KESM H1 results below forecast on weak external environment

“Its strong net cash position and management also appeal. Maintain ‘hold’ with an unchanged 12-month target price of RM8.21,” Affin Hwang Capital Research said.

KUALA LUMPUR: Burn-in tester KESM Industries Bhd’s first half-year results were below expectations as an anticipation of a recovery was likely pushed back due to the weak external environment.

Covid-19 is likely to negatively impact earnings while the recent crude oil crisis could also push back consumption spending on automotive, Affin Hwang Capital Research said in a report.