Riverstone Holdings

[winston]

not vested

Solid end to FY23; offers 9% dividend yield

4Q23 net profit of RM68m (+14% qoq, +61% yoy) was a beat on strong GPM expansion. Total DPS of 22.5sen declared for FY23, translating to 8.8% yield.

We forecast a 21% EPS growth for FY24F riding on
1) growing mix of customised glove offerings, and
2) cleanroom glove volume recovery.

RSTON still has excess cash in its balance sheet to sustain dividend payout ratio of >100% for the next 3 years, in our view. Reiterate Add, TP: S$0.88.

Source: CIMB

https://rfs.cgsi.com/api/download?file= ... CD0A39F4F5

[winston]

not vested

Riverstone Holdings (RSTON SP)
2023: Earnings Above Expectations; Attractive 2024 Yield Of Around 10%

Riverstone’s 4Q23 earnings rose 60.7% yoy, with 2023 earnings of RM220.4m beating
our forecast by 4%.

The 2.1% qoq sequential growth of 4Q23 revenue was driven by higher demand for Riverstone’s customised healthcare gloves and a slight recovery in the cleanroom gloves segment.

With semiconductor recovery and new clients, we anticipate higher volumes to drive top-line growth.

Maintain BUY with a 7% higher target price of S$0.88. We like Riverstone for its attractive 2024 dividend yield of 10%.

Source: UOBKH

https://research.uobkayhian.com/content ... 18f44af340

[behappyalways]

Riverstone reports higher 1QFY2024 earnings on better margin mix
https://www.theedgesingapore.com/capita ... margin-mix

[behappyalways]

Mainly due to weakening ringgit???

Riverstone reports higher 1QFY2024 earnings on better margin mix
https://www.theedgesingapore.com/capita ... margin-mix

[winston]

Glove demand recovering well

1Q24 net profit of RM72m (+7% qoq, +55% yoy) was a slight beat, riding on cleanroom’s volume recovery and healthcare segment’s mix improvement.

RSTON sees strong demand improvement across both segments in 2Q24F, and has ramped up hiring. We forecast c.14% qoq volume growth in 2Q24F.

Reiterate Add with a higher TP of S$0.98 as we expect glove demand recovery to aid RSTON deliver EPS growth of c.35% yoy in FY24F.

Source: CIMB

https://rfs.cgsi.com/api/download?file= ... A81EDF71F6

[winston]

not vested

Riverstone Holdings (RSTON SP)

Beneficiary Of US Tariff Hike And Glovemaker With The Most Attractive Valuation;
Raise Target Price By 12%

Riverstone is set to benefit from the higher US tariffs on China’s gloves as it will ease the competition in the healthcare glove and lower-tier cleanroom glove industries.

The US market’s contribution to Riverstone’s total revenue, which was 18% in 2023, could rise when the tariff starts.

Riverstone’s 2025 PE of 16.6x is at a 60% discount vs peers’ average of 40.7x and offers a way higher dividend yield of 8% vs peers’ average of 1%.

We raise our target price by 12% to S$1.12. Maintain BUY.

Source: UOBKH

https://research.uobkayhian.com/content ... e=hs_email

[winston]

not vested

Riverstone Holdings (RSTON SP) Strong Earnings Expected; Target Price Raised To S$1.16

Despite a higher ROE and dividend yield, Riverstone is trading at an undemanding 17x 2025F PE vs peers’ average of 47x.

The rise in US FDA import alerts flagging quality issues with China medical gloves, compounded with the US tariff hike, is likely to benefit Malaysian glove makers like Riverstone.

Though the group faced shipment delays, management sees it easing.

Expansion plans remain on track and we anticipate better margins.

Maintain BUY with a higher target price of S$1.16.

Source: UOBKH

https://research.uobkayhian.com/content ... e=hs_email

[winston]

not vested

Malaysian glovemaker Riverstone Holdings posted a 54.6 per cent increase in net profit to RM144.7 million (S$42.9 million) for the six months ended Jun 30, 2024, from RM93.6 million a year ago.

Revenue was up 7.4 per cent to RM496.4 million in the same period, from RM462.2 million.

In a bourse filing on Tuesday (Aug 6), the mainboard-listed company attributed the increase to a recovery in demand for both healthcare and cleanroom gloves.

Riverstone has declared an interim dividend of RM0.04 per share. It did not declare any for the same period last year.

The interim dividend translates to a payout ratio of 82 per cent based on the company’s H1 net profit. S

hares of Riverstone closed on Tuesday at S$0.895, down S$0.005 or 0.6 per cent, before the results were announced.

Source: Phillips

[winston]

not vested

Riverstone Holdings (RSTON SP) 3Q24: Results In Line; Healthy Outlook Ahead With Capacity Expansion

Riverstone’s 3Q24 net profit (flat qoq, +22% yoy) was in line.

Higher ASPs and sales volumes were recorded for both cleanroom and healthcare gloves, leading to a 21% qoq top-line growth.

4Q24 volume outlook is healthy, in anticipation of further demand recovery in the electronics sector and greater demand from the US due to the upcoming trade tariffs on China-made gloves.

New capacities are expected to contribute from 1Q25.

Maintain BUY with an unchanged target price of S$1.16.

Source: UOBKH

https://39646150.fs1.hubspotusercontent ... RSTON%20SP)%20241113.pdf?utm_medium=email&

[winston]

not vested

Riverstone Q1 profit slides 21.8% to RM56.4 million despite higher revenue

Lower gross profit margin due to higher raw material cost, foreign exchange and change in market demand dynamics, says the group

by Megan Cheah

Profit of RM56.4 million (S$17.2 million) for the quarter ended Mar 31, 2025, sliding 21.8 per cent from RM72.2 million in the corresponding year-ago period.

This resulted in an earnings per share of RM0.0381, compared with RM0.0487 a year ago.

The lower profit is despite revenue rising 1.1 per cent to RM252.3 million, from RM249.5 million.

Higher raw material costs and the depreciation of the US dollar against the Malaysian ringgit contributed to gross profit margin dropping 6.5 percentage points to 32.6 per cent in this quarter,

Source: Business Times

https://www.businesstimes.com.sg/compan ... er-revenue