Stock News 2012: EEI profit jumps 81% to P215M in Q1

quezon city memorial circle (Photo credit: happy via)
Yuchengco-led construction firm EEI Corp. jacked up its net income by 81 percent in the first quarter this year to P215 million on higher revenues from work contracts.

In a financial report submitted to the Philippine Stock Exchange, EEI said consolidated revenues surged 94 percent to P3.27 billion, with construction contracts growing 89 percent to P2.48 billion.

Meanwhile, revenues generated from services more than doubled to P744.5 million.

During the period under review, EEI won P4.31 billion worth of contracts, which include the Novotel Manila Hotel of Araneta Center Hotel Inc. in Quezon City, Green Residences of SM Development Corp. in Manila, Eastwood LeGrand 3 of Megaworld in Quezon City, and the Levels condominium of Filinvest Land in Alabang, Muntinlupa.

The company also bagged contract packages of Didipio process plant for Oceana Gold Phils in Nueva Vizcaya, the asphalt plant facility for Petron and the autocalve installation works for the Taganito project in Surigao del Norte.

Under construction is the P2.84-billion Berth 6 of the Manila International Container Terminal. Under a joint venture with Hanjin Heavy Industries & Construction Co. for global port operator International Container Terminal Services (ICTSI).

Overseas, EEI’s 49-percent owned Al Rushaid Construction Co. Ltd. is currently building the Samco Acrylic under Samsung, the Saudi Aramco Manifa project, and the Saudi Aramco Mobil Refinery clean fuels project.

As of end-March this year, EEI’s domestic backlog, which represents portions of existing contracts that have yet to be completed for local construction projects, had a net selling price of P14.24 billion.

The combined backlog of all overseas projects amounted to an equivalent of P8.32 billion, making the total backlog of the company worth P22.56 billion. This is 15 percent lower than the total backlog in the same level in 2011.

EEI said the government’s declaration of a more aggressive pursuit of Public-Private Partnership (PPP) projects could provide good opportunities for growth in many industries which may directly impact the construction industry.

http://www.philstar.com/Article.aspx?articleId=808347&publicationSubCategoryId=66

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Stock News 2012: EEI profits reach P740 million in 2011

South Luzon Expressway Southbound lane from Susana Heights to San Pedro. (Photo credit: Wikipedia)
Yuchengco-led construction firm EEI Corp. said it posted net earnings of P740 million last year, up 12.6 percent from P657 million in 2010.

In a disclosure to the stock exchange, EEI also said its board approved the declaration of a cash dividend amounting to 10 centavos per share.

EEI expects to sustain its upward trajectory this year, driven by increased construction activity by the private sector coupled with improving operations overseas.

Total construction backlog from domestic projects amounted to P11.62 billion as of end-September 2011.

EEI’s 49-percent owned subsidiary in Saudi Arabia had a backlog worth P13.61 billion while its units in Singapore and New Caledonia reported backlogs worth a combined P566.7 million.

EEI is keen on bidding for road and expressway projects under the government’s Public-Private Partnership (PPP) program as it seeks to further boost its profitability.

The Aquino administration is targeting to bid out up to 16 PPP projects worth as much as P142 billion. Among these include the P20.18-billion North Luzon Expressway-South Luzon Expressway Connector Road; P19.69-billion CALA (Cavite and Laguna Side) Expressway; P11.3- billion Light Rail Transit 2 East Extension; P10.15-billion Mactan Terminal 2 Airport Development; and P8-billion New Bohol Airport.

http://www.philstar.com/Article.aspx?articleId=790654&publicationSubCategoryId=66

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Stock News 2012: EEI eyes 2nd phase of Petron

Kingdom Center , Riyadh , Saudi Arabia . (Photo credit: Wikipedia)
Yuchengco-led construction firm EEI Corp. is eyeing the second phase construction of Petron Corp.’s Fluidized Catalytic Cracker, which alone could double its domestic backlog and boost its overall revenues in the next two years.

EEI is hoping to secure a $200-million to $300-million contract for the Petron project, which is estimated to cost around $1 billion.

The project is seen to increase EEI’s backlog by P8.6 billion to P12.9 billion. Total construction backlog from domestic projects amounted to P11.62 billion as of the end of September 2011.

One of the notable projects bagged in the third quarter last year was JG Summit’s P2 billion naphtha cracker project.

To ensure sustained growth, EEI is seen to bid for road and expressway projects under the government’s public-private partnership (PPP) program.

