Industrials

• Bowing before bureaucratic, governmental, societal, and perhaps finally shareholder pressure, Aeon Co Ltd (8267 JP) Friday announced it is rolling up two big subsidiaries. 
• Aeon Mall will be merged with Aeon in a share exchange and Aeon Delight (9787 JP) will be taken over via slightly long-dated Tender Offer which starts Monday.
• This is probably the wrong price, but it isn’t egregiously wrong I expect. And it would be difficult to block. I expect it gets done easily.

• Aeon Delight (9787 JP) has recommended a tender offer from Aeon Co Ltd (8267 JP) at JPY5,400 per share, a 15.3% premium to the last close.
• Despite the skinny premium, the offer is reasonable compared to historical trading ranges and peer multiples. The offer represents an all-time high. 
• The offer aligns with the midpoint of the special committee IFA’s DCF valuation range and is marginally below the Board’s requested price. The required minority acceptance rate is attainable. 

• January air cargo activity moderated; timing of LNY holiday also made for tough comps
• January Int’l air cargo tons at US gateways grew far less than inbound (ocean) TEUs
• Data from Asian carriers & US gateways indicates low utilization, softening growth

• I tally 56 – mostly firm, mostly Asia-Pac – transactions currently being discussed and analysed on Smartkarma.
• Two new deals discussed this week: Mixi Inc (2121 JP)‘s Offer for PointsBet Holdings (PBH AU), and Tonami Holdings (9070 JP)‘s MBO. CICC (3908 HK)/China Galaxy (6881 HK) merger rumoured.
• Key updates/news took place on: SG Fleet (SGF AU), Silk Logistics (SLH AU), Jamco Corp (7408 JP), and Makino Milling Machine Co (6135 JP).

• Price momentum for deep sea container carriers continued to plunge in January 2025
• January’s revenue decline vs the Summer peak also historically bad despite LNY boost
• We take down emerging consensus view that “all trade disruptions are good for carriers”

• Arwana Citramulia published a solid set of FY2024 results, with sales growth to +7.4% YoY, although FY2024 net profit was down slightly due to cost pressures and higher promotional spending.
• The company continues to see a favourable product mix shift towards higher-end tiles, especially its ARNA porcelain brand. New capacity coming on stream in 2025 will provide a further boost.
• The gas subsidy has yet to be confirmed for the ceramic industry, but expectations are that it will come through shortly. Arwana Citramulia valuations remain attractive, with higher growth ahead.

• In this insight, we provide the top 10 stocks picks and key catalysts in the Korean stock market for the two weeks starting 3 March.
• Our top 10 Korean stock picks from 14 to 28 January are down on average 1.8%, slightly outperforming KOSPI which is down 2.2% in the same period.
• The top 10 Korean stock picks (bi-weekly) include SL Corp, Korea Electric Terminal, BNK Financial, S1, LX International, Doubleugames, Samsung C&T, Amorepacific Corp (pref), SK Telecom, and POSCO International. 

• This insight provide a list of 43 stocks (2 KOSPI and 41 KOSDAQ) with end of mandatory lock-up periods for certain shares in March 2025.
• Some of the companies mentioned in this insight which highlights the end of major lockup periods in March could help to narrow down the list of candidates for potential shorting.
• Among these 43 stocks, the top five market cap stocks that could be sold after end of lock-up/total outstanding shares include Hanwha Engine, GI Innovation, Orum Therapeutics, and Angel Robotics.

• In this edition: • Ahold Delhaize | Jumbo has found an interim CEO • KPN | Ziggo to increase the download speed for all broadband subscribers • Unilever | former owners believed to be interested in buying back Ben & Jerry’s • InPost / PostNL | Vinted Go to roll out APMs in the Netherlands and Belgium • Van Lanschot Kempen | some post-earnings call remarks • Kendrion | sets itself a challenging FY25 EBITDA-margin goal of at least 15%

• Price momentum for deep sea container carriers continued to plunge in January 2025
• January’s revenue decline vs the Summer peak also historically bad despite LNY boost
• We take down emerging consensus view that “all trade disruptions are good for carriers”

• Arwana Citramulia published a solid set of FY2024 results, with sales growth to +7.4% YoY, although FY2024 net profit was down slightly due to cost pressures and higher promotional spending.
• The company continues to see a favourable product mix shift towards higher-end tiles, especially its ARNA porcelain brand. New capacity coming on stream in 2025 will provide a further boost.
• The gas subsidy has yet to be confirmed for the ceramic industry, but expectations are that it will come through shortly. Arwana Citramulia valuations remain attractive, with higher growth ahead.

