In addition, Ever Glory won a contract from Resorts World Sentosa as well.
With that, its order book has reached around $950 million.
In their May 20 note, the CGSI analysts figure that earnings contribution from these contracts should be minimal in this current FY2026, and that meaningful earnings contribution would only materialise from FY2027 onwards.
Then and Lim note that several more projects are under evaluation as the tender applications closed just quite recently in the first quarter. They remain confident that Ever Glory will announce more order wins in 2HFY2026.
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"Any successful bids would serve as potential re-rating catalysts for Ever Glory," state Then and Lim, who have maintained their assumption that Ever Glory will win some $650 million worth of orders this year.
They figure that every $150 million in incremental contract wins will up 4% to their FY2027 earnings per share forecast of 6 cents.
Ever Glory recently completed a 1-for-4 bonus share issuance and while Then and Lim keep their "add" call, they've adjusted their target price to 90 cents from $1.13, which is still based on 15x FY2027 earnings, which is 1.5 sd above its historical 3-year mean, in line with the average of regional peers.line with regional peers’ average.
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"Our thesis remains intact, underpinned by Ever Glory's more-than-$4 billion tender pipeline and 22% FY2025-FY2028 core EPS CAGR," the analysts state.
Downside risks include sharper-than-expected cost escalation and delays in project awards or execution.
Ever Glory shares traded at 84 cents as at 9.34 am, down 0.59%.
