Broker: CGS International
Date of Report: March 3, 2026
Excerpt from CGS International report.
- Tiong Woon Corp (TWC) delivered strong 1HFY26 results with net profit up 14% year-on-year, driven by increased construction activity and higher contributions from the Heavy Lift & Haulage segment in key Southeast Asian markets.
- Gross profit margin improved to 42.9% due to higher-margin integrated heavy lift projects, and the company is actively securing new projects and vying for a larger market share, with a robust pipeline in Singapore, Thailand, and Brunei.
- The broker raised its target price to S\$1.29, citing TWC’s strong regional track record, vertically integrated model, and expected benefits from infrastructure-focused plans in Southeast Asia and the Middle East.
- Key catalysts for further re-rating include increased fleet utilisation, a higher dividend payout ratio, and continued improvement in ESG (Environmental, Social, Governance) standards and workplace safety.
- Risks include construction delays that could increase equipment rental costs, but overall, TWC is positioned for growth with improving financials, solid cash flow, and a strengthening balance sheet.
- TWC is noted for its commitment to ESG standards, including carbon-negative operations at one yard and consistently strong safety records.
above is an excerpt from a report by CGS International. Clients of CGS International can be the first to access the full report from the CGS International website: https://www.cgs-cimb.com
