Equity Analysis /
Malaysia

MY : GHL Systems Bhd - Improving near-term prospects

    Mohd Shanaz Noor Azam
    Mohd Shanaz Noor Azam

    Technology Analyst

    CGS-CIMB
    25 November 2021
    Published by

    9M21 core net profit missed expectations at 59%/51% of our/Bloomberg consensus estimates due to lower-than-expected GP margin from TPA. We cut FY21-23F EPS, but expect earnings to recover from 4Q21F onwards in view of a pick-up in economic activities amid rising vaccination rates. Retain Reduce with a higher RM1.55 TP as we roll over valuation to end-22F.