18/03/2026

BIZ & FINANCE WEDNESDAY | MAR 18, 2026

20

MARKETS/FROM THE BROKERS

SUNBIZ presents extracts of a selection of commentaries and research reports received from stockbrokers on counters that could be of interest to investors.

DISCLAIMER: The information is extracted from stockbrokers’ commentaries and research reports and do not represent the views or opinions of Sun Media Corporation Sdn Bhd. It is not a solicitation, recommendation or an offer to buy or sell the equities featured. Sun Media Corporation shall not be liable or responsible for any consequences resulting from usage of the information.

[ Compiled by SunBiz Team

HLIB expects Sunway Healthcare FY26 revenue to increase 19% KUALA LUMPUR: Sunway Healthcare Holdings’ revenue is projected to rise 19.2% year-on-year (y-o-y) in the financial year ending Dec 31, 2026 (FY26), supported by stronger contributions across all hospitals, Hong Leong Investment Bank Bhd (HLIB) said. HLIB also expects the group’s core profit after tax and minority interest (PATMI) to grow by 20.5% on a year-on-year (y o-y) basis, slightly outpacing its projected revenue growth, underpinned by an improvement in its earnings before interest, taxes, depreciation and amortisation (EBITDA) margin from 23.2% to 24.6%. “The margin expansion is expected to be driven by favourable operating leverage at Sunway Medical Centre (SMC) Penang, alongside positive EBITDA contributions from SMC Damansara and SMC Ipoh, with both SMC Damansara and SMC Ipoh having turned EBITDA-positive in August 2025 and January 2026, respectively,” HLIB said in a note issued yesterday. HLIB maintained its FY26 and FY27 forecasts for Sunway Healthcare. In a filing with Bursa Malaysia on Monday, Sunway Healthcare reported a net profit of RM252.21 million for FY25, down from RM257.5 million recorded in the previous year. The bank noted that FY25 core profit after tax and minority interest (PATMI) remained flat on a year-on-year (y-o-y) basis at RM252.2 million, coming in largely in line with its full-year estimate at 103%. No consensus estimates are currently available for comparison at this juncture. Sunway Healthcare is scheduled to make its debut on the Main Market of Bursa Malaysia on March 18, according to available information. – Bernama

THE ringgit continued its upward momentum yesterday, closing higher against the US dollar as news of some ships being allowed safe passage through the Strait of Hormuz eased demand for safe haven assets and lifted regional currencies. At 6pm, the local currency strengthened to 3.9155/9200 against the greenback from Monday’s close of 3.9260 /9310. SPI Asset Management managing partner Stephen Innes said the vital shipping route was showing signs of recovery, with some major vessels passing through over the past 24 hours, despite reports suggesting it was on the verge of a complete shutdown. “A Pakistan-flagged Aframax (ship) cleared the Strait of Hormuz, en route to Karachi, and Iran-linked traffic has picked up meaningfully, with a dozen vessels moving through in the past 24 hours, including a very large crude carrier heading to China. This shift takes the edge off the panic bid in the US dollar and offers some relief for regional currencies,” he told Bernama. The local note was mostly lower against other major currencies. It rose against the Japanese yen to 2.4603/4632 from 2.4639/4672 at Monday’s close, but depreciated versus the British pound to 5.2205/2265 from 5.2008/2074, and eased vis-à-vis the euro to 4.5063/5115 from 4.4945/5002. The local currency traded mostly higher against most Asean currencies. It was slightly higher against the Singapore dollar at 3.0635/0673 from 3.0650/0692 at Monday’s close, inched up vis-à-vis the Indonesian rupiah to 230.3/230.7 from 230.9/231.3, and advanced versus the Philippine peso to 6.54/6.56 from 6.55/6.56 previously. However, it edged down versus the Thai baht to 12.0957/1167 from 12.0644/0857 on Monday. Ringgit closes higher as tension in Strait of Hormuz eases

Exchange Rates

FOREIGN CURRENCY

SELLING TT/OD

BUYING TT

BUYING OD

1 US DOLLAR

3.9980 2.8310 3.1180 2.9110 4.5850 2.3400 3.1180 5.3100 5.0880 3.3210 58.1800 62.9000 51.4400 4.4100 0.0245 2.5240 42.2400 1.4900 6.7800 110.1800 107.3200 24.7400 1.3500 43.9500 12.8400 109.7900 N/A

3.8490 2.7140 3.0170 2.8270 4.4320 2.2520 3.0170 5.1340 4.8660 3.0780 55.6600 57.8200 48.8200 4.1000 0.0217 2.4050 38.8100 1.3300 6.3700 104.6000 101.8800 22.3300 1.1700 39.9800 11.3700 103.9700 N/A

3.8390 2.6980 3.0090 2.8150 4.4120 2.2360 3.0090 5.1140 4.8510

1 AUSTRALIAN DOLLAR 1 BRUNEI DOLLAR 1 CANADIAN DOLLAR 1 NEW ZEALAND DOLLAR 1 SINGAPORE DOLLAR 1 STERLING POUND 1 SWISS FRANC 100 UAE DIRHAM 100 BANGLADESH TAKA 100 CHINESE RENMINBI 100 DANISH KRONE 100 HONGKONG DOLLAR 1 EURO

