Wah Seong earnings likely to improve by 12%

“We raise our FY23-24 earnings estimates by 13% and 12% respectively to reflect this new job win from Yinson,” says HLIB Research.

PETALING JAYA: Wah Seong Corp Bhd (Wasco) remains a “buy” with analysts due to the RM558mil contract clinched on Wednesday as it will provide earnings visibility and growth into financial year 2023 (FY23).

The floating production, storage and offloading (FPSO) topside modules related contract award by Yinson Azalea Production Pte Ltd, a unit of Yinson Holdings Bhd, takes Wasco’s existing order book value to RM3.5bil. Works on the project are scheduled to be completed within 24 months.