Latest news with #Sunway


Skift
16 hours ago
- Business
- Skift
Sunway Hospitality CEO: ‘Miss Climate Targets, Lose Bonus'
For a business, an internal carbon price is a bold and interesting move. Whether it actually cuts emissions remains to be seen. Alex Castaldi, CEO of Sunway's hospitality and travel division, told Skift in an interview about climate change that the company now links a portion of executive bonuses to emissions performance. 'If we don't hit our climate targets, money is taken out of our bonus,' he said. Sunway, headquartered in Malaysia, has committed to net-zero carbon emissions by 2050, with an interim goal of halving emissions by 2030. Alex castaldi, ceo of sunway hospitality, says executive's bonuses are impacted if they miss climate targets. credit: sunway The group, which owns over 12 resorts in Malaysia, Vietnam and

Barnama
2 days ago
- Business
- Barnama
FBM KLCI Erases 0.25 Pct At Mid-afternoon On Heavyweight Selling
KUALA LUMPUR, July 22 (Bernama) -- Persistent selling in selected heavyweights, led by Press Metal, Sunway and Petronas Gas, pushed the key index down by 0.25 per cent by mid-afternoon. Press Metal fell 10 sen to RM5.21, Sunway dropped nine sen to RM4.80, and Petronas Gas declined 26 sen to RM17.56. These three counters collectively contributed 3.28 points to the composite index. At 3 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) fell 3.81 points to 1,520.78 from yesterday's close of 1,524.59. The benchmark index opened 1.70 points higher at 1,526.29 at the opening bell. Across the broader market, decliners overwhelmed gainers 569 to 291, while 468 counters were unchanged, 1,151 untraded and seven suspended. Turnover stood at 2.1 billion units worth RM1.18 billion. Among the heavyweight stocks, Maybank added two sen to RM9.54, Public Bank fell two sen to RM4.28, TNB was flat at RM13.78, and CIMB gained five sen to RM6.57. Among the most active stocks, Zetrix eased one sen to 92.5 sen, Tanco gained one sen to 91.5 sen, NexG rose half-a-sen to 51 sen, and Pharmaniaga declined half-a-sen to 21.5 sen. On the broader index board, the FBM Emas Index fell 36.47 points to 11,425.46, the FBMT 100 Index shed 36.49 points to 11,188.33, and the FBM Emas Shariah Index dropped 52.68 points to 11,457.03.


New Straits Times
2 days ago
- Business
- New Straits Times
Analysts warn of contract risks for Sunway Construction amid MACC Probe
KUALA LUMPUR: Sunway Construction Group Bhd (SunCon), the 65 per cent-owned construction subsidiary of Sunway Bhd, may face near-term headwinds in securing new projects following confirmation that one of its employees is under investigation by the Malaysian Anti-Corruption Commission (MACC) for dealings with certain subcontractors. This development may raise concerns over SunCon's job prospects, pending greater clarity on the outcome of the investigation, CIMB Securities noted. In the first quarter of 2025 (1Q25), SunCon's construction pre-tax profit dipped 2 per cent quarter-on-quarter to RM115 million, accounting for 38 per cent of Sunway Group's overall earnings. CIMB values the segment at RM3.6 billion (or RM0.55 per share), equivalent to 9 per cent of its sum-of-the-parts (SOTP) valuation. Notably, foreign shareholding in SunCon rose significantly, from 7.2 per cent in April to 13 per cent by June 2025. SunCon clarified that the MACC probe is an isolated case and unrelated to the group's contract procurement processes. The company is cooperating fully with authorities and has engaged legal counsel to assess its next course of action. On a more upbeat note, Sunway's property development arm continues to deliver, particularly in Singapore. Jointly developed with long-time partner Hoi Hup Realty, Otto Place is located in the eco-centric, car-lite Tengah Plantation District. During its July 19, 2025 launch, 351 out of 600 units were sold – achieving a 59 per cent take-up rate. Units were priced at an indicative S$1,700 psf under the Normal Payment Scheme, while 72 per cent of buyers opted for the Deferred Payment Scheme with a 3 per cent pricing premium. The car-lite development offers 872–1,195 sq ft units with three- to four-bedroom layouts, eight landscaped zones, and sports facilities. Larger units were especially popular, with over 70 per cent sold at launch – mostly to HDB upgraders. Building on this momentum, Sunway also secured a 3.9-acre parcel at Chuan Grove through a JV with Sing Holdings Residential (35:65 share). The land, acquired for S$704 million (RM2.3 billion) or S$4,131 per sq ft, is slated for private condominium development. While the gross development value is yet to be finalised, CIMB expects these ventures to support Sunway's property earnings, which contribute around 20 per cent to FY25 profit. CIMB maintains a "Hold" call on Sunway, with a SOTP-based target price of RM4.90. Meanwhile, RHB Research is also monitoring the MACC investigation but has not revised its earnings forecasts for SunCon. However, it has downgraded the group's ESG score slightly – from 3.3 to 3.1 – after revising its governance (G) component downward. "We flag risks in terms of securing jobs moving forward," RHB Research said in a note. SunCon will likely enhance its internal governance policies moving forward, RHB said, adjusting its target price to RM6.55 (from RM6.80) to reflect a 2 per cent ESG premium based on the new rating. The valuation is based on fiscal year 2026 (FY26) earnings per share and an unchanged per earnings ratio (P/E) target of 23.5x. Currently, SunCon shares are trading at a forward P/E of 20x for FY26 – a level RHB sees as offering further upside, especially if the company secures upcoming data centre contracts. During the 2017 construction upcycle, when data centres were not a key driver, SunCon traded in a lower P/E range of 15–17x. A potential rerating catalyst, RHB added, would be SunCon winning packages under the Penang Light Rail Transit (LRT) project. The group's last major infrastructure contract was awarded in March 2023 for the Rapid Transit System Link (Package 1B and Package 5). Still, a key downside risk remains: lower-than-expected job wins, it said.


