Company Coverage
Sunway (SWB MK): 2Q26: In Line; RTS Tower Launch Awaiting Better Timing
HOLD (Maintained)
Current price:
Target price:
Upside:
Previous TP :
RM5.11
RM5.61
+9.8%
RM5.70
Analyst
Highlights
Results were within our expectations, with yoy core PATAMI yoy growth driven by new contributions from Sunway MCL and healthcare segments.
Property sales of RM2.3b are largely on track to meet full-year target of RM4.2b, while launches could fall short of the original target following the delay in the RTS Tower launch from 4Q26 to 2027.
Maintain HOLD as we deem valuation to be rich at this juncture. We lower target price to RM5.61 (from RM5.70) to reflect softer take-up rate at selected projects and delays in RTS project launch.
Analysis
In line. Sunway Berhad (Sunway) reported 2Q26 core PATAMI of RM331m (+54% qoq, +43% yoy) on revenue of RM2.9b (+14% qoq, +13% yoy). This brings 1H26 core PATAMI to RM547m (+25% yoy), representing 45% and 42% of our and consensus full-year forecasts, which we deem in line as 2H26 is typically a stronger season. By segment, profit before tax (PBT) growth was largely driven by newly acquired MCL and healthcare segments.
Highlights
Results were within our expectations, with yoy core PATAMI yoy growth driven by new contributions from Sunway MCL and healthcare segments.
Property sales of RM2.3b are largely on track to meet full-year target of RM4.2b, while launches could fall short of the original target following the delay in the RTS Tower launch from 4Q26 to 2027.
Maintain HOLD as we deem valuation to be rich at this juncture. We lower target price to RM5.61 (from RM5.70) to reflect softer take-up rate at selected projects and delays in RTS project launch.
Analysis
In line. Sunway Berhad (Sunway) reported 2Q26 core PATAMI of RM331m (+54% qoq, +43% yoy) on revenue of RM2.9b (+14% qoq, +13% yoy). This brings 1H26 core PATAMI to RM547m (+25% yoy), representing 45% and 42% of our and consensus full-year forecasts, which we deem in line as 2H26 is typically a stronger season. By segment, profit before tax (PBT) growth was largely driven by newly acquired MCL and healthcare segments.
HOLD (Maintained)
Current price:
Target price:
Upside:
Previous TP :
RM5.11
RM5.61
+9.8%
RM5.70
Analyst
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