May 24, 2024 - $YTLPOWR (6742.MY)$ shares fell 9.29% to RM 4.88 in trading on Friday. The company released its 24Q1 financial results. Revenue fell but net profit increased significantly.

2024 First Quarter  Financial Highlights

-The revenue for this quarter is RM 5159.8 million, down 3.8% compared to RM 5357.5 million in the same period last year.

-The net profit (attributable to ordinary equity holders of the parent) for this quarter reached RM 698.69 million, up 34.5% compared to RM 519.64 million in the same period last year.

-This quarter's dividend is declared at 3 sen per share, compared to 2.5 sen in the same period last year.

Business Outlook

1. Power Generation:

   • YTL PowerSeraya, a subsidiary, has an agreement with TNB Genco to export and import 100MW of electricity to Singapore via an interconnector, marking the first commercial supply of electricity from Malaysia to Singapore.

   • The lifting of Malaysia's export ban on renewable energy is a positive development for the green electricity market, with YTL PowerSeraya well-positioned to participate in the green energy import market.

   • YTL PowerSeraya won a proposal to develop a 600MW hydrogen-ready CCGT power plant, which aligns with the company's commitment to environmentally sustainable practices.

   • The power generation segment will focus on customer service, operational efficiency, and exploring diversification into integrated multi-utilities supply.

2. Water & Sewerage:

   • Wessex Water, an appointed business, is working towards delivering investment commitments agreed with the regulator and discussing plans for the next price review.

   • The company is exploring opportunities for organic growth within the wider UK group.

3. Telecommunications:

   • YES #FirstTo5G and Infinite data plans are providing unlimited 5G plus 4G data, with plans to extend 5G services across the country in line with DNB's 5G network rollout.

   • The company is looking to increase its subscriber base through partnerships and collaborations.

4. Investment Holding Activities:

• Development of the YTL Green Data Center Park, co-powered by on-site renewable solar energy, is underway.

• The consortium with Sea Limited was awarded a digital banking license, aiming to contribute to Malaysia's digital transformation and broaden financial services access.