• In this insight, we provide the top 10 stocks picks and key catalysts in the Korean stock market for the two weeks starting 3 March.
• Our top 10 Korean stock picks from 14 to 28 January are down on average 1.8%, slightly outperforming KOSPI which is down 2.2% in the same period.
• The top 10 Korean stock picks (bi-weekly) include SL Corp, Korea Electric Terminal, BNK Financial, S1, LX International, Doubleugames, Samsung C&T, Amorepacific Corp (pref), SK Telecom, and POSCO International. 

• This insight provide a list of 43 stocks (2 KOSPI and 41 KOSDAQ) with end of mandatory lock-up periods for certain shares in March 2025.
• Some of the companies mentioned in this insight which highlights the end of major lockup periods in March could help to narrow down the list of candidates for potential shorting.
• Among these 43 stocks, the top five market cap stocks that could be sold after end of lock-up/total outstanding shares include Hanwha Engine, GI Innovation, Orum Therapeutics, and Angel Robotics.

• In this edition: • Ahold Delhaize | Jumbo has found an interim CEO • KPN | Ziggo to increase the download speed for all broadband subscribers • Unilever | former owners believed to be interested in buying back Ben & Jerry’s • InPost / PostNL | Vinted Go to roll out APMs in the Netherlands and Belgium • Van Lanschot Kempen | some post-earnings call remarks • Kendrion | sets itself a challenging FY25 EBITDA-margin goal of at least 15%

• Yesterday, Japan Post Holdings (6178 JP) announced an MBO for Tonami Holdings (9070 JP) whereby the family/execs will stay on. JPH will own 99.97%, the execs/family 0.03%.
• This deal is yet another in a line of logistics deals dating back the last 2+ years where the premium has been quite big. This time is +74%. 
• But this is not overly expensive. Makes me go hmmmm… 

• Premier Energies raised around US$337m after pricing the deal at the top end of the range in Sep 2024. Its IPO linked lockup is set to expire soon.
• Premier Energies is a manufacturer of solar photovoltaic (PV) cells, and solar modules. It also executes engineering, procurement, and construction (EPC) projects and provides follow-up operation and maintenance (O&M) services
• In this note, we will talk about the lockup dynamics and possible placement.

• JPX-Nikkei 400 is composed of common stocks listed on the Tokyo Stock Exchange. It is a free-float-adjusted capped index composed of 400 constituents.
• The annual index review takes place in August every year. We look at the latest rankings of potential ADDs/DELs every month.
• Below is a look at the rankings of potential ADDs/DELs for the JPX-Nikkei 400 August 2025 rebalance based on trading data as of end-February 2025.

• Yesterday, Japan Post Holdings (6178 JP) announced an MBO for Tonami Holdings (9070 JP) whereby the family/execs will stay on. JPH will own 99.97%, the execs/family 0.03%.
• This deal is yet another in a line of logistics deals dating back the last 2+ years where the premium has been quite big. This time is +74%. 
• But this is not overly expensive. Makes me go hmmmm… 

• Premier Energies raised around US$337m after pricing the deal at the top end of the range in Sep 2024. Its IPO linked lockup is set to expire soon.
• Premier Energies is a manufacturer of solar photovoltaic (PV) cells, and solar modules. It also executes engineering, procurement, and construction (EPC) projects and provides follow-up operation and maintenance (O&M) services
• In this note, we will talk about the lockup dynamics and possible placement.

• JPX-Nikkei 400 is composed of common stocks listed on the Tokyo Stock Exchange. It is a free-float-adjusted capped index composed of 400 constituents.
• The annual index review takes place in August every year. We look at the latest rankings of potential ADDs/DELs every month.
• Below is a look at the rankings of potential ADDs/DELs for the JPX-Nikkei 400 August 2025 rebalance based on trading data as of end-February 2025.

