$YTLPOWR (6742.MY)$
Wessex Waters just announced hours ago that it has received a very good final determination from Ofwat for water tariff hikes for the next 5-year regulatory period from 2025 to 2030.
Basically it means Wessex Waters are getting a 20% hike in water tariffs in this final determination vs 0% or a small drop in the second draft determination.
The allowed WACC for the calculation of returns on capital is set at 4.58% real, way above the market expectation of a 30bps improvement t...
Wessex Waters just announced hours ago that it has received a very good final determination from Ofwat for water tariff hikes for the next 5-year regulatory period from 2025 to 2030.
Basically it means Wessex Waters are getting a 20% hike in water tariffs in this final determination vs 0% or a small drop in the second draft determination.
The allowed WACC for the calculation of returns on capital is set at 4.58% real, way above the market expectation of a 30bps improvement t...
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$PBA (5041.MY)$
It seems many misinterpreted PBA’s deferred tax expense/liability.
To provide context, in 2018, PBA reported a loss after tax due to a significant RM137.60 million deferred tax liability. However, this was a non-cash flow item, as clarified in PBA’s 2018 Annual Report (page 13):
"Please note that the recognition of the deferred tax liability is a NON-CASH FLOW item. The ACTUAL tax that is payable by PBAHB to the IRB for FY2018 is only RM1.55 million, based on a PBT of RM36.14 mi...
It seems many misinterpreted PBA’s deferred tax expense/liability.
To provide context, in 2018, PBA reported a loss after tax due to a significant RM137.60 million deferred tax liability. However, this was a non-cash flow item, as clarified in PBA’s 2018 Annual Report (page 13):
"Please note that the recognition of the deferred tax liability is a NON-CASH FLOW item. The ACTUAL tax that is payable by PBAHB to the IRB for FY2018 is only RM1.55 million, based on a PBT of RM36.14 mi...
sunwukon9
reacted to
$PBA (5041.MY)$
Performance was good. Need to understand the financial report.
3Q24 PBT RM42.2m +45% yoy, revenue RM139.9m +22% yoy.
Deferred tax expense is a non-cashflow item. Actual income tax paid is low.
9M24 Cash flow from operations before working capital changes RM159.4m +58% yoy
Budget announced that there will be a 2% dividend tax in 2025. So, if PBA pays a much higher dividend upfront now in 2024 will be good for everyone. PBA has yet to decide on the dividend amount.
Next...
Performance was good. Need to understand the financial report.
3Q24 PBT RM42.2m +45% yoy, revenue RM139.9m +22% yoy.
Deferred tax expense is a non-cashflow item. Actual income tax paid is low.
9M24 Cash flow from operations before working capital changes RM159.4m +58% yoy
Budget announced that there will be a 2% dividend tax in 2025. So, if PBA pays a much higher dividend upfront now in 2024 will be good for everyone. PBA has yet to decide on the dividend amount.
Next...
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sunwukon9
reacted to
Asia's growth water utility stock in Penang: The Silicon Valley of the East
The water utility business is highly defensive, and PBA Holdings Bhd (5041.MY) stands as the undisputed monopoly in Penang, with zero competition. Its valuation is attractive, and the company is on track to achieve at least RM150 million net profit in 2025. At just a 10x forward P/E, the stock could soar to RM4.53, and at a more favorable 15x P/E, it reaches a compelling fair value of RM6.80.
Penang boa...
The water utility business is highly defensive, and PBA Holdings Bhd (5041.MY) stands as the undisputed monopoly in Penang, with zero competition. Its valuation is attractive, and the company is on track to achieve at least RM150 million net profit in 2025. At just a 10x forward P/E, the stock could soar to RM4.53, and at a more favorable 15x P/E, it reaches a compelling fair value of RM6.80.
Penang boa...
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sunwukon9
liked
Wall Street banks are in a frenzy over "The Next AI Trade," piling into the 'Powering up America' investment themes. These include power grid companies, commodities such as copper and uranium, as well as artificial intelligence chipmakers. However, the issue of water consumption has been relatively overlooked.
JP Morgan recently released a research report titled "Deep Dive into Power,...
JP Morgan recently released a research report titled "Deep Dive into Power,...
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$CHINA WATER (00855.HK)$
The water utility business is highly defensive, and PBA (5041.MY) stands as the undisputed monopoly in Penang, with zero competition. Its valuation is extremely attractive, and the company is on track to achieve at least RM150 million net profit in 2025. At just a 10x forward P/E, the stock could soar to RM4.53, and at a more favorable 15x P/E, it reaches a compelling fair value of RM6.80.
Penang b...
The water utility business is highly defensive, and PBA (5041.MY) stands as the undisputed monopoly in Penang, with zero competition. Its valuation is extremely attractive, and the company is on track to achieve at least RM150 million net profit in 2025. At just a 10x forward P/E, the stock could soar to RM4.53, and at a more favorable 15x P/E, it reaches a compelling fair value of RM6.80.
Penang b...
$American Water Works (AWK.US)$
The water utility business is highly defensive, and $PBA (5041.MY)$ stands as the undisputed monopoly in Penang, with zero competition. Its valuation is extremely attractive, and the company is on track to achieve at least RM150 million net profit in 2025. At just a 10x forward P/E, the stock could soar to RM4.53, and at a more favorable 15x P/E, it reaches a compelling fair value of RM6.80.
...
The water utility business is highly defensive, and $PBA (5041.MY)$ stands as the undisputed monopoly in Penang, with zero competition. Its valuation is extremely attractive, and the company is on track to achieve at least RM150 million net profit in 2025. At just a 10x forward P/E, the stock could soar to RM4.53, and at a more favorable 15x P/E, it reaches a compelling fair value of RM6.80.
...
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The water utility business is highly defensive, and $PBA (5041.MY)$ stands as the undisputed monopoly in Penang, with zero competition. Its valuation is extremely attractive, and the company is on track to achieve at least RM150 million net profit in 2025. At just a 10x forward P/E, the stock could soar to RM4.53, and at a more favorable 15x P/E, it reaches a compelling fair value of RM6.80.
Penang boasts the second-lowest domestic water tariff in the country, giving PBA immense upsi...
Penang boasts the second-lowest domestic water tariff in the country, giving PBA immense upsi...
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