KUALA LUMPUR: Shares in Serba Dinamik Holdings Bhd traded up 3% in early trade Wednesday after the company said it had secured nine jobs worth RM449mil.

The counter rose 2.70%, or 10 sen to RM3.81 with 150,200 shares traded. Serba Dinamik-CR gained 1.5 sen, or 11.11% to 15 sen. 

Serba Dinamik has secured nine contracts worth at least US$110mil (RM448.09mil) in aggregate.

Its unit, Serba Dinamik International Ltd secured three operations and maintenance (O&M) contracts from Energeniq FZE for work in United Arab Emirates, Pavillion Multi Holding LLC in Uzbekistan, and Process Dynamics Company in Qatar.

Another unit, Serba Dinamik Sdn Bhd, secured three O&M contracts from Pengerang Refining Company Sdn Bhd, Pengerang Petrochemical Company Sdn Bhd, and Petronas Dagangan Bhd.

It also secured one engineering, procurement, construction and commissioning (EPCC) contract from Malaysia LNG Sdn Bhd, and two O&M and EPCC contracts from Petronas Carigali Sdn Bhd.

“We are encouraged by these contract wins, reflective of the group’s continuous ability to replenish its orderbook and ensuring earnings visibility over the next three years,” PublicInvest Research said in a report today.

The research house expects more more to come in subsequent months to help achieve its jobs replenishment target of RM2.5bil.

“We estimate the group’s balance orderbook in hand remains strong at over RM7.5bil. Our forecasts are maintained, with target price of RM4.69 unchanged based on a ~14x multiple to FY19 EPS of 33.5sen. Our Outperform rating for Serba is also reaffirmed,” PublicInvest said.

Serba Dinamik is expected to announce its 4QFY18 results on Feb 27.

“Despite reporting lower 3QFY18 numbers due to seasonal factor and meeting only 70% of our forecast, we expect the earnings should pick-up in 4Q on the back of robust O&M activities in the Middle East region particularly Saudi Arabia, Qatar, Oman, and Turkmenistan towards the end of the year.

“As such, we anticipate 4QFY18 net profit to be in line with our estimates at around RM116mil translating to a 39.4% QoQ and 44.1% YoY growth,” PublicInvest said.