AXIATA – Fundamental Analysis (20 May 2015)

AXIATA Analysis:-

Excel –

Notes –

My View:-

  • Valuation:
    • Absolute EY%:
      • Trailing:
        • FY14 (EPS: 0.272) – Fair value 6.24 (Fair Value Uncertainty: HIGH)
        • R4Q (EPS: 0.263) – Fair value 6.02 (Fair Value Uncertainty: VERY HIGH)
      • Forward:
        • FY15 (EPS: 0.295) – Fair value 6.77 (Fair Value Uncertainty: HIGH)
        • FY16 (EPS: 0.317) – Fair value 7.26 (Fair Value Uncertainty: HIGH)
      • EPS applied to reach the current stock price (6.75): 0.295
  • Management alluded to a potentially weak 1Q15 for Celcom, as
    • The IT issues have still not been fully resolved and,
    • There is likely some spill-over impact from the East Coast floods.
  • High challenges ahead as the results weren’t good in FY15 Q1.
    • Celcom recorded lower earnings due to higher operation and network costs
    • XL recorded losses of RM215.4m due to the integration of Axis and high network expansion costs
    • More capex was channelled to Celcom and Bangladesh operations in 1Q15
    • Robi – Impacted by
      • country-wide political unrest and blockage
      • higher depreciation and amortisation charges.
  • Earnings growth from Celcom and XL remains uncertain, and sizable exposure to forex is a known risk to AXIATA’s earnings.
  • I will continue to hold, but won’t accumulate AXIATA in the near term.

Latest Financial – Q1 2015 Financial Report (19 May 2015)

At the time of writing, I owned shares of AXIATA.


5 thoughts on “AXIATA – Fundamental Analysis (20 May 2015)

  1. @Chong, what is happening to this announcement?

    22 May 2015
    1. Details of Corporate Proposal

    Involve issuance of new type/class of securities ? No
    Types of corporate proposal Others
    Details of corporate proposal Restricted Share Plan
    No. of shares issued under this corporate proposal 3,749,600
    Issue price per share ($$) Malaysian Ringgit (MYR) 4.1800
    Par Value ($$) Malaysian Ringgit (MYR) 1.000
    Latest issued and paid up share capital after the above corporate proposal in the following

    Units 8,606,907,351
    Currency Malaysian Ringgit (MYR)
    Listing Date 25 May 2015


    • The result wasn’t so good. It is a short term problem. 6.4 is the support.

      Also people sold down many stocks during release of 11MP.


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