - RM 0.42+ regions soon.
Final Dividend
General Meetings: Notice of Meeting
Change in Principal Officer - IR ROSYIDI BIN LAT
OTHERSPBA HOLDINGS BHD. ("PBAHB" or "the Company")
- Proposed Renewal of Authority for the Company to undertake a Share Buy-Back of up to 10% of its total issued share capital ("Proposed Renewal of Shares Buy-Back Authority")
TRANSACTIONS (CHAPTER 10 OF LISTING REQUIREMENTS) : RECURRENT RELATED PARTY TRANSACTIONSPBA HOLDINGS BHD. ("PBAHB" OR "COMPANY")
WATER INTAKE FEE IMPOSED BY THE STATE GOVERNMENT OF PENANG
Quarterly rpt on consolidated results for the financial period ended 31/12/2023
@charlieM and @GoldieLoh Guys, just couple of questions on PBA's cost looking for your brilliant insights.
Any idea about $PBA / 5041 (PBA HOLDINGS BHD)'s raw water pricing structure and if Kedah is allow to adjust as and when it deems fit? And what if Kedah decides to hike the price now that PBA has increased its tariff, does PBA still need to wait for 3-years to adjust the price?