Keyfield sails into new territory with latest vessel


Kenanga Research has raised its earnings forecasts for Keyfield this year and next by between 5% and 6%.

PETALING JAYA: Keyfield International Bhd’s purchase of a cable laying barge is seen as value-accretive, analysts say.

The acquisition is forecast to bring full-year net profit to RM13.2mil and also diversifies the group’s income into the non-oil and gas-related charter business.

The net profit assumption is based on an effective daily charter rate of RM56,000 over a full-year period, said Kenanga Research.

The research house has raised its earnings forecasts for Keyfield this year and next by between 5% and 6%.

It also raised its target price for Keyfield to RM2.12 a share from RM2.03, with an “outperform” rating.

Kenanga Research said it likes Keyfield for its exposure to the rising local demand for offshore support vessels, its relatively young fleet age of eight years and modern vessels which are preferred by clients.

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