• After the United States Trade Representative’s (USTR) office proposed a raft of fees and other shipping restrictions on Chinese vessels, non-SOE Yangzijiang Shipbuilding (YZJSGD SP) is down 16%.
• Port entrance fees include up to US$1mn/vessel owned by Chinese transport operators; and non-Chinese transport operators operating Chinese-built vessels would pay up to US$1.5mn per port entry
• Fees are currently preliminary, and may, as witnessed in recent Trump policies, be a bargaining chip rather than firm action. If enacted, these measures would curtail a promising Chinese export.

• Tonami Holdings (9070 JP) has recommended a Japan Post Holdings (6178 JP)-sponsored MBO at JPY10,200, a 73.8% premium to the last close.
• The offer is attractive compared to historical trading ranges and peer multiples. The offer represents an all-time high. 
• The offer is above the midpoint of the special committee IFA’s DCF valuation range but below that of the target IFA. However, the required minority acceptance rate is not onerous. 

• We compile our selection of small-cap companies based on our desired characteristics: insider buying, value, near term growth triggers and margin of safety.
• Out top picks are Sarla Performance Fibers Ltd (SRPL IN) , Quess Corp Ltd (QUESS IN) , and GNA Axles Ltd (GNA IN)
• Given the steep correction in small and mid-cap Indian stocks, all the mentioned companies have seen active insider buying in recent weeks.

• Daemyung Sono Group will acquire a controlling 46.26% stake in T’Way Holdings (004870 KS) (THI) held by Yearimdang Publishing (036000 KS). THI looks stretched.
• Preceding my comments on the T’way Group are the current setup/unwind tables for Asia-Pacific Holdcos.
• These relationships trade with a minimum liquidity of US$1mn, and a % market capitalisation >20%.

• TRAXION posted a positive report (above our expectations but below consensus estimates).
• Total revenues increased by 14% YoY, while EBITDA rose 14% YoY with a positive recovery trend (margin expansion compared vs. 1H24).
• Net income amounted to P$203 M, a 3% YoY contraction vs. P$209 M in 4Q23 due to non-recurring expenses related to the 2024 efficiencies plan.

• Posco International Corporation (047050 KS) and SeAH Steel Holdings (003030 KS) are two key beneficiaries of the Trump administration’s efforts to significantly increase the Alaskan gas fields.
• The initial estimated cost of this massive project is about $44 billion for the pipeline and related infrastructure.
• Despite recent rallies, the valuations of POSCO International and Seah Steel Holdings remain attractive. 

• Rocket Lab (RKLB) is a rocket development and space systems company that has seen shares rise 485% over the last year to a $11.2 billion valuation, propelled by investor and analyst excitement over the upcoming launch of Neutron, a medium-lift rocket that RKLB hopes will compete with SpaceX’s Falcon 9. 
• We believe that RKLB has materially misled investors about the likelihood that its Neutron rocket will launch in mid-2025, a timeline the company has repeatedly claimed in media interviews and on earnings calls. In fact, rocket experts we spoke to put the timeline of a rocket launch from mid-2026 to mid-2027, a one to two year delay.
• Many aspects of RKLB’s Neutron program remain far behind where they need to be: from engine development, to engine and structure production, to launch pad construction, to rocket transport to the launch site, per documents we reviewed and 23 interviews with industry experts, including former Rocket Lab engineers and executives. 

• The WTR Sustainable Index was down 1.3% W/W versus the S&P 500 Index (down 1.7%), the Russell 2000 Index (down 3.7%), and the Nasdaq Index (down 2.3%).
• Energy Technology (13.1% of the index) was down 2.2%, while Industrial Climate and Ag Technology (46.3% of the index) was down 1.8%, ClimateTech Mining was up 2.9%, and Advanced Transportation Solutions (21.7% of the index) was down 2.9%.
• Top 10 Performers: SOLO, XOS, EFOI, AZRE, BNRG, KNDI, LOOP, GRB, EGT, CRE

• HNI reported strong 4Q24 margins despite continued revenue headwinds in both Workplace Furnishings (WF) and Residential Building Products (RBP), with adjusted EPS of $0.87 beating our estimate of $0.78 and consensus even as revenue came in lighter than our expectations in both segments.
• See (1) for our summary of the quarter and our variance analysis below.
• EPS should continue to grow through FY26, even on flat revenue, on the basis of (1) continued margin strength, and (2) KII and Mexico synergies delivering $0.70-0.80 EPS growth over the next two years.

