Boustead Heavy Industries Corporation Strengthens Its Position in Heavy Industries Market

Boustead Heavy Industries Corporation has been steadily strengthening its position in the heavy industries market. The company's strategic partnerships and collaborations have been a key factor in its growth.

With a strong presence in countries like Malaysia and Singapore, Boustead Heavy Industries Corporation has been able to tap into diverse markets and expand its customer base. The company's commitment to innovation and quality has earned it a reputation as a reliable and trustworthy player in the heavy industries sector.

Boustead Heavy Industries Corporation's expertise in areas such as shipbuilding and engineering has enabled it to deliver complex projects with precision and efficiency. This has helped the company to build a loyal client base and establish itself as a market leader.

Boustead Heavy Industries Corporation was listed on Bursa Malaysia in 2007. This marked a significant milestone for the company.

The parent company of BHIC is Boustead Holdings.

BHIC was known for its subsidiary Boustead Naval Shipyard (BNS) which specialized in naval shipbuilding and ship repair.

Boustead Heavy Industries Corporation has a diverse range of business operations. The company's principal activities include investment holding, property holding, and development.

Their subsidiaries are involved in various heavy engineering and construction activities, such as ship repair, shipbuilding, and equipment fabrication. They also provide consultancy services for oil and gas construction, as well as power plant construction and support activities.

Boustead Heavy Industries Corporation's manufacturing capabilities are impressive, with several subsidiaries and joint ventures contributing to its overall manufacturing prowess.

One of the key players in Boustead's manufacturing division is Contraves Advanced Devices, which is located in Malacca and Cyberjaya and employs 250 skilled employees.

The company is capable of producing a range of products, including artillery propellant for the Malaysian Army, thanks to its subsidiary Pyrotechnical Ordnance Malaysia, which operates a factory in Bentong.

BYO Marine, another subsidiary, produces small boats for the region.

Boustead's manufacturing capabilities are diverse and far-reaching, with a presence in various fields, including the production of artillery propellant and small boats.

Its subsidiaries and joint ventures are strategically located across the country, allowing for efficient production and distribution of goods.

Here's a breakdown of Boustead's manufacturing subsidiaries and their locations:

Boustead's manufacturing division is a testament to the company's commitment to innovation and production excellence.

The electronics division of Boustead Heavy Industries Corporation is a one-stop centre providing service, maintenance, repair, and complete overhaul of naval and ground electronic equipment and systems.

Located at Lumut, Malaysia, it has evolved from an in-house repair and maintenance facility for the Royal Malaysian Navy fleet to an independent business centre serving both government and private sectors.

It offers a range of services, including the maintenance of naval and ground electronic equipment and systems.

The company has been appointed as the Malaysian Service Centre for SAAB 9LV212 Weapon Control System and EADS / Hensoldt TRS-3D and TRML-3D Surveillance Radar used by the Malaysian Armed Forces.

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For example, companies like Warby Parker have disrupted the eyewear industry by offering affordable and stylish glasses with home try-on options. This innovative approach has helped Warby Parker to gain a significant market share in a short span of time.

Boustead Heavy Industries Corporation has a significant presence in the aerospace sector, particularly in maintenance, repair, and overhaul services. Through BHIC AeroServices Sdn Bhd, the company provides maintenance and spare parts for the Royal Malaysian Air Force's Eurocopter EC725 helicopter fleet.

BHIC also set up a joint venture with Airbus for the maintenance, repair, and overhaul of the Airbus A400M airlifter in service with the RMAF. Additionally, the company operates an Airbus Helicopters Simulation Center Sdn Bhd that offers flight training programs at its center in Subang Aeropolis, Selangor.

Boustead Heavy Industries Corporation's aviation division is primarily driven by its 51% owned MHS Aviation, which is Malaysia's largest civil helicopter operator, controlling 70% of the market share.

Boustead Heavy Industries Corporation's weaponry division is a significant player in the industry, offering a range of services that cater to the needs of the Malaysian Armed Forces and other clients.

