Tambun Indah Land Berhad

Based on the recent FY results, $TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD) might declare a higher dividend this year of about 4.5-6.5sen based on 40-60% payout ratio of annual profit (per their guidance).

Unless they count the previously announced special dividend as part of the total dividend payable which in that case it's a bummer 😂 😂

$TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD) joins the boat and declares a special dividend as well

$TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD)
Research Report by RHB

$TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD)
Research Report by MAYBANK

$TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD)
Research by RHB
Buy - TP RM1.20

"Charts Strong Sales Growth; U/G To BUY"

Upgrade to BUY from Neutral, unchanged TP of MYR1.20 offers 23% upside with c.5% FY25F yield. Tambun Indah’s 2Q24 results outperformed our estimate – due to its higher-than-expected property sales – but are in line with the consensus forecast. It also booked solid new property sales of MYR133m for 1H24, which indicates that it will be ahead of management’s guidance of MYR150m in property sales for the full year. Our recommendation upgrade is premised on its strong sales growth momentum, as well as the line-up of new projects to be launched in FY25.

Analysts:
Wan Muhammad Ammar Affan
ammaraffan@rhbgroup.com
Loong Kok Wen, CFA
loong.kok.wen@rhbgroup.com

Continuing the list here (part 4):

$LEESK / 8079 (LEE SWEE KIAT GROUP BERHAD) (MC: RM141.0Mil)– Dividend Policy of at least 30% of PAT
$FOCUSP / 0157 (FOCUS POINT HOLDINGS BERHAD) (MC: RM360.4Mil) – Dividend Policy of at least 30% of PAT
$TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD) (MC: RM474.5Mil)- Dividend policy of 40% ~ 60% of PAT
$ELKDESA / 5228 (ELK-DESA RESOURCES BERHAD) (MC: RM554.9Mil) - Dividend policy of 60% of PAT
$HUPSENG / 5024 (HUP SENG INDUSTRIES BERHAD) (MC: RM840mil) - Dividend payout of at least 60% of PAT


MC: Approximate Market Cap

**Note: the dividend payout is subjected to cash flow, valuation gain/loss of properties, etc. (for details please read their respective annual reports)

$TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD) AGM Notes 2024

📌 TAMBUN currently has six ongoing projects: Aster Villa, Ambay Garden, Pearl Impiana, Mutiara Indah, Dahlia Garden, and Botanic Villa. Dahlia Garden and Botanic Villa, both launched in FY23, have GDV of RM119 million and RM301 million, respectively.

📌 Some completed houses from these projects remain unsold, and the company is actively promoting these properties to boost sales.

📌 The company has no immediate plans to sell any of its land holdings at this time.

📌 For future developments, the company is continually seeking land that aligns with its business strategy, ensuring sustainability and long-term growth.

📌 As of March 31, 2024, the average take-up rate for the company's ongoing projects is 72.7%, an improvement from the 62% take-up rate in FY23.

General Meetings: Outcome of Meeting

$TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD)
Research by RHB
Neutral – TP RM1.20

“Missing Catalysts To Drive Further Growth"

Maintain NEUTRAL, with new MYR1.20 TP from MYR0.91, 8% upside. Tambun Indah’s 1Q24 results beat expectations as it recorded MYR88.1m in new property sales, ahead of management’s full-year guidance of MYR150m. Management is keeping its guidance for now. Despite the strong start, we keep our NEUTRAL call on the stock as management’s conservative plans should limit the upside to earnings with just one launch planned for the end of the year with a GDV of MYR52m.

Analysts:
Wan Muhammad Ammar Affan
ammaraffan@rhbgroup.com
Loong Kok Wen CFA
loong.kok.wen@rhbgroup.com

$TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD)
Research by Maybank
Buy – TP RM1.24

“Beat expectations"

TILB’s 1Q24 net profit of MYR15m (+38% YoY, +33% QoQ) and 1Q24 locked-in sales of MYR88m were above expectations. TILB will very likely exceed its internal sales target of MYR150m for FY24 (-39% YoY). We raise our earnings forecasts by 17-21% to factor in a higher sales assumption for FY24E (+80%). Our TP is raised to MYR1.24 (+29sen) on a higher 0.6x rolled forward FY25E P/B. U/G to BUY , backed by FY24E div yield of 5.4%.

Analyst:
Wong Wei Sum, CFA
weisum@maybank-ib.com

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

$TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD) strong volume on closing, possible movement soon 🔥

Annual Report & CG Report - 2023

$TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD) $PBA / 5041 (PBA HOLDINGS BHD) moving up

General Meetings: Notice of Meeting

DEALINGS IN LISTED SECURITIES (CHAPTER 14 OF LISTING REQUIREMENTS) : Intention to Deal During Closed Period

$TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD) announces a dividend of 3.9sen, which is line with their dividend policy of ~40-60% PAT. Ex date to be confirmed later.

OTHERSTAMBUN INDAH LAND BERHAD ("TAMBUN INDAH" OR "THE COMPANY")
Proposed Single Tier First and Final Dividend

Thanks to @amandayapsy and @seladangtrader for sharing about the developments in Penang. You can refer to their posts here https://cutt.ly/Uw7ej1Cd and here https://cutt.ly/jw7ej2ah respectively.

A particular company that stood out to me is $TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD) , which @jay888 also favours.

With potential catalyst of the PDC's land acquisition exercise in Seberang Prai, we can see that the main players there include the likes of SP SETIA, IJM, ECO WORLD, amongst others.

However, as a more pure play exposure to Seberang Prai, Tambun seems more attractive.

