External broker reports(aggregated public sources), Public Investment Bank Bhd

Public Investment Bank Bhd

External broker reports(aggregated public sources)

Public Investment Bank Berhad provides investment banking services. The Company offers corporate finance, banking, securities financing, capital market, treasury, and advisory services.

Content available is external broker reports authored by a third party outside the Smartkarma network and has been aggregated by an online aggregator through publicly available sources and is displayed by Smartkarma in this format for user's convenience and general informational purposes only. Content does not constitute investment or financial advice and Smartkarma makes no representation or warranty regarding its accuracy or contents. Original third party author retains all copyright and other proprietary rights in the content. Access or use of third party links not controlled by Smartkarma are at the user's own risk.

Equity Bottom-Up

<ul><li>Hartalega reported a third consecutive net loss of RM52.5m in 1QFY24 (+83% QoQ), mainly due to weaker sales volume.</li><li>After stripping out nonoperating items, Hartalega recorded a RM1.5m core net profit in 1QFY24, down 96% QoQ.</li><li>Results were above our estimate as we are forecasting a net loss for full-year FY24F but below consensus net profit forecast of RM223.8m. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Hartalega reported a third consecutive net loss of RM52.5m in 1QFY24 (+83% QoQ), mainly due to weaker sales volume.After stripping out nonoperating items, Hartalega recorded a RM1.5m core net profit in 1QFY24, down 96% QoQ.Results were above our estimate as we are forecasting a net loss for full-year FY24F but below consensus net profit forecast of RM223.8m. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Hartalega Holdings Berhad - Still Challenging

External broker reports(aggregated public sources), Kenanga Investment Bank Bhd

Kenanga Investment Bank Bhd

Established for more than 45 years, Kenanga Investment Bank Berhad is a financial group in Malaysia with extensive experience in equity broking, investment banking, treasury, Islamic banking, listed derivatives, investment management, wealth management, structured lending and trade financing. Content available is external broker reports authored by a third party outside the Smartkarma network and has been aggregated by an online aggregator through publicly available sources and is displayed by Smartkarma in this format for user's convenience and general informational purposes only. Content does not constitute investment or financial advice and Smartkarma makes no representation or warranty regarding its accuracy or contents. Original third party author retains all copyright and other proprietary rights in the content. Access or use of third party links not controlled by Smartkarma are at the user's own risk.

<ul><li>HARTA’s 1QFY24 results disappointed. It reiterated that the challenging business landscape will persist throughout 2023.</li><li>We widen our FY24F net loss forecast by 28% to RM105m (from RM82m) but maintain our FY25F numbers.</li><li>We trim our assetbased TP slightly to RM1.85 (from RM1.90) and reiterate our UNDERPERFORM call. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

HARTA’s 1QFY24 results disappointed. It reiterated that the challenging business landscape will persist throughout 2023.We widen our FY24F net loss forecast by 28% to RM105m (from RM82m) but maintain our FY25F numbers.We trim our assetbased TP slightly to RM1.85 (from RM1.90) and reiterate our UNDERPERFORM call. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Results Note - Hartalega Holdings - A Weak Start to FY24

Global Healthcare Analyst

Tina Banerjee

<ul>
<li>
<a href="https://www.smartkarma.com/entities/ansell-ltd" target="_blank" data-smartkarma-citation="entities:10777:1" rel="noopener">Ansell Ltd (ANN AU)</a> reported 11% YoY decline in revenue to $1,655M in FY23. Healthcare business experienced significant customer destocking through FY23, leading to 21% YoY decline in segment revenue.</li>
<li>Ansell has outlined an investment program to improve productivity and accelerate digitalization for total cost of $70–85 million. The program calls for production as well as job cut.</li>
<li>Strong headwinds in the glove sector are expected to continue as the global oversupply situation persists. Ansell expects FY24 adjusted EPS to be $0.92–1.12 (down 3–20% YoY).</li>
</ul>



Ansell Ltd (ANN AU) reported 11% YoY decline in revenue to $1,655M in FY23. Healthcare business experienced significant customer destocking through FY23, leading to 21% YoY decline in segment revenue.
Ansell has outlined an investment program to improve productivity and accelerate digitalization for total cost of $70–85 million. The program calls for production as well as job cut.
Strong headwinds in the glove sector are expected to continue as the global oversupply situation persists. Ansell expects FY24 adjusted EPS to be $0.92–1.12 (down 3–20% YoY).