• RaaS Research Group has published an update on advanced materials manufacturing group Amaero International (ASX:3DA) following recent events including execution of the credit agreement for the US$22.8m loan from the Export-Import Bank of the United States, the $22m institutional share placement and release of the H1 FY25 results.The company recently announced a $22m institutional placement, priced at $0.30/share, concluding a series of six strategic capital raises since May 2022 to raise $98.5m.
• The company says the proceeds from the raise together with the now executed credit agreement for a US$22.8m (A$36.2m) loan from the Export-Import Bank of the United States (EXIM), will fund Amaero’s planned capital expenditure and operations through to anticipated EBITDA break-even in FY26.
• Separately, Amaero has also released its H1 FY25 accounts, delivering a better-than-forecast underlying EBITDA loss of $7.5m versus our forecast for $9.1m.

• After the United States Trade Representative’s (USTR) office proposed a raft of fees and other shipping restrictions on Chinese vessels, non-SOE Yangzijiang Shipbuilding (YZJSGD SP) is down 16%.
• Port entrance fees include up to US$1mn/vessel owned by Chinese transport operators; and non-Chinese transport operators operating Chinese-built vessels would pay up to US$1.5mn per port entry
• Fees are currently preliminary, and may, as witnessed in recent Trump policies, be a bargaining chip rather than firm action. If enacted, these measures would curtail a promising Chinese export.

• Tonami Holdings (9070 JP) has recommended a Japan Post Holdings (6178 JP)-sponsored MBO at JPY10,200, a 73.8% premium to the last close.
• The offer is attractive compared to historical trading ranges and peer multiples. The offer represents an all-time high. 
• The offer is above the midpoint of the special committee IFA’s DCF valuation range but below that of the target IFA. However, the required minority acceptance rate is not onerous. 

• We compile our selection of small-cap companies based on our desired characteristics: insider buying, value, near term growth triggers and margin of safety.
• Out top picks are Sarla Performance Fibers Ltd (SRPL IN) , Quess Corp Ltd (QUESS IN) , and GNA Axles Ltd (GNA IN)
• Given the steep correction in small and mid-cap Indian stocks, all the mentioned companies have seen active insider buying in recent weeks.

• TRAXION posted a positive report (above our expectations but below consensus estimates).
• Total revenues increased by 14% YoY, while EBITDA rose 14% YoY with a positive recovery trend (margin expansion compared vs. 1H24).
• Net income amounted to P$203 M, a 3% YoY contraction vs. P$209 M in 4Q23 due to non-recurring expenses related to the 2024 efficiencies plan.

• Daemyung Sono Group will acquire a controlling 46.26% stake in T’Way Holdings (004870 KS) (THI) held by Yearimdang Publishing (036000 KS). THI looks stretched.
• Preceding my comments on the T’way Group are the current setup/unwind tables for Asia-Pacific Holdcos.
• These relationships trade with a minimum liquidity of US$1mn, and a % market capitalisation >20%.

• Posco International Corporation (047050 KS) and SeAH Steel Holdings (003030 KS) are two key beneficiaries of the Trump administration’s efforts to significantly increase the Alaskan gas fields.
• The initial estimated cost of this massive project is about $44 billion for the pipeline and related infrastructure.
• Despite recent rallies, the valuations of POSCO International and Seah Steel Holdings remain attractive. 

