KUALA LUMPUR, June 18 (Bernama) -- Bursa Malaysia’s key index finished marginally higher, supported by strong buying interest in consumer-related counters, amid mixed performance across regional markets. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose by 1.40 points, or 0.08 per cent, to 1,711.39 from Tuesday's close of 1,709.99. The key index opened 12.36 points firmer at 1,722.35 and moved between 1,711.31 and 1,722.63 throughout the session. Market breadth was negative, with losers leading gainers 678 to 493, while 549 counters were unchanged, 1,016 untraded and 34 suspended. Turnover increased to 4.50 billion units worth RM3.45 billion from 3.93 billion units worth RM3.45 billion on Tuesday.
Cahya Mata Sarawak Bhd (KL:CMSB) climbed to a six-week high after electricity was reconnected to its phosphate plant, ending more than two years of outage and clearing a major operational hurdle.
Key Developments
Power restoration: Removes a key overhang, allowing uninterrupted commissioning progress at the phosphate facility.
Phosphate division outlook: Expected to be CMSB’s medium-term earnings driver once the arbitration dispute with Syarikat Sesco Bhd is resolved and commercialisation begins.
Earnings contribution: MBSB Research projects positive contributions from FY2026, with long-term gross profit potential of RM150 million.
Market Reaction
Share price: Rose as much as 8% to RM1.29 (highest since July 28), before closing at RM1.21.
Trading volume: 13.8 million shares traded — more than double the 90-day moving average.
Market cap: RM1.32 billion at closing price.
Analyst calls: Both MBSB and Maybank IB maintain ‘buy’ ratings, with a 12-month target of RM1.58 (22% upside).
Cement Division Strength
CMSB’s earnings are supported by robust cement demand from Sarawak’s infrastructure projects, where it dominates supply.
The planned second clinker line in Mambong (completion by 2027) will:
Expand production capacity.
Reduce costs.
Cement CMSB’s position as the sole cement supplier in Sarawak, aligned with future industrial growth in the state.
📌 Takeaway: Power reconnection is a significant catalyst for CMSB, unlocking the phosphate plant’s long-term potential while cement demand continues to provide earnings stability. Analysts see more than 20% upside over the next 12 months.
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