From my own understanding, here are some interesting points about Tambun:

1) Consistent dividend payer with payout ratio around 40-50%, even during the thick of the pandemic.
2) One of the rare net cash property developers, Tambun has cash and equivalents of about RM 160m vs short and long term borrowings of RM 85mil, making them net cash of roughly RM 75mil+- or RM 0.18 per share.

3) NTA is around RM 1.7, which in and of itself is nothing great since most property developers trade at a discount to book value. However, if we dig into what exactly makes up their NTA, this is where things start to get even more interesting.

4) TAMBUN has about 630 acres of empty land for development mainly at the South and Central of Seberang Prai. These lands carry a book value of around RM 480mil in total. Most of them were last revalued between 2010-2014. This means that, on average, the book value of the lands are roughly RM 760k per acre, or RM 17.5 per sqft.

5) This excludes their other properties, such as their international school, shop lots, office lots, car parks, and so on. These remaining properties carry a book value of around RM 94mil, and most of them have not been revalued in a long time too.

6) PDC, in the reported news, said they are allocating RM 3bil for acquiring 3000 acres of land in North, Central, and South Seberang Prai. This is roughly RM 1 mil per acre.

Could this be an opportunity for them to unlock the value of their lands that they've been holding for years?
And could the management be as generous to their shareholders as they have been in the past?

$TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD) mula jalan hari ni, one more remaining!

@amandayapsy very good! it seems like property stocks in Penang could be due for another rerating. Especially those who could potentially unlock land sales value, like it happened in Johor.

Today, $TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD) gapped up. Congrats @Jay888

PENANG DEVELOPMENT CORPORATION UNVEILS RM5 BILLION STRATEGIC PLAN

PDC CEO, Datuk Aziz Bakar, said they have 15 projects under its 2024–2028 strategic plan that will cost an estimated RM5 billion.
- Start increasing their land bank now to be developed into industrial lands (est. deplete by 2030).
• To attract more investors, so that when they come, the infrastructure is ready for them.

1. Acquisition of land
(a) RM3 billion = To acquire the 3,000 acres of land in North, Central, and South Seberang Perai.

2. Land reclamation to increase their land bank.
(a) PDC is creating a complete ecosystem to support the industrial sector, which includes a distribution hub for logistics and workers’ quarters.
(b) They have launched 4 workers’ quarters projects in the Bandar Cassia area – 1 developed by PDC, 3 more by private sector (can house >30,000 workers in the area)
- One, in Penang Science Park North, is expected to be completed this August.
- Another two, in Penang Science Park South and Batu Kawan Industrial Park 3 (BKIP3), are still pending planning approvals.
- The fourth, located in Bandar Cassia, has been awarded to a developer to design and build before handing over to PDC.

3. Development of Industrial Lands
- The industrial lands PDC developed will be based on the “infra ready concept”, especially in BKIP3 and Batu Kawan Technology Park (BCTP).
(a) An 80-acre land near the Penang International Airport will be developed into a logistics and distribution park.
(b) A logistic hub will be developed on a 24.6-acre land in the Batu Kawan Industrial Park in Bandar Cassia.

4. Other Projects
- The PDC strategic plan is focused on land innovation, asset innovation, business sustainability and smart professional (LABS).
(a) Developing a linear waterfront for mixed development on 200 acres of land, will be reclaimed in Bayan Lepas at a cost of RM760 million.
(b) Develop a Medi-City project in Bandar Cassia, together with interested investors, to create an integrated medical hub at a cost of RM12 billion.

5. Potential Beneficiaries
- $PARAMON / 1724 (PARAMOUNT CORPORATION BERHAD) , developer who owns 83 acres in Penang.
- $RAPID / 7765 (RAPID SYNERGY BERHAD) , Seberang Perai Selatan, 21.35 acres
- $SCIENTX / 4731 (SCIENTEX BERHAD) , Seberang Perai Utara, 343.20 acres
- $SPSETIA / 8664 (S P SETIA BERHAD) , Seberang Perai Utara, 1691 acres
- $TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD) , Seberang Perai Selatan and Tengah, 420 acres


Sources:
https://cutt.ly/Xw4uEVcg
https://cutt.ly/gw4uEBtY

$TAMBUN / 5191 (TAMBUN INDAH LAND BERHAD)
Research by RHB
Neutral - TP of RM0.91

"Earnings Missed From Lower Margins"

Maintain NEUTRAL and TP of MYR0.91, 1% upside. Tambun Indah’s 4Q23 results came in below with expectations from lower-than-expected margins. New sales of MYR98.8m in the quarter led to a full-year property sales of MYR246m, exceeding management’s initial target of MYR150m. We keep our call on the stock as management’s conservative launch plans should limit the upside to earnings.

Analyst(s):
Loong Kok Wen CFA
+603 2302 8116
loong.kok.wen@rhbgroup.com

Wan Muhammad Ammar Affan
+603 2302 8103
ammaraffan@rhbgroup.com

Quarterly rpt on consolidated results for the financial period ended 31/12/2023

OTHERSTAMBUN INDAH LAND BERHAD ("TAMBUN INDAH" OR "THE COMPANY")
REVALUATION OF NON-CURRENT ASSETS OF THE GROUP

DEALINGS IN LISTED SECURITIES (CHAPTER 14 OF LISTING REQUIREMENTS) : Intention to Deal During Closed Period

Change in Audit Committee - MISS TSAI CHIA LING

Change in Audit Committee - MISS KAOY LAY MIN

Change in Boardroom - MISS KAOY LAY MIN

Change in Boardroom - MR LAI FOOK HOY