The division is comprised of several subsidiaries, including BHIC Allied Defence Technology Sdn Bhd, BHIC Defence Techservices Sdn Bhd, BHIC Marine Technology Academy Sdn Bhd, BHIC Bofors Asia Sdn Bhd, BHIC Navaltech Sdn Bhd, and BHIC MSM Sdn Bhd.

These subsidiaries offer services such as repair, refurbishment, and upgrade of terrestrial and naval weapon systems, making them a one-stop-shop for clients in need of comprehensive support.

The division is also capable of refurbishing armoured vehicles and various types of weapon systems, including decoy systems, torpedo systems, missiles, and installing firing systems.

Boustead Heavy Industries Corporation's expertise in the weaponry division is a testament to its commitment to supporting the growth of Malaysia's defence technology industrial base.

Boustead Heavy Industries Corporation has a significant presence in the aerospace sector, primarily focused on maintenance, repair, and overhaul services.

Through BHIC AeroServices Sdn Bhd, the company is responsible for maintaining the Royal Malaysian Air Force's Eurocopter EC725 helicopter fleet.

The company has also set up a joint venture with Airbus to maintain and repair the Airbus A400M airlifter in service with the RMAF.

BHIC operates an Airbus Helicopters Simulation Center in Subang Aeropolis, Selangor, which offers flight training programs and has a simulator on site.

MHS Aviation, a 51% owned subsidiary of Boustead Heavy Industries Corporation, is Malaysia's largest civil helicopter operator, controlling 70% of the market share.

MHS Aviation primarily focuses on offshore oil and gas transport, utilizing its fleet of helicopters to transport personnel and equipment to and from oil rigs.

BHIC's aviation division also offers airline services through MHS Aviation, providing a range of services to the oil and gas industry.

Boustead Heavy Industries Corporation's financial performance has been underwhelming. Over the past 7 days, the company's shareholder returns stood at 13.8%, a significant increase compared to its peers.

A comparison with the MY Machinery industry reveals that BHIC underperformed, returning -34.0% over the past year, while the industry as a whole returned -32.8%.

Here's a brief summary of BHIC's recent financial performance:

It's worth noting that BHIC's performance over the past year has been a concern, with a return of -34.0%, significantly underperforming the MY Market's return of -7.1%.

The Snowflake Score for BHIC's valuation is a disappointing 2/6.

The company's financial health is a strong 6/6, indicating a solid foundation for future growth.

BHIC's past performance is mediocre, with a score of 2/6.

The company's future growth prospects are concerning, with a score of 0/6.

BHIC's dividend policy is decent, with a score of 3/6.

The current share price of BHIC is RM 0.33, which is a significant drop from its 52-week high of RM 0.59.

The 52-week low for BHIC is RM 0.21, indicating a volatile market.

BHIC's beta is -0.36, which means the stock price is highly sensitive to market movements.

Here's a summary of BHIC's price history:

Trading at a significant discount is a great opportunity for investors. The company is trading at 98.1% below its estimated fair value.

Becoming profitable is a major milestone for any business. This year, the company achieved profitability, which is a positive sign for its future prospects.

A meaningful market cap is crucial for a company's visibility and stability. Unfortunately, this company's market cap is MYR186M, which is relatively low.

As you dive into the financial information of Boustead Heavy Industries Corporation Berhad, it's essential to consider the shareholder returns. Here are some key facts to keep in mind.

The company's 7-day return stands at 13.8%, which is significantly higher than the 1.3% and 1.4% returns of MY Machinery and the MY Market, respectively.

Over the past year, however, the company's return has been -34.0%, which is lower than both MY Machinery and the MY Market, which returned -32.8% and -7.1% respectively.

Here's a breakdown of the company's return compared to the industry and market:

As you can see, BHIC underperformed the MY Machinery industry and the MY Market over the past year. This is worth keeping in mind when evaluating the company's financial health and potential for future growth.

Boustead Heavy Industries has sold its stake in Cadagua to a German firm for RM54 million.

This sale is a significant transaction in the financial sector, highlighting the company's strategic decision to divest its stake.

The exact details of the deal, including the terms and conditions, are not specified in the article.