Maybank Research maintains Buy on Perisai, TP RM1.40

KUALA LUMPUR: Maybank Investment Bank Research is maintaining a Buy on Perisai Petroleum with a target price of RM1.40, based on 11 times FY14 earnings per share.
The
research house said on Tuesday that Perisai's Q1, 2013 results, to be
released on Wednesday, were unlikely to spring any surprises.
“Overall, we expect a stronger H2, 2013 vis-vis H1, 2013 both operationally and financially, as activities pick up.
“We
see upside to our forecasts (3-year net profit CAGR of 21%), for the
earnings impact from its second rig has not been incorporated into our
forecasts yet,” it said.
Maybank Research expects Perisai's Q1,
2013 net profit to just about match its Q1, 2012 performance (RM23mil),
making up 23% of its full year forecast.
The research house said
earnings would be driven by the charter of MOPUs (61%), followed by its
pipe-lay vessel E3 (28%) and the operation of eight OSV (11%). Its
forecasts were unchanged.
It expected Perisai to secure its
maiden jack-up rig contract by H2, 2013, before the delivery of its
Pacific 101 jack-up rig by end-July 2014.
“Perisai should command prevailing market rates of about US$150,000 to US$170,000 a day for this rig.
“Meanwhile,
we expect its 51%-owned FPSO to be deployed in Jul 2013. Perisai will
likely dispose its pipe-lay vessel (E3) concurrently with the
deployment of the FPSO,” it added.