BW Plantation, 1Q12: Strong y/y growth, Nomura

Earnings came in line with our and consensus estimates
1Q12 earnings made up 20% of our full-year forecasts and 21% of
consensus FY12 forecasts.

What do the results mean?
The results reaffirm our belief that BWPT will show strong earnings
growth in FY12. However, while our numbers are slightly higher than
consensus, our PB vs excess ROE valuation framework indicates that
there is not much room left to chase the stock at these levels.
1Q production growth is weak (+4% y/y) considering the >20% growth
that consensus expects for FY12. This is actually an industry-wide
problem, particularly in March, and we think production should normalise
from April onwards, but it does highlight that risks for BWPT are actually
biased on the downside since expectations are very high.