Nam Cheong

Nam Cheong: OSK-DMG has a preview note on the upcoming FY13 results (due 26 Feb) Tips healthy top-of-the-street earnings of RM190m (+39% y/y ) , vs the street's range estimate of RM171m-190m. Expects Nam Cheong to raise its dividend on the back of strong earnings growth and a lower net gearing. Forecasts 0.87cts dividend at 25% payout ratio, but notes a 30% payout (1.05cts) is possible. Adds, investors will want to look ahead. The street is forecasts 25-30 vessels for the company's FY15 build-to-stock programme, and any figure above this range will prompt upward revisions. Reiterates Buy with TP $0.45