The Aquino administration is targeting to bid out eight to 16 PPP projects worth around P80 billion to P142 billion. Among these projects include the P20.18-billion North Luzon Expressway-South Luzon Expressway Connector Road; P19.69-billion CALA (Cavite and Laguna Side) Expressway; P11.3-billion Light Rail Transit 2 East Extension; P10.15-billion Mactan Terminal 2 Airport Development; and P8-billion New Bohol Airport.

EEI is expected to book strong revenue growth in 2011 and this year on the back of a growing backlog and improving performance of its Middle East-based subsidiary.

In the nine months ending September 2011, EEI reported a 28 percent growth in net profit to P581.53 million. Revenues likewise grew 25 percent to P6.69 billion.

Revenues from the company’s overseas operations, most of which comes from Al Rushaid Construction Company (ARCC), EEI’s 49 percent owned entity in the Kingdom of Saudi Arabia (KSA), surged 67 percent to P243.52 million in 2011.

http://www.philstar.com/Article.aspx?articleId=766068&publicationSubCategoryId=66

Stock Analysis 2010: EEI Corporation

INDUSTRIALS SECTOR | CONSTRUCTION & ENGINEERING INDUSTRY
EEI CORPORATION
(EEI:Philippines)

As of 12:01 AM 08/19/10 All times are local (Market data is delayed by at least 15 minutes).

SNAPSHOT OF EEI CORPORATION (EEI)

OPEN $3.90		PREVIOUS CLOSE $3.89
DAY HIGH $3.94		DAY LOW $3.88
52 WEEK HIGH 06/21/10 - $4.15		52 WEEK LOW 08/19/09 - $2.20
MARKET CAP 4.0B		AVERAGE VOLUME 10 D 1.5M
EPS TTM $0.54		SHARES OUTSTANDING 1.0B
EX-DATE 09/1/10		P/E TTM 7.2x
DIVIDEND $0.10		DIVIDEND YIELD 2.57%
K = Thousands  M = Millions  B = Billions

INDUSTRY ANALYSIS

Valuation	EEI	Industry Range
Price/Earnings	7.0x
Price/Sales	0.7x
Price/Book	1.2x
Price/Cash Flow	6.5x
TEV/Sales	0.2x
EEI

EEI DETAILS

EEI Corporation, together with its subsidiaries, operates as a construction company that provides general contracting and specialty construction services in the Philippines and internationally. The company engages in the installation, construction, and erection of power generating and transmission facilities; oil refineries; chemical production plants; cement plants; food and beverage manufacturing facilities; semiconductor assembly plants; road, rail, and bridge infrastructures; and high rise landmarks. It also engages in the trading of construction materials and equipment; maintenance and operations of industrial facilities; rental, repair, and maintenance of construction equipment; and fabrication and production of equipment systems for building. In addition, the company offers marine vessel building and repair services; light steel and other structural marine-related fabrication works services, as well as builds, rehabilitates, and operates diesel, gas turbine, steam power plants, and other power generating power plants. Further, EEI Corporation engages in property investment and development; trading industrial equipment and supplies; providing manpower supply and recruitment, service contracting and outsourcing, consultancy, and management services; and selling supplies and materials. It serves building and property development, infrastructure, mining and cement, communications, food processing, packaging products, and other manufacturing industries. The company was founded in 1931 and is based in Quezon City, the Philippines. EEI Corporation is a subsidiary of House of Investments, Inc.

Detailed EEI:PM Company Description...
www.eei.com.ph
16,557 Employees
Founded in 1931

EEI TOP COMPENSATED OFFICERS

No compensation data is available at this time for the top officers at this company.
Executives, Board Directors

KEY DEVELOPMENTS FOR EEI CORPORATION (EEI)

EEI Corp. expected to report Q2 2010 results on August 21, 2010. This event was calculated by Capital IQ (Created on August 14, 2010).
08/14/2010
EEI Corp. expected to report Q2 2010 results on August 21, 2010. This event was calculated by Capital IQ (Created on August 14, 2010).

EEI Corp. expected to report Fiscal Year 2010 results on March 19, 2011. This event was calculated by Capital IQ (Created on June 27, 2010).
06/27/2010
EEI Corp. expected to report Fiscal Year 2010 results on March 19, 2011. This event was calculated by Capital IQ (Created on June 27, 2010).

