RHB Research maintains Outperform for TRC Synergy, FV 84 sen (5054)

KUALA LUMPUR: RHB Research Institute expects TRC Synergy's
1HFY12/12 results to come in at only a fraction of its full-year net
profit forecast of RM26.3mil and the full-year net profit consensus of
RM24.3mil.
“However, we will consider the results within
expectations as the weak 1HFY12/12 earnings will have been
predominantly due to the timing in profit recognition during the year
that is skewed more towards 2H vis-vis 1H,” it said on Thursday.
RHB Research accorded a fair value of 84 sen and maintained an Outperform for the stock.
The research house expected FY12/12 earnings to gradually come through from the third quarter onwards underpinned.
The
drivers for the earnings would be a pick-up in billings from the
RM950mil Package A main contract of the Kelana Jaya LRT Line extension
project.
Other factors were a pick-up in billings from the
RM319mil Brunei airport expansion project; and maiden billings from
Ukay Tropika.