Silverlake Axis / Goh Peng Ooi

[winston]

not vested

Stay optimistic beyond the 1Q blip

1QFY21 core net profit of RM33m (+48% qoq, -30% yoy) below expectations due to temporary disruptions arising from a cybersecurity incident.

Order win momentum improved in 1Q. SILV is actively engaging customers to provide them with an upgrade roadmap for its next gen CBS – Mobius.

SILV remains on track for an earnings recovery in FY21.

Reiterate Add with a slightly lower TP of S$0.38 (16.3x CY21F P/E).

Source: CIMB

https://rfs.cgs-cimb.com/api/download?f ... 37D06766E8

[winston]

Silverlake Axis reports 34% lower 2Q21 earnings of $11.3 mil due to lower project-related revenue segments

by Felicia Tan

Mainboard-listed Silverlake Axis has reported earnings of RM34.6 million ($11.3 million) for the 2QFY2021 ended December, 34% lower than earnings of RM52.8 million.

For the 1HFY2021, earnings fell 32% y-o-y to RM67.5 million from RM100.0 million previously.

Revenue for the 2QFY2021 stood 16% y-o-y lower at RM160.5 million, due to a slowdown in project-related revenue segments.

Revenue for software project services fell 7% y-o-y to RM12.7 million. License revenue decreased 38% y-o-y to RM14.3 million.

Recurring revenue from maintenance and enhancement segments remained stable at RM123.0 million in 2QFY2021.

Source: The Edge

https://www.theedgesingapore.com/capita ... ct-related

[winston]

not vested

Silverlake Axis Ltd
Looking forward to a better 2H21F

2QFY21 core net profit of RM34.6m (+5% qoq, -27% yoy) below expectations due to slower-than-expected recovery in project-related revenue.

Order win momentum remains positive and should support sequential earnings recovery in upcoming quarters.

Reiterate Add with a lower TP of S$0.33, based on 14.2x CY22F P/E.

Source: CIMB

https://rfs.cgs-cimb.com/api/download?f ... 6CDAD23EEC

[behappyalways]

Silverlake Axis reports 34% lower 2Q21 earnings of $11.3 mil due to lower project-related revenue segments
https://www.theedgesingapore.com/capita ... ct-related

[winston]

not vested

Silverlake Axis Limited (SILV SP) - Results Update

Silverlake reported 2Q FY21 results on 10th February with RM160mn sales, RM68.8mn EBITDA and RM32.9mn profit. On a semi-annual basis, sales are -13% YoY while PATMI is -32% YoY.

Silverlake saw quarterly improvements but the business environment remains weak, with 1HFY21 results coming in at less than 50% of our full year estimates.

While this was to be expected, profits came in at <40% of our full year estimate due to another quarter of high taxes.

Maintain NEUTRAL with new TP of S$0.26. While the business environment is set to improve, we advocate staying on the sidelines until Mobius records a couple of major contract wins to get the ball rolling.

Source: KGI

https://www.kgieworld.sg/securities/res ... (SILV%20SP)_2Q21_Maintain%20NEUTRAL_KGI%20Singapore%2020210215.pdf

[winston]

not vested

Analysts slightly pessimistic on Silverlake Axis after 2Q results come in below expectations

by Lim Hui Jie

Key banking customers continued to hold back on large project spending.

The bottom line remained weak with 21.6% net profit margin, an all-time low.

Source: The Edge

https://www.theedgesingapore.com/capita ... come-below

[winston]

not vested

Silverlake Axis reports 51% higher earnings for 3QFY21

Financial software provider Silverlake Axis has reported revenue of RM140.9 million for its 3QFY21 ended March, down 7% y-o-y.

However, earnings increased by 51% in the same period to RM38.7 million, thanks to other income in the form of government subsidies and rental concessions.

The company has also introduced a new pricing strategy as it pivots from upfront license and implementation fee structure to a build-operate-transform-transfer model which gives more revenue visibility over multi-years.

Source: The Edge Singapore

https://www.theedgesingapore.com/news/r ... ngs-3qfy21

[winston]

not vested

Ikhlas Capital invests US$40m in Silverlake Group

by Ahmad Naqib Idris

Private equity firm Ikhlas Capital is investing US$40 million (RM166 million) in Silverlake Group — the holding company of SGX-listed Silverlake Axis Ltd — marking the entry of the first institutional partner for the latter.

Ikhlas Capital, partly owned by former banker Datuk Seri Nazir Razak, is one of the partners of a conglomerate comprising the private equity fund, AirAsia Group Bhd's e-wallet unit Big Pay and Malaysian Industrial Development Finance Bhd (MIDF), which is vying for one of the five digital banking licences to be awarded by Bank Negara Malaysia.

Source: theedgemarkets.com

https://www.theedgemarkets.com/article/ ... lake-group

[winston]

Silverlake Axis Ltd (ADD, tp:SGD0.35) - Tides are turning

We think that FIs’ investment appetites for capex and tech spending are returning.

SILV is not constrained in project implementation due to MCO.

Order win momentum should pick up as SILV firms up its first Mobius deal.

SILV is also the CBS provider for some digital bank licence applicants in MY.

Reiterate Add with a higher TP of S$0.35.

We think that operational headwinds are bottoming out while core banking deals are on the horizon.

Source: CIMB

https://rfs.cgs-cimb.com/api/download?f ... 26e43aca12

[behappyalways]

Silverlake Axis posts 23% drop in FY2021 earnings to RM143.1 mil
https://www.theedgesingapore.com/capita ... rm1431-mil