EEI Corp., Annual General Meetings, Jun 18, 2010
04/30/2010
EEI Corp., Annual General Meetings, Jun 18, 2010., at 02:06 GMT Time. Location: RCBC Plaza.

http://investing.businessweek.com/research/stocks/snapshot/snapshot.asp?ticker=EEI:PM

Stock News 2010: EEI income up 6% in 1st half

Image by Getty Images via @daylifeMANILA, Philippines - Construction giant EEI Corp. said its net income went up six percent in the first half this year largely due to cost-containment measures and the significant decrease in interest expense.
In a financial report submitted to securities regulators, EEI said its net earnings rose to P308.56 million even as consolidated revenues fell six percent to P3.12 billion. Revenues from services also dropped 53 percent from P1.19 billion to P560 million.
Equity in earnings of associate and joint venture likewise plunged 61 percent to P120.62 million, contributing to the decline in revenues.
However, the lower contribution was tempered by the increase in revenue from construction contracts, rising 19 percent to P2.35 billion. Merchandise sales improved 13 percent to P143.06 million while real estate sales more than doubled to P71.9 million.
Interest income amounted to P30.7 million, down 16 percent from P36.42 million, owing to lower interest rate on dollar money market placements.
The company was able to contain its expenses, declining 12 percent to P2.94 billion. However, costs related to construction contracts increased nine percent to P1.89 billion.
During the period under review, EEI won a manpower supply contract for the Singapore Parallel Train Olefins Recovery Project for Shaw Stone & Webster Asia Inc., additional contract for NAIA Expressway and its related road project, package 4C Phase I for Department of Public Works and Highways (DPWH), the construction of the RCBC Savings Bank and Corporate Center in Fort Bonifacio, the construction of the Sun Residences of SM Development Corp. in Quezon City, the construction of the Phoenix semiconductor plant in Clark, Pampanga, and the atmospheric storage facilities for Petron Corp.
In addition, under a joint venture with Korea’s Hanjin Heavy Industries & Construction Co. Ltd., EEI is currently undertaking the P2.84-billion construction of Berth 6 of the Manila International Container Terminal for global port operator International Container Terminal Services Inc. EEI has a 30 percent stake in the joint venture.
Among the company’s overseas projects are the Inco Goro nickel mining project in New Caledonia, involving the commissioning and additional works for the nickel mining plant, and the $12-million pipe erection works of the inlet facilities covering electro-mechanical works for utilities, offsite and off-plot areas for the Qatargas 3 and 4 Onshore project for GAMA Qatar Co. WLL under the Chiyoda-Technip joint venture. These are expected to be completed towards the end of the current year.
Meanwhile, orders backlog from projects represents the value of workable production from ongoing contracts. As of end-June this year, EEI’s total domestic backlog had a net selling price of P6.42 billion, including the backlog of subsidiaries worth P412.42 million.
The backlog provided by the company’s overseas joint venture company, Al Rushaid Construction Co. (ARCC), as of the end of the first semester stood at P12.54 billion.
EEI had total consolidated assets of P8.95 billion as of June 30, 2010, registering a nine-percent growth from the end-2009 level of P8.18 billion.
The company remains optimistic about its prospects for the rest of the year as it continues to pursue new prospects for both local and foreign-based projects.
Zinnia B. Dela Peña
August 19, 2010 12:00AM
http://www.philstar.com/Article.aspx?articleId=603943&publicationSubCategoryId=66

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Stock News 2010: EEI posts P136-million profit

Image by mindfrieze via FlickrLISTED construction firm EEI Corp. has posted relatively flat profit in the second quarter as a decline in service revenues tempered the double-digit growth of its main construction business.
In a filing, the Yuchengco-led firm said net income grew 1.3 percent to P136.32 million. The company said first-half net income grew 5.8 percent to P308.56 million.
Based on its financial statement, EEI’s revenues grew at a slower pace to P1.64 billion, from 1.69 billion the second quarter of 2009. First-half revenues likewise declined 5.71 percent to P3.12 billion from its year-ago level as the service income fell almost 53 percent.
Construction contracts, which accounted for 75 percent of revenues during the first semester, rose 19 percent to P2.35 billion. Costs were also contained as service revenues dropped EEI said.
EEI said it remains “confident” on its year-end targets. “The company continues to pursue new prospects for both local and foreign-based projects as there appears to be renewed opportunities in mining, power, and other industrial construction,” EEI said. The company expects growth will continue to come from projects in the Middle East.  
During the first semester, the company won contracts for an additional  project in Naia Expressway and its related road project, package 4C Phase I for Department of Public Works and Highways and the construction of the RCBC Savings Bank and Corporate Center in Fort Bonifacio.
It was also awarded the contract to build the Sun Residences of SM Development Corp. in Quezon City, the construction of the Phoenix Semiconductor Plant in Clark, Pampanga, and the atmospheric storage facilities for Petron Corp.
Miguel R. Camus

August 18, 2010 19:36

http://businessmirror.com.ph/index.php?option=com_content&view=article&id=29111:eei-posts-p136-million-profit&catid=24:companies&Itemid=59

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Stock Analysis 2010: Long-term Buy recommendation on EEI Corp.

