About June 2009, a big boost Mudajaya investment, and let's check back the historical price of that time Mudajaya. It was around RM4.50!!
On the passed few years, Mudajaya was involving in power business aggressively. One of the largest power plant was going to start operate this year, which was India IPP 26% holded by Mudajaya. First plant was predicted to operate by Aug or Sep 2014.
Details:
The size: 4 units of 360 mw, totaling 1440 mw.
Cost: The total construction cost is about 1440 mw X US $ 1.5 million X 3.20 = RM 6,912 million.
Coal consumption: 1440 mw X 4,500 ton = 6,480,000 ton per year
Coal consumption cost at US $ 30 per ton = 6,480,000 X 30 X Rm 3.20 = Rm 622 million per year.
Power line construction cost: Rm 2 million per kilometer
The estimated profit Mudajaya could make is RM70mil p.a for 25 years.
Mudajaya was just acquired 70% of PT Harmoni Energy Indonesia. Future power projects are also involved Myanmar and Philippine. 5MW solar energy already generating energy at Gebeng, Pahang.
As we know, KLSE was high and we need to choose stock carefully. International power based, recurring profit, I believe Mudajaya will soon be re-rated.
update (20th Aug '14): CEO has mentioned that there were less property development in 2014 while JV with Mulpha will still go on. Mulpha has bought land but development plan and launching scheduled after GST. Construction job has zero book order for this period because of the profit margin is extremely low according CEO, around 1%. CEO emphasized that they are not doing nothing. They has been aggressively venturing into Power/Renewable Energy in countries like Indonesia and Philippines.
update (1st Dec '14): Bags RM55.5m in job from Siemens Malaysia. Mudajaya Group's unit, Mudajaya Corp (MCB) has signed a contract with Siemens Malaysia for a project worth RM55.5m. Mudajaya Group said the project was related to the construction and completion of the main civil works for Pengerang Cogen Power Plant, Johor. The project, which is 'without optional works', is expected to complete by Feb 5, 2016. In the event that Siemens Malaysia orders the optional works, MCB should be entitled to an equitable adjustment to reflect the increase or decrease in time required to perform the optional works or any part thererof, it said. Mudajaya Group said the optional works were valued at RM157.9m. While at the same time, price fall to 50% RM1.78 compared to peak when 2013. Quarterly results shows very bad, EPS 0.20sen, contributed PE to become 18.5.
Update on 27th Feb 15:
overall performance was affected by the additional costs, and increase in construction related costs. VO claims were recognized pending the finalization of the overall claims with the clients. Power segment recorded RM1.3 million PBT merely derived from 10MW solar energy, Gebeng, Pahang.
The Group has completed the 40% acquisition of Amihan Energy Corporation, a company involved in a wind energy project in the Philippines and is currently in the process of acquiring a 2 x 7MW coalfired power project in Indonesia.
Lost 18.48 sen per share. When will deficit be stopped?
Borrows RM390 mil non-current liabilities.
