Malakoff’s involvement in renewable energy projects rising

PETALING JAYA: Malakoff Corp Bhd may see its environmental, social, and governance (ESG) credentials improving following its involvement into renewable energy (RE) projects moving forward.

The company had earlier in the year entered into a heads of agreement to develop, own, operate, and maintain three hydroelectric renewable energy plants in Kelantan.

RHB Research, is positive on the intended business ventures that would see its net renewable energy portfolio rising to about 100 megawatts (MW).

However, it said the achievement had lagged behind its targets of 1000MW (for 2026) and 1,400MW (for 2031).

On the outlook moving forward, Malakoff’s subsidiary Alam Flora performance should continue to underpin the group’s earnings, it said.

However, as coal prices are expected to moderate and Malakoff may continue to see fuel margin fluctuations affecting its bottom line this year.

“We cut financial year (FY) 2023 to 2025 earnings by 6% to 39% to account for negative fuel margins,” the research house said.

Subscribe now to our Premium Plan for an ad-free and unlimited reading experience!

Next In Business News

Bursa Malaysia joins global WIW campaign to combat financial fraud, investment scams
Jorgen Rostrup to resign as CelcomDigi's deputy chairman from Oct 1
MRCB Land announces RM384mil GDV residential project in Kwasa Damansara City Centre
Ringgit ends higher on improving domestic demand
Bursa reprimands, fines Serba Dinamik MD/CEO RM15,000
ASM 3 declares income distribution of 4.5c/unit
UEM Sunrise completes RM350mil Islamic medium-term notes issuance
MAHB appoints Gordon Andrew Stewart as COO
Broad-based selling drags Bursa Malaysia to end at day's low
IHH group CFO to be on garden leave from Sept 30, 2023

Others Also Read