At our recent visit to the new National Mail Processing Centre (NMC) in Shah Alam, we got a first-hand look at how postal mail is processed before delivery. The NMC has boosted efficiency in mail processing, handling 4m to 4.6m postal items daily. Noting that the group has posted its strongest 1Q results ever, we continue to like POSM’s mail, courier and retail business given the positive results of its Transformation Master Plan (TMP). Although there have been no new developments in relation to the 16 plots of land leased under the Federal Land Commissioner Act, we believe that its new major shareholder DRB-HICOM would eventually unlock the potential of 5 pieces of land directly owned by POSM through redevelopment. We maintain our BUY call, at an FV of RM4.12, based on SOP valuation.
No comments:
Post a Comment