Zhitong Finance and Economics learned that Xiniu** issued a research report saying that it was the first to give Penang Jie Keda (01665) "* rating, with a target price of 1.."HK$23. The bank estimates that the company's revenue growth over the next three years will be about 162%-23.4% and estimated that the group will be able to achieve total revenue of more than RM1 billion by 2025. According to **, it is possible to achieve about 1Net profit of RM400 million increased by 6% year-on-year8%。The bank believes that depreciation and staff costs will weaken the group's profitability in the short term, but the net profit margin is expected to recover to 21%-22% after the completion of the third phase of the plant.
The main points of Xiniu** are as follows:
It mainly provides automation technology and solutions for multinational manufacturers in the automotive, semiconductor, telecommunications, consumer electronics, and medical industries.
In the first nine months of 2023, Penang Jakoda achieved a total revenue of about 5RM200 million, of which 685% and 315% came from the Automated Testing Equipment (ATE) and Factory Automation Solutions (FAS) businesses, respectively.
Walk on the right track :
Penja Keda is an asset-light enterprise focusing on R&D, and about 70% of the company's employees are R&D personnel. The Group's experienced management team, technology-driven and customised solutions bring flexibility to respond to market changes. In 2018, it actively developed solutions related to 3D sensing, which was one of the important upgrades and catalysts for the mobile phone market at that time. By 2020, thanks to the rapidly rising penetration rate of ADAS and new energy vehicles, the automotive industry has become one of the main gains**. It is no coincidence that the management and the Group's business model play a very important role in helping the Group to run on the right track.
Future growth drivers:
The Medical Business segment is an important component of the orders placed by Penja Keda, and the Group has also successfully established three major revenues** from the Medical Business segment, namely i) machinery and equipment through designated and approved distributors**, ii) factory automation solutions for customers, and iii) manufacturing single-purpose medical devices. In addition, the Group's successful entry into the global ** chain of automotive semiconductor players has directly benefited from the increased penetration rate of electric vehicles and the enhancement of technology.