Malakoff to bounce back

a significant chunk of the group’s earnings are recurring in nature with minimal counter party risk. This is because earnings from Malakoff’s power generation segment are governed under the Power Purchase Agreements (PPA).Malakoff (File pic: Malakoff's Tanjongbin coal fired power plant.)

KUALA LUMPUR: Despite a lacklustre performance by Malakoff Corp Bhd for the financial year 2020 (FY20), analysts are still holding out on the company due to its stable earnings prospects.

Kenanga Research described Malakoff’s Q4FY20 as disappointing with results missing forecasts and core profit tumbling 18% to RM41.6mil. The company’s total FY20 core profit came in at RM253.5mil, which was 26% and 25% below Kenanga’s and consensus estimates respectively.