Slipped back into losses in 2Q21
■ 1H21 results missed expectations as TCM slipped into core net loss in 2Q21
due to unfavourable sales mix and higher opex incurred.
■ The group expect a challenging 2H21F in view of economy uncertainties
amidst rising positive Covid-19 cases in Malaysia and the IndoChina region.
■ We cut FY21-23F EPS. Maintain Reduce with a lower RM0.99 TP. We prefer
Sime Darby and Bermaz for exposure to the Malaysian auto sector.