Eco World Development Group "Upbeat on outlook, posturing for growth" (Buy) Lee

研报英文原文证据摘录

Eco World Development Group "Upbeat on outlook, posturing for growth" (Buy) Lee

Global Research

18 June 2026ab

Eco World Development Group Equities

MalaysiaUpbeat on outlook, posturing for growth

Real Estate

12-month rating Buy

On track to beat sales target, more confident on margins

We find EcoWorld's 1H results encouraging overall. The confluence of strong +36% YoY 12m price target RM2.42

growth in 1H's earnings and relatively upbeat guide on sales and margins offers room

for optimism around FY27, particularly where FY26 was a high base for lumpy land sale

Price (18 Jun 2026) RM2.11

recognitions. On the whole, we expect EcoWorld to beat its own FY26 property sales

target of RM4.0bn, while its balance sheet also appears ready for reinvestment into new RIC: ECOW.KL BBG: ECW MK

landbanks and high quality development projects – both of which paves the way for

Trading data and key metrics

more earnings upgrades. While a broad-based recovery remains unclear for now,

52-wk range RM2.30-1.85

EcoWorld's results potentially suggest some positive read-through to the sector. To recap

the situation across April-May'2026, property developers were relatively cautious Market cap. RM6.22b/US$1.51b

around cost inflation, work stoppages and launch delays. Shares o/s 2,949m (ORD)

Free float 33%

Results broadly in line with UBS. 1H FY26 PATMI of RM286m (+36% YoY) was Avg. daily volume ('000) 2,393

broadly in line at 56% of UBS' full year estimates. Recap that lumpy data centre Avg. daily value (m) RM5

land sale recognitions are front loaded into the year, which may mean sequentially

Common s/h equity (10/25E) RM5.11b

lower HoH results in 2H FY26.

P/BV (10/25E) 1.2x

Steady 2Q dividend. EcoWorld is declaring a 2¢ dividend this quarter, steady Net debt to EBITDA (10/25E) 4.0x