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Category: SG Stocks And Shares
The last report on Nov indicated that Parkson retail has S$12m losses, majorly due to an increment of operational cost and gestation of new stores.As a result, the shares have tanked from 0.125 to a low of 0.063.Recent buying volume below 0.075Note the…
Taken from : http://www.businesstimes.com.sg/companies-markets/singapore-dividends-to-drop-study SINGAPORE dividends are in for another tough year to the dismay of the legions of retiree investors; they also take some shine off the bull run in which…
Please be reminded to sell or settle for the shares within 5 days from purchase date to avoid force selling of shares by the company. As of 9th Oct, brokers will not be informed of client’s due shares. Still, I will do my best to help everyone when I can.
Thank you everyone for your kind support and understanding.
– The overbought market is likely to consolidate recent gains as investors await details of ECB’s taper plan today, which could commence in Jan ’18 following a decade-long easy monetary policy.
– Will be waiting for this evening 745pm for ECB interest decision
– Technically, the STI could pull back from overbought levels to near term support at 3,320. Overhead resistance remains at 3,355.
– 3Q17 net profit of $1.06b (+12%) topped expectations.
– Net interest income spiked 12% to $1.38b, driven by 11% loan growth and improved NIM of 1.66% (3Q16: 1.62%, 2Q17: 1.65%).
– Non-interest income was relatively flat at $978m (+1%), as strong wealth management fees (+32%) and life insurance profits (+23%) and net gain from investment securities (+55%) was offset by weaker trading gains.
– Provisioning fell 6% to $156m on lower general allowances, with NPL ratio at 1.3% (3Q16: 1.2%, 2Q17: 1.3%) and Tier 1 CAR at 13.1%.
– NAV/share of $8.76 translates to 1.31x P/B.
– 1QFY18 net profit jumped 9.2% to $90.7m, meeting estimates.
– Revenue grew 7% to $204.5m spurred by increased takings from securities trading and clearing (+9%) as well as derivatives (+14%).
– Operating margin inched up 0.9ppt to 51.8% despite incurring higher expenses related to Baltic Exchange.
– Interim DPS of 5¢ maintained.
– Expects momentum in market activity to return to higher levels of past years, with IPOs to reach high-20s by end Dec from 18 ytd.
– Last traded at 21.8x FY18 P/E.
*Mapletree Commercial Trust
– 2QFY18 results met expectation with higher DPU of 2.24¢ (+9.3%).
– Gross revenue and NPI spiked to $107.2m (21.7%) and $84.4m (23.4%), respectively, thanks to full quarter contribution from Mapletree Business City I and increased takings from Vivocity.
– For 1HFY18, VivoCity achieved 1.1% growth in tenant sales, while shopper traffic held steady following AEI works.
– However, portfolio occupancy dipped 0.5ppt q/q to 97.6%, while aggregate leverage held steady at 36.4%.
– Last traded at annualised 2QFY18 yield of 5.3% and 1.2x P/B.
*AIMS AMP REIT
– 2QFY18 DPU slumped 7.3% to 2.55¢, at the lower end of expectations.
– Gross revenue slipped 1.3% to $29.5m due to lower rental and recoveries from 20 Gul Way as four phases of the property reverted to multi-tenancy leases.
– On a flip side, NPI inched up 0.7% to $19.4m on lower property tax and land rent expenses on certain properties.
– Occupancy contracted to 88.8% (1QFY18: 91%), while aggregate leverage expanded to 37.3% (1QFY18: 36.3%).
– Currently trades at annualised 2QFY18 yield of 7% and 1.08x P/B.
– Divesting its entire 100% stake in Keppel China Marina, which has a 80% JV that owns and develops an integrated residential cum marina development in Zhongshan, China, for Rmb2.9b.
– The sale is expected to yield a net gain of $290m and raise its NAV/share by 2.5% to $6.50.
– Trades at 16.5x forward P/E.
– Developing and operating two grid-tied rooftop solar energy systems in Changi and Seletar for a combined project cost of $5.4m.
– Both photovoltaic systems have capacity of 4.1MW, with construction targeted for completion by Feb and Apr next year.
– Last traded at 15.3x forward P/E.
– Disclosed that the group’s Garden Fresh loquat juices have been procured by China Southern Airlines and will be served at its premium lounge for business and first class travellers at Shenzhen airport.
– Group’s Grandness-branded canned fruits have also been procured for a third consecutive year for Air China, China Southwest Airlines and Sichuan Airlines.
– Last traded at 3.4x trailing P/E.
*Tung Lok Restaurants
– Profit warning for 1HFY18 due to a drop in sales as a result of the challenging economic environment.
– Results slated to be released on or before 14 Nov.
– Counter is loss-making and valued at 4.05x P/B.
– Acquired 30% stakes in two property development/ management firms for a combined Rmb1.64b.
– The firms are Hangzhou Kesheng Property (Rmb515.6m) and Hangzhou Keyi Property Development (Rmb1,124m).
– Trades at 5.7x forward P/E and 0.85x P/B.
*Hong Leong Asia
– In response to the SGX trading query on the recent share price surge, the group cited reasons include:
1) The disposal of 60% interest in Copthorne Hotel Qingdao by subsidiary HL Global Enterprises; and
2) CIMB’s coverage on group’s subsidiary China Yuchai with an Add recommendation on 20 Oct.
– Counter trades at 0.7x P/B.
– Advised by legal advisors that recent originating summons from noteholder Ravi Murarka, requesting for his notes to be redeemed, is without basis.
– Ezion will thus apply to the High Court to strike-out the originating summons.
– Entered into a MOU with Beijing Fuhaihua Import & Export Corp to sell 300-500 tonnes of semi-processed gold concentrated ore per month.
– Trades at 2x P/B.
– Terminated the agreement to acquire Pioneer Venture, Yumei Tech and Yumei REIT from Seah Chong Hoe for $6m.
– This came on the back of unsatisfactory results following its due diligence.
– Completed the acquisition of Malaysia-based Wisma Majuniaga for $3.7m, via the issuance of new shares.
– To recap, Wisma Majuniaga holds the development rights for a 1.35ha land consisting 515 residential/retail units in Samarahan District in Sarawak, Malaysia.
– Trades at 18.8x forward P/E.
|URA’s request for en bloc tender details intrigues market|
– Provisioning soared 87% to $815m (2Q17: $304m) on a spike in specific allowances to the O&G support service sector.
– NPL ratio ticked up to 1.7% (3Q16: 1.3%, 2Q17: 1.5%) but capital position remained strong with Tier 1 CAR at 14.0% (3Q16: 14.4%, 2Q17: 14.4%).
– Trading at 1.32x P/B.
– Stellar 3Q17 net profit surged 135% