Malaysia’s BHIC Still a Buy on Hopes of Shipbuilding Orders

Tuesday, November 13, 2007
ECM Libra Avenue Investment Bank said it is keeping its 'buy' call on Boustead Heavy Industries Corp Bhd (BHIC) because it expects the Malaysian shipbuilder to get more contracts, especially for naval vessels. Boustead Holdings Bhd owns 65 percent of BHIC and the Malaysian armed forces pension fund, Lembaga Tabung Angkatan Tentera, is the major shareholder in Boustead Holdings. BHIC will deliver its third patrol vessel to the Royal Malaysian Navy, a fourth is scheduled for delivery early in December and two more will be delivered by 2009, ECM said in a note. The company will be busy for the next 10 years, reportedly with another 21 patrol vessels in the pipeline. BHIC's management has indicated that the value of its order book will reach $298.5m by 2008, which means more contracts are likely be secured in the near future. The brokerage forecasts that BHIC will make net profit of $39.7m in 2008 and $53.1m in 2009. ECM is keeping its target price of $2.69 per share for BHIC stock to reflect the company's strong third-quarter results and promising outlook. Last month, the company said it swung to profit in the third quarter on an exceptional gain of $117.3m. It booked net profit of $130.1m, against a loss of $14.3m a year earlier. [Source: Thomson Financial]
Maritime Reporter November 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Offshore

DNV GL Targets Safer Approach to Subsea Lifting

The completion of a joint industry project (JIP) to improve existing standards and regulations around subsea lifting operations has resulted in a new recommended practice (RP).

Polarcus Awarded 3D Project Off West Africa

Polarcus Limited has signed a letter of intent with Perenco Oil & Gas Gabon S.A. for a 3D marine seismic acquisition project offshore West Africa.   The project,

Boskalis, VolkerWessels Win Offshore Wind Farm Work

Royal Boskalis Westminster N.V., in partnership with Volker Stevin International (VolkerWessels), has been awarded a contract by Iberdrola Renewables Offshore Deutschland

Finance

Larger Tankers May Offer Better Return Chances

Investors looking for returns in the tanker markets can invest their capital in a variety of ways. Should an owner invest in a VLCC or an Aframax? How about an

US Plans to Shut Royalty Loophole on Coal Exports

U.S. coal companies will no longer be able to settle royalties at low domestic prices when they make lucrative sales to Asia according to reforms proposed by the Interior Department on Friday.

Hapag-Lloyd Completes CSAV Merger Capital Increase

Hapag-Lloyd completed the planned capital increase of EUR 370 million (approximately $452.5 million) as part of the business combination with the Chilean shipping

 
 
Maritime Contracts Maritime Standards Naval Architecture Navigation Offshore Oil Pipelines Pod Propulsion Port Authority Salvage Sonar
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1167 sec (9 req/sec)