• Rocket Lab (RKLB) is a rocket development and space systems company that has seen shares rise 485% over the last year to a $11.2 billion valuation, propelled by investor and analyst excitement over the upcoming launch of Neutron, a medium-lift rocket that RKLB hopes will compete with SpaceX’s Falcon 9. 
• We believe that RKLB has materially misled investors about the likelihood that its Neutron rocket will launch in mid-2025, a timeline the company has repeatedly claimed in media interviews and on earnings calls. In fact, rocket experts we spoke to put the timeline of a rocket launch from mid-2026 to mid-2027, a one to two year delay.
• Many aspects of RKLB’s Neutron program remain far behind where they need to be: from engine development, to engine and structure production, to launch pad construction, to rocket transport to the launch site, per documents we reviewed and 23 interviews with industry experts, including former Rocket Lab engineers and executives. 

• The WTR Sustainable Index was down 1.3% W/W versus the S&P 500 Index (down 1.7%), the Russell 2000 Index (down 3.7%), and the Nasdaq Index (down 2.3%).
• Energy Technology (13.1% of the index) was down 2.2%, while Industrial Climate and Ag Technology (46.3% of the index) was down 1.8%, ClimateTech Mining was up 2.9%, and Advanced Transportation Solutions (21.7% of the index) was down 2.9%.
• Top 10 Performers: SOLO, XOS, EFOI, AZRE, BNRG, KNDI, LOOP, GRB, EGT, CRE

• HNI reported strong 4Q24 margins despite continued revenue headwinds in both Workplace Furnishings (WF) and Residential Building Products (RBP), with adjusted EPS of $0.87 beating our estimate of $0.78 and consensus even as revenue came in lighter than our expectations in both segments.
• See (1) for our summary of the quarter and our variance analysis below.
• EPS should continue to grow through FY26, even on flat revenue, on the basis of (1) continued margin strength, and (2) KII and Mexico synergies delivering $0.70-0.80 EPS growth over the next two years.

• RaaS Research Group has published an update on advanced materials manufacturing group Amaero International (ASX:3DA) following recent events including execution of the credit agreement for the US$22.8m loan from the Export-Import Bank of the United States, the $22m institutional share placement and release of the H1 FY25 results.The company recently announced a $22m institutional placement, priced at $0.30/share, concluding a series of six strategic capital raises since May 2022 to raise $98.5m.
• The company says the proceeds from the raise together with the now executed credit agreement for a US$22.8m (A$36.2m) loan from the Export-Import Bank of the United States (EXIM), will fund Amaero’s planned capital expenditure and operations through to anticipated EBITDA break-even in FY26.
• Separately, Amaero has also released its H1 FY25 accounts, delivering a better-than-forecast underlying EBITDA loss of $7.5m versus our forecast for $9.1m.

• Nidec Corp (6594 JP) released a multi-page document regarding its bid for Makino Milling Machine Co (6135 JP) yesterday. 
• It talked a bit about the back-and-forth with Makino, and gave Nidec’s side of the story. Makino has been making their side public too. A meeting is due early March.
• In the document, there was a line suggesting Nidec won’t raise price even against a counteroffer. They didn’t need to say that. The question is what Makino will do.

• ZTO Express Cayman (2057 HK) will be added to the Hang Seng China Enterprises Index (HSCEI INDEX) next week and to a global index couple of weeks after that.
• Despite passives needing to buy more than 5% of float inside a month, the stock has barely budged in a rallying China market.
• The increase in cumulative excess volume has been very gradual, indicative of low positioning in the stock. With a lot to buy over the next few weeks, that could change.

• Greaves Cotton (GRV IN) is raising funds by separately listing its mobility arm, enabling better focus and execution for the segment.
• Company is guiding for 30,000Cr topline by 2030  with 13-15% margins excluding mobility segment.
• The company’s core business remains profitable and on a growth path. New funds will improve the mobility arm’s operations and support current business growth would be from ongoing capex investments.

• Huge deal with Mitsui purchasing a 40% stake in Roads Ridge for billions of dollars
• Decades-long negotiation process with owners of the asset culminating in the sale
• Roads Ridge is a massive iron ore deposit with potential for long-term production, standing out for its high quality iron content and low phosphorus levels in comparison to other mines in the region

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

• JSW Cement Limited (9858514Z IN)  is looking to raise about US$480m in its upcoming India IPO.
• JSW Cement (JSWC) is a cement manufacturing company in India focused on manufacturing green cementitious products comprising blended cement, ordinary portland cement, ground granulated blast furnace slag, among other products.
• In this note, we talk about the company’s historical performance.

