YTL Contract amount revealed
Wed, 07-Oct-2026 02:46 pm
by Research Team • Apex Research

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SAMAIDEN (0223)

Target Price (RM)

3.99

Recommendation

Buy

  • Samaiden has revealed its recent YTLSB LSS5+ contract value, which stood at c.RM238m for a 99.99MWac LSS5+ plant, below the c.RM305m we initially estimated in our previous report.

  • The job lifts the order book to c.RM674m from RM435.8m, which takes Samaiden two-thirds past the halfway mark towards management's RM1bn FY27 target.

  • Forecasts are unchanged as the contract sits within our LSS win assumption.

  • Maintain BUY with a TP of RM3.99, based on sum-of-parts (SOP) valuation, and appraised with three-star ESG rating. 

 

The contract. On 2nd October, Samaiden announced a works contract and a contract for supply of solar components with YTLSB, the main contractor for a 99.99MWac large scale solar plant. The scope covers design, engineering, procurement, construction, testing and commissioning. In our previous report, we estimated the contract value to be c.RM305m, based on the RM3.05m/MWac implied by the 95MWac Hilir Perak LSS5 contract (RM290m). However, the clarified contract value is RM238m, or RM2.38m/MWac, which we attribute to Samaiden's role within the project, as it is previously contracted directly as asset owner under the Hilir Perak project while it is appointed under YTLSB as main contractor in the latest contract.

 

Our Take. We remain positive on order book visibility going into FY28. Despite the thinner price of the job, winning both the works and the solar component supply reinforces Samaiden's position as a specialist solar EPCC player. Furthermore, with YTLSB holding the main contract, Samaiden only takes on the solar works while YTLSB carries the broader project-level risks. 

 

Order book. With the clarified contract amount, the pro forma order book now stands at c.RM674m, against c.RM741m from our previous estimate. This brings their unbilled orderbook to c.67% of management's RM1bn order book target for FY27. We view the remaining c.33% gap as closable, with the understanding that Samaiden is expecting to convert sizable CRESS tenders before 1QCY27 to make the Advance Package deadline. 

 

Earnings. We make no changes to our forecasts at the current juncture, as the RM238m contract falls within our LSS win assumption. We maintain FY27F, FY28F and FY29F core net profit of RM60.7m, RM84.6m and RM89.2m.

 

Valuation and Recommendation. Maintain BUY with a TP of RM3.99, based on a sum-of-parts framework that values the EPCC business at 30x FY28F core earnings (RM2,155.5m) and the renewable asset portfolio by discounted cash flow (RM78.5m), over 560.8m shares, and incorporating a three-star ESG rating at no premium. 

 

Risks. Delays in the Notice to Proceed, higher module and equipment costs, project execution and completion delays, and funding risk on the asset ownership programme.

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