Gamuda is an infrastructure company with a long history. It was co-founded by Lin Yunlin and Mr. Guan Youyuan. Since its establishment in 1976, it has been a major foundation for Malaysia's construction projects, such as the North-South Boulevard, the MRT/LRT rapid transit system, the Smart Tunnel, LDP Boulevard, and the upcoming Penang Island Reclamation Project (PSI)
Its business development covers 9 countries, including Malaysia, Singapore, Vietnam, the United Kingdom, Australia, Taiwan, India, Panama, and Qatar
Since the change of government in 2018, many large-scale projects have been suspended or even cancelled, such as the East Rail, Malaysia City, MRT3, and Longxin High Speed Rail. At one point, tens of billions of dollars of development value have evaporated, and the Malaysian infrastructure sector has entered a cold winter period. However, a good development foundation enabled Gamuda to quickly break out of the slump, such as actively bidding for foreign infrastructure orders, expanding real estate projects, and reducing dependence on government projects
Many contracts have been obtained in the past few years. As of the latest record, the value of orders held is as high as RM25.1 billion, which is enough to contribute at least 3 years of revenue
Very healthy asset capacity and shareholder return, making well-known local institutions such as PNB, EPF, KWP, and Lembaga Tabung Haji significant shareholders over the years
Recently, it successfully sold 4 roads and allocated 1.47 billion yuan to acquire land in Ho Chi Minh City to build a comprehensive development project, plus the Australian infrastructure project just obtained
The money situation in the next few years is very optimistic, and this is also for...

According to the latest market closing situation, the real estate sector has broken through a new high since April 2022, and has rebounded 23% from the bottom of last year/ trying to break out of the slump cycle since 2018. In particular, after Malaysia ushered in several coups d'état, capital has flowed back to this sector. It seems certain that the worst situation is over
In terms of support, most well-known real estate groups have delivered results in line with expectations in the past few quarters, such as Mahsing, Matrix, Spsetia, Ecoworld, and SimeProp. At the same time, the recovery in net profit also raised the dividend rate for the whole year
In terms of prospects, many large-scale projects have been put on hold after 2018, such as the Malaysia City and Longxin high-speed rail. These projects involve tens of billions of dollars in value, and the impact of the shelving on surrounding real estate development is definitely not small
However, according to the latest analysis report, the Solidarity Government intends to restart pending projects. For example, the Longxin High Speed Rail has reached a preliminary agreement and is currently discussing plans for a second home. Coupled with the Bank of China's help in stopping interest rate hikes, it's all good news that favors real estate development
Since the pandemic, real estate has been one of the areas that has recovered relatively rapidly. The average valuation for the past 5 years has remained below 10. Coupled with the lack of themes in the market and the help of many favorable conditions, the real estate sector has become a safe haven for investors, following the trend to push the sector out of the slump. So whether the rally can continue, I think the 2024 budget will be the biggest key
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