The Star
2 days ago
- Business
- The Star
Flattish start points to range-bound trading
KUALA LUMPUR: The FBM KLCI maintained an uncertain undertone to open a fraction higher on Tuesday, pointing to another session of range-bound trading amid the ongoing consolidation. The index of Malaysian blue chips was up 1.7 points to 1,526.29, inching slightly higher on the back of Wall Street's mostly positive performance overnight. US equities prices were pushed higher on the back of positive corporate earnings, bringing the S&P500 and Nasdaq to fresh record levels, even as the Dow Jones ended flat. The US rally may lead to a spillover effect on Asian markets, which could be seeing a resurgence of positive sentiment going by recent firm prices. In the headlines recently, Sunway Construction has been sold down on news one of its employees was being investigated by the country's anti-graft agency for bribery. However, analysts say the price weakness could be only temporary given the isolated nature of the incident, which is not expected to impact the company's financials. "Despite the MACC's investigation into a RM180mil data centre project in Johor, we view this as a buy-on-dip opportunity for Sunway Construction, Sunway and other data centre-related counters, supported by their strong fundamentals, solid order book providing 2–3 years of earnings visibility, and the ongoing data centre boom in the country," said Malacca Securities. As at 9.15am, shares in Sunway Construction were down one sen to RM5.48 while parent Sunway dipped two sen to RM4.87. Among the actives on the market, NexG rose one sen to 51.5 sen, TWL dropped 0.5 sen to 2.5 sen and iCents gained 2.5 sen to 40 sen.


The Star
3 days ago
- Business
- The Star
Bursa slips as investors await new buying leads
KUALA LUMPUR: Bursa Malaysia turned bearish on Monday as - short of buying catalysts - investors realised profits made during a two-day rally last week. At 12.30pm, the benchmark FBM KLCI was down 5.27 points to 1,520.59, reflecting the ongoing downside bias amid a challenging investing environment. Blue chips and lower liners alike were seeing selling pressure, with 639 total shares dipping into the red as compared to 230 gainers for a negative ratio of nearly 3-to-1. Volume on the market was 2.34 billion shares changing hands for RM1.43bil. Feeling the heat from sellers today was Sunway Construction, which dove 80 sen to RM5.18, off an intramorning low of RM4.92. Parent company Sunway dropped 21 sen to RM4.85, in tandem with the selling pressure. Meanwhile, Gamuda shed nine sen to RM5.24 while Nestle fell 34 sen to RM75.40. In regional markets, equities managed to hold steady in light of the corporate results period picking up pace in the US, with investors training their eyes on big tech earnings secheduled for this week. China's composite index was up 0.44% to 3,549 while Hong Hong Kong's Hang Seng gained 0.28% to 24,895. Japan, which recently saw its ruling government lose control of the upper house of parliament, was closed for a national holiday.