Resilient earnings set to continue for utility firms

Staying power: Workers installing the tower at TNB’s GIS switching station in Kuala Lumpur. Analysts say its earnings will remain consistent as long as the IBR is in place.

PETALING JAYA: Kenanga Research is maintaining its “overweight” call on Malaysian utility companies, given their defensive earnings profile and decent dividend yields.

In a report yesterday, the research house noted that the utilities sector is often perceived to be “a boring” segment, considering its “less-than-exciting gross domestic product growth-like earnings”.