• In today’s edition: • InPost | launches end-to-end C2X parcels service in the UK • Just Eat Takeaway.com | agrees on EUR 20.30 per share offer by Prosus • PostNL | expects FY25 normalised EBIT to be in line with FY24 • PostNL | DHL Netherlands to double APM locations and expands into mail • Corporate agenda | week 9 – 12

• Herc Holdings, operating through its principal brand Herc Rentals, reported its fourth quarter and full year 2024 results showcasing a diversified growth strategy and addressing dynamic market conditions.
• A significant factor in the company’s performance was its expansionary strategy, which saw the opening of 23 greenfield branches and the acquisition of 28 locations, emphasizing its urban market growth strategy.
• These strategic moves have amplified Herc Holdings’ market presence, especially in key metropolitan areas, driving improvements in revenue efficiencies.

• Operating Revenues of P$7.1bn were driven by solid non-aeronautical growth.
• Total operating sales growth of 16% YoY was driven by a solid 32% YoY gain in non-aeronautical revenues, mainly explained by consolidating the cargo and free trade zone business at the Guadalajara airport (GWTC).
• On the other hand, aeronautical revenues (70% of total) increased by 11% YoY because of a 1.4% increase in total PAX and a 14% gain in the aero-weighted average rate.

• Seatrium reported FY24 net profit of S$200 million, revenue growth of 27%, and proposed a 1.5 cent dividend.
• Singtel’s ST28 strategy focuses on connectivity, digital services, and infrastructure, identifying S$6 billion in monetisable assets.
• CapitaLand Investment aims to scale FUM to S$200 billion by 2028, focusing on asset-light, fee income model.

• OMA posted results that were better than expected by the consensus and were in line with our estimates.
• Total EBITDA came in at P$2.4 Bn (+1% above our estimate and +3% above the consensus expectation) with an 8% YoY gain.
• The EBITDA margin was 73.8%, 3.9 pp.

• Nidec Corp (6594 JP) released a multi-page document regarding its bid for Makino Milling Machine Co (6135 JP) yesterday. 
• It talked a bit about the back-and-forth with Makino, and gave Nidec’s side of the story. Makino has been making their side public too. A meeting is due early March.
• In the document, there was a line suggesting Nidec won’t raise price even against a counteroffer. They didn’t need to say that. The question is what Makino will do.

• ZTO Express Cayman (2057 HK) will be added to the Hang Seng China Enterprises Index (HSCEI INDEX) next week and to a global index couple of weeks after that.
• Despite passives needing to buy more than 5% of float inside a month, the stock has barely budged in a rallying China market.
• The increase in cumulative excess volume has been very gradual, indicative of low positioning in the stock. With a lot to buy over the next few weeks, that could change.

• Greaves Cotton (GRV IN) is raising funds by separately listing its mobility arm, enabling better focus and execution for the segment.
• Company is guiding for 30,000Cr topline by 2030  with 13-15% margins excluding mobility segment.
• The company’s core business remains profitable and on a growth path. New funds will improve the mobility arm’s operations and support current business growth would be from ongoing capex investments.

• Huge deal with Mitsui purchasing a 40% stake in Roads Ridge for billions of dollars
• Decades-long negotiation process with owners of the asset culminating in the sale
• Roads Ridge is a massive iron ore deposit with potential for long-term production, standing out for its high quality iron content and low phosphorus levels in comparison to other mines in the region

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

• JSW Cement Limited (9858514Z IN)  is looking to raise about US$480m in its upcoming India IPO.
• JSW Cement (JSWC) is a cement manufacturing company in India focused on manufacturing green cementitious products comprising blended cement, ordinary portland cement, ground granulated blast furnace slag, among other products.
• In this note, we talk about the company’s historical performance.

