- Aztech's announced solid FY23 results, with revenue up 9.3% y-o-y to S$896.3m and PATMI +48.9% y-o-y to S$100m, above our and consensus’ estimates.
- Going forward, 10-15% more orders are expected from its key customer and it should also enjoy more orders from existing and new customers. Key customer concentration has also reduced to 65-75% of revenue instead of >80%.
- - Read this at SGinvestors.io -
Key customer still signalling positive orders y-o-y
- - Read this at SGinvestors.io -
- Currently, utilisation across its factories is about 50-55% and we expect utilisation to surge to 70-80% due to its pipeline of projects ahead.
- Orderbook is at S$333.9m, lower than expected due to shorter lead time which has reduced to 2-3 months from 9-12 during the pandemic but will not be representative of its positive outlook. Margins should either remain solid or improve due to higher operating leverage.
Dividend increased 78% y-o-y to 8 cents
- Read more at SGinvestors.io.
Above is the excerpt from report by Maybank Research.
Clients of Maybank Securities may be the first to access the full report in PDF @ https://maybanktrade.com.sg/.
Jarick Seet Maybank Research | https://www.maybank-ke.com.sg/ 2024-02-23
Read also Maybank's most recent report:
2024-04-25 Aztech Global - 1Q24 Hiccup, But Prospects Still Positive.
Price targets by 2 other brokers at Aztech Target Prices.
Listing of research reports at Aztech Analyst Reports.
Relevant links:
Aztech Share Price History,
Aztech Announcements,
Aztech Dividends & Corporate Actions,
Aztech News Articles