Image via WikipediaEEI Corp.
Recommendation: LONG-TERM BUY
ANALYSTS tagged Yuchengco-led EEI Corp a "long-term buy" as it is considered one of the second-liner stocks that is likely to boom this year given its diversified business operations.
For one, Wealth Securities, Inc. analyst Bernard C. Aviñante said consumers’ continuous demand for properties would keep EEI’s local business buoyant.
Angping & Associates, Inc. analyst Elizabeth S. Abadillo concurred and said that despite investors’ cautious stance amid the upcoming May elections, EEI Corp. remains a "good" stock to watch out for given its growth potential.
"The property sector remains in demand so I think it could create an upside bias on EEI’s stock price although the movement would only be limited." Ms. Abadillo said. "But apart from its local business, the company continues to be liquid due to its overseas operations," she added.
Mr. Aviñante said EEI’s projects abroad would reflect positively on its financial health.
Since 1974, the company has ventured into petroleum, power plants and industrial installations in the United Arab Emirates and Saudi Arabia.
"Through its 49%-owned joint venture firm Al Rushaid Construction Co., [EEI] has an orders book backlog totaling $338 million (or P15.12 billion) as of February (this year). Completion of these projects is spread until 2012," Mr. Aviñante said in a research paper.
"These engineering works are mainly in vital industries such as oil and gas and power generation, which are pillars of growth for (Saudia Arabia)," he added.
With Saudi Arabia ’s projected budget of about $300 billion in the aforementioned industries, this would likely present opportunities for EEI. "Capturing even a small fraction of that pie would significantly push its bottom line," Mr. Aviñante said.
He forecasts EEI’s income to surge by 38% to P777 million this year from the unaudited amount of P563 million last year, while revenues are expected to jump by 34% to P8.442 billion by the end of the year from P6.3 billion in 2009. The figure, however, is 8.14% short from the company’s 2008 revenues of P9.19 billion.
But analysts noted a possible growth in the company’s revenues and income in the coming years by the time its business operations here and abroad are reflected into EEI’s financial report.
"At least its first quarter report would give a glimpse of the company’s performance this year. I think it would be released by the first week of May so investors will have to watch [out for] that," Ms. Abadillo said. Meanwhile, in terms of valuation, EEI is currently trading at a 4.5x price-to-earnings ratio.
Mr. Aviñante said EEI is targeted to reach the 7x multiple by the end of the year, with a P5.25 apiece fair value estimate. It closed at P3.30 per share. Ms. Abadillo said the best price to accumulate the stock is between P3.10 to P3.15 per share.
Ma. Aizl Camille B. Cabarles
http://www.bworldonline.com/Research/stockpicks.php?id=0610

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Stock News 2008: EEI Corp. secures Qatar contract

Image by webzer via FlickrMANILA, Philippines - EEI Corp., one of the Philippines’ largest construction companies, secured a contract in Qatar.
The company, subsumed under the Yunchengco Group, won a bid for the $12 million Qatargas 3 and 4 Onshore Project for GAMA Qatar Company under the Chiyoda-Technip joint venture, EEI said in its disclosure to the Philippine Stock Exchange (PSE). It is expected to undertake pipe erection work of inlet facilities.
Since construction is expected to begin by January, the company will deploy an estimated 1,500 workers in the next few months.
Currently, more than half of its 18,000 workforce is deployed abroad. An estimated 1,400 are assigned in a New Caledonia nickel mining project while 8,000 are in Saudi Arabia, engaged in various projects under the Al Rushaid Construction Co.
The company’s foreign project order backlogs is estimated at $391 million.
Earnings of EEI reached P363 million for the first nine months, 76 percent higher than profits reported during the same period last year.
Consolidated revenues for the nine-month period hit P5.52 billion, 41 percent higher than last year’s P4.6 billion owing to its overseas business.
Shares of EEI fell P0.02 to P0.72 during Thursday’s trading at the PSE.
12/04/2008 | 06:02 PM
http://www.gmanews.tv/story/137521/EEI-Corp-secures-Qatar-contract

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