103.7700

2.8780

N/A

57.6200 48.6200 3.9000 0.0167 2.3950 38.6100 1.1300 6.1700 104.4000 101.6800 22.1300 0.9700 39.7800 10.9700 N/A

100 INDIAN RUPEE

100 INDONESIAN RUPIAH

100 JAPANESE YEN

100 NEW TAIWAN DOLLAR 100 NORWEGIAN KRONE 100 PAKISTAN RUPEE 100 PHILIPPINE PESO

100 QATAR RIYAL 100 SAUDI RIYAL

100 SOUTH AFRICA RAND 100 SRI LANKA RUPEE 100 SWEDISH KRONA

100 THAI BAHT

Source: Malayan Banking Bhd/Bernama

AME Elite Consortium Bhd Buy. Target price: RM2.30

ITMAX System Bhd Buy. Target price: RM5.83

REITs Overweight

March 17, 2026: RM4.74

March 17, 2026: RM1.50

Source: Bloomberg

Source: Maybank Investment Bank

Source: Bloomberg, RHB

ITMAX System Bhd is an AI-powered integrated digital infrastructure service provider. The company provides safe and sustainable intelligent city solutions by installing and providing Public Space Networked Systems and leading solutions in the field of smart cities and data analytics in Malaysia. Its core strength lies in developing networking solutions for lighting systems, traffic management systems, video surveillance, communication network and related AI. On March 16, ITMAX announced that its 65%-owned subsidiary Southmax had accepted the Letter of Appointment awarded by Majlis Bandaraya Johor Bahru to serve in the capacity of a smart parking operator for on-street parking within MBJB’s jurisdiction. The contract spans across a 15-year period commencing from May 1, 2026 and operates under a revenue sharing model, whereby Southmax is entitled to 70% of the collections from ITMAX’s payment and booking platform Parkmax. With management guiding approximately 70,000 parking bays within MBJB’s jurisdiction, we estimate this could generate an additional RM17 million in revenue to ITMAX annually. By leveraging on technology-driven systems, ITMAX aims to bolster enforcement efficiency, optimise collection rates and deliver a more seamless experience for the public. This appointment marks ITMAX’s eighth smart parking contract in the state, effectively securing coverage across half of Johor’s 16 local councils. We view this development positively as it reaffirms ITMAX’s operational capabilities whilst simultaneously further solidifying its foothold within the Southern region. BUY with RM5.83 TP. – Maybank Investment Bank, March 17

DESPITE its relatively small market cap, Johor-based AME is a key Johor-Singapore Special Economic Zone play as it is an expert developer for industrial park and contractor for industrial projects. Although the MoU with SD Guthrie to develop a 641-acre land has lapsed, AME is keeping up its effort to acquire new land. Recently, AME bought a 31.8-acre land in Senai at RM73 psf for niche development, similar to its 37.5-acre i-Tech Hub in Taman Teknologi. Based on our estimate, the new land could potentially fetch a GDV of RM350 million, as land and product pricing would be similar to its hot-selling i-Park projects in Johor. As more developers are penetrating the industrial development space, competition for industrial buyers and tenants is undeniably intensifying. However, given AME’s strategic construction arm, management is now tendering for more construction jobs. Lately, the company secured a high-value job – RM214 million construction contract from KLIA Aeropolis to build a specialised aircraft engine testing facility, which should drive construction earnings in FY27. Its current tenderbook stands at RM800 million. AME’s 9M’26 new sales of RM416 million has already surpassed management’s target of RM400 million. The recent sale of five industrial properties to CapitaLand Malaysia Trust in i-TechValley worth RM220.8 million boosted total sales significantly, and currently there are bookings worth RM123.7 million in hand. We believe the new Northern TechValley and i-Park @ Coalfield will contribute to sales in FY27-28. Just last week, AME opened its sales

THE KLREI–10-year Malaysian Government Securities yield spread stands at 150bps, broadly in line with its long-term mean, with consensus expecting continued easing in bond yields in 2026. All eight stocks under our coverage met expectations. IGB REIT (IGBREIT) saw a big jump in quarterly earnings (net profit: +21% QoQ), largely due to contributions from Mid Valley Southkey (completed in Nov 2025). For office REITs, IGB Commercial REIT (IGBCR) stood out, with FY25 net profit rising +35% YoY, driven by improved occupancy (from 88% to 92%) and higher average rent per sq ft (from RM6.37 to RM6.59). For industrial REITs, Axis REIT recorded +25.9% YoY earnings growth, supported by income contributions from new acquisitions (RM0.7 billion) completed in FY24. Sector fundamentals remain intact, supported by high occupancy levels and stable rental reversions. Separately, RHB Economics expects Bank Negara Malaysia to maintain an accommodative stance, with the OPR projected to hold steady at 2.75% in 2026, which should help contain borrowing costs and support REITs to continue pursue acquisitions. On the demand side, Malaysia’s inbound tourism expenditure expanded by 41% YoY to RM107 billion in 2024 (latest Department of Statistics data), surpassing pre-pandemic levels. We expect this recovery momentum to continue, supported by initiatives such as Visit Malaysia 2026. This should benefit retail REITs with meaningful variable rent exposure, including PREIT, IGBREIT, and Sunway REIT. For the office segment, sentiment has remained weak, with many office REITs still trading below book value. – RHB Research, March 17

office at Coalfield to kick start marketing activities. BUY with RM2.30 TP. – RHB Research, March 17