- CSE Global (SGX:544)’s revenue of S$185m in 3Q23 (-2% q-o-q, +31% y-o-y) was largely in line with expectations, with 9M23 revenue forming 75% of our FY23F forecast and 78% of Bloomberg consensus’s.
Revenue momentum remains strong
- - Read this at SGinvestors.io -
- contribution from newly acquired subsidiaries (Radio One, Logic Wireless).
- Energy revenue growth was healthy (+19% y-o-y) on more flow orders executed in the US.
Massive quarterly order wins driven by electrification projects
- CSE Global's new order wins in 3Q23 breached a new high of S$302m (+30% q-o-q, +83% y-o-y). infrastructure was the key driver, with new orders surging to S$225m (+103% q-o-q, +309% y-o-y) on the back of
- - Read this at SGinvestors.io -
- new orders from recent acquisitions.
- Order book rose to a record high of S$638m at end-3Q23. CSE Global shared that they are on track to achieve a record S$1bn in new order wins for FY23F, as they see a strong pipeline of infra opportunities ahead.
- In addition, we see potential for major contract wins in data centres and wastewater treatment, which CSE Global has been making inroads into. As such, we hike our FY23-25F order wins by 22-24% to S$1.0bn-1.1bn.
FY24F: Driven by strong revenue visibility and margin expansion
- Read more at SGinvestors.io.