• In today’s edition: • InPost | launches end-to-end C2X parcels service in the UK • Just Eat Takeaway.com | agrees on EUR 20.30 per share offer by Prosus • PostNL | expects FY25 normalised EBIT to be in line with FY24 • PostNL | DHL Netherlands to double APM locations and expands into mail • Corporate agenda | week 9 – 12

• Herc Holdings, operating through its principal brand Herc Rentals, reported its fourth quarter and full year 2024 results showcasing a diversified growth strategy and addressing dynamic market conditions.
• A significant factor in the company’s performance was its expansionary strategy, which saw the opening of 23 greenfield branches and the acquisition of 28 locations, emphasizing its urban market growth strategy.
• These strategic moves have amplified Herc Holdings’ market presence, especially in key metropolitan areas, driving improvements in revenue efficiencies.

• Operating Revenues of P$7.1bn were driven by solid non-aeronautical growth.
• Total operating sales growth of 16% YoY was driven by a solid 32% YoY gain in non-aeronautical revenues, mainly explained by consolidating the cargo and free trade zone business at the Guadalajara airport (GWTC).
• On the other hand, aeronautical revenues (70% of total) increased by 11% YoY because of a 1.4% increase in total PAX and a 14% gain in the aero-weighted average rate.

• Seatrium reported FY24 net profit of S$200 million, revenue growth of 27%, and proposed a 1.5 cent dividend.
• Singtel’s ST28 strategy focuses on connectivity, digital services, and infrastructure, identifying S$6 billion in monetisable assets.
• CapitaLand Investment aims to scale FUM to S$200 billion by 2028, focusing on asset-light, fee income model.

• OMA posted results that were better than expected by the consensus and were in line with our estimates.
• Total EBITDA came in at P$2.4 Bn (+1% above our estimate and +3% above the consensus expectation) with an 8% YoY gain.
• The EBITDA margin was 73.8%, 3.9 pp.

• The T50 index represents the top 50 largest stocks by market capitalization in the Taiwan Stock Exchange (TWSE). The T100 index represents the next 100 largest names (51-150 ranks).
• Today is the base date for the March 2025 index rebal event and the expected ADDs/DELs discussed in this insight are our final index change expectations.
• We expect one change for T50 and two changes for T100 index for the March 2025 rebalance.

• Wan Hai Lines (2615 TT) is forecast to be added to the Yuanta/P-Shares Taiwan Top 50 ETF in March, replacing Formosa Chemicals & Fibre (1326 TT). 
• Passive trackers will have 2 days of ADV to buy in Wan Hai Lines (2615 TT) and 3 days of ADV to sell in Formosa Chemicals & Fibre (1326 TT). 
• Positioning does not appear to be high in Wan Hai Lines (2615 TT) while any price declines in Formosa Chemicals & Fibre (1326 TT) could be bought.

• Grab Holdings hits new high in EM fund ownership, Sea Ltd reverses downward momentum.
• Both stocks lag more established players in the ASEAN region.
• Grab Holdings attracted the highest number of new investors in the ASEAN region over the last 6-months, though Sea Ltd captures the larger portfolio positions among managers.

• Operating revenues of US$835 m decreased by 7% YoY.
• Top-line results were negatively impacted by a 5% YoY contraction in the ASMs (due to mandatory engine inspections, which resulted in the landing of some airplanes) and a 6% YoY drop in RPMs. Yields in the quarter ended at US$50.0, implying an 8% YoY contraction.
• The load factor in 4Q24 was 87.3%, with a 0.8 pp YoY contraction.

• Ingersoll Rand’s fourth-quarter 2024 earnings present a balanced view of the company’s current performance and future outlook.
• The company reported strong financial results, including robust free cash flow margins and double-digit adjusted EPS growth, despite facing a dynamic global market.
• This performance is attributed to their economic growth engine and the disciplined application of their competitive differentiation strategy, IRX.

• Operating Revenues of P$7.3bn were driven by solid aeronautical growth.
• Total operating sales growth of 19% YoY was driven by a 25% YoY gain in aeronautical revenues, mainly explained by higher average tariffs (+25% YoY), which offset the 0.3% drop in total PAX.
• On the other hand, non-aeronautical revenues (34% of the total) gained 9% YoY, supported by an implicit gain of 9% YoY in the non-aeronautical revenue per PAX.