Ansell Ltd (ANN AU): Worst Not Over Yet; Unfavorable Macro Backdrop Persists; Bleak FY24 Guidance

<ul>
<li>
<a href="https://www.smartkarma.com/entities/ansell-ltd" target="_blank" data-smartkarma-citation="entities:10777:1" rel="noopener">Ansell Ltd (ANN AU)</a> reported weak H1FY23 result. Strong growth in industrial more than offset by lower healthcare sales leading to 11.5% overall revenue decline on an organic constant currency-basis.</li>
<li>Healthcare business sales declined 21.9% YoY on an organic constant currency-basis, mainly dragged by a 38% YoY decline in examination/single-use glove revenue with reductions in both price and volume.</li>
<li>Ansell has revised FY23 EPS guidance downward to $1.10–1.20 (down 21% YoY at mid-point) from $1.15–1.35 earlier, reflecting market condition in healthcare GBU.</li>
</ul>



Ansell Ltd (ANN AU) reported weak H1FY23 result. Strong growth in industrial more than offset by lower healthcare sales leading to 11.5% overall revenue decline on an organic constant currency-basis.
Healthcare business sales declined 21.9% YoY on an organic constant currency-basis, mainly dragged by a 38% YoY decline in examination/single-use glove revenue with reductions in both price and volume.
Ansell has revised FY23 EPS guidance downward to $1.10–1.20 (down 21% YoY at mid-point) from $1.15–1.35 earlier, reflecting market condition in healthcare GBU.


Ansell Ltd (ANN AU): Macro Headwind to Negatively Impact Near-Term Financial Performance

<ul>
<li>
<a href="https://www.smartkarma.com/entities/supermax-corp-bhd" target="_blank" data-smartkarma-citation="entities:12883:1" rel="noopener">Supermax Corp (SUCB MK)</a> reported first-ever quarterly loss in Q2FY23 due to continued fall in rubber gloves ASP, rising input cost, and weakening of the USD against the local currency.</li>
<li>The challenging operating environment for glove will persist into 2023. Amid continued weak global demand for gloves, declining ASP, and rising input cost, Supermax will take time to regain profitability.   </li>
<li>Global demand for rubber gloves is not expected to recover soon. In the foreseeable future, the market will remain weak, competition continue to be intense, and profitability adversely impacted.</li>
</ul>



Supermax Corp (SUCB MK) reported first-ever quarterly loss in Q2FY23 due to continued fall in rubber gloves ASP, rising input cost, and weakening of the USD against the local currency.
The challenging operating environment for glove will persist into 2023. Amid continued weak global demand for gloves, declining ASP, and rising input cost, Supermax will take time to regain profitability.   
Global demand for rubber gloves is not expected to recover soon. In the foreseeable future, the market will remain weak, competition continue to be intense, and profitability adversely impacted.


Supermax Corp (SUCB MK): Gloves ASP Decline and Rising Input Costs Lead to Gloomy Business Outlook

Malaysia

Hartalega Holdings Bhd. manufactures a wide range of latex gloves. The Company's products include natural rubber examination gloves, nitrile examination gloves, nitrile clean room gloves and natural rubber surgical gloves.

Hartalega Holdings (HART MK)

Hartalega Holdings Berhad - Still Challenging

Results were above our estimate as we are forecasting a net loss for full-year FY24F but below consensus net profit forecast of RM223.8m.

Public Investment Bank Bhd

Results Note - Hartalega Holdings - A Weak Start to FY24

HARTA’s 1QFY24 results disappointed. It reiterated that the challenging business landscape will persist throughout 2023. We widen our FY24F net...

Kenanga Investment Bank Bhd

Ansell Ltd (ANN AU): Worst Not Over Yet; Unfavorable Macro Backdrop Persists; Bleak FY24 Guidance

Ansell reported 11% decline in revenue in FY23, due to significant customer destocking in healthcare business. With continued near-term sector...

Tina Banerjee

Ansell Ltd (ANN AU): Macro Headwind to Negatively Impact Near-Term Financial Performance

Ansell reported 12% YOY revenue decline in H1FY23, dragged by 22% revenue decline in healthcare business, due to lower volume and ASP. The company...

Tina Banerjee

Supermax Corp (SUCB MK): Gloves ASP Decline and Rising Input Costs Lead to Gloomy Business Outlook

Softening glove ASP, rising input cost, and forex loss have led Supermax recording first-ever quarterly loss in Q2FY23. Amid challenging...

Tina Banerjee

Hartalega Holdings Berhad - Still Challenging

Results were above our estimate as we are forecasting a net loss for full-year FY24F but below consensus net profit forecast of RM223.8m.

Public Investment Bank Bhd

Results Note - Hartalega Holdings - A Weak Start to FY24

HARTA’s 1QFY24 results disappointed. It reiterated that the challenging business landscape will persist throughout 2023. We widen our FY24F net...

Kenanga Investment Bank Bhd

Ansell Ltd (ANN AU): Worst Not Over Yet; Unfavorable Macro Backdrop Persists; Bleak FY24 Guidance

​Ansell reported 11% decline in revenue in FY23, due to significant customer destocking in healthcare business. With continued near-term sector...

Tina Banerjee

Ansell Ltd (ANN AU): Macro Headwind to Negatively Impact Near-Term Financial Performance

Ansell reported 12% YOY revenue decline in H1FY23, dragged by 22% revenue decline in healthcare business, due to lower volume and ASP. The company...

Tina Banerjee

Supermax Corp (SUCB MK): Gloves ASP Decline and Rising Input Costs Lead to Gloomy Business Outlook

Softening glove ASP, rising input cost, and forex loss have led Supermax recording first-ever quarterly loss in Q2FY23. Amid challenging...

Tina Banerjee

Ansell reported 11% decline in revenue in FY23, due to significant customer destocking in healthcare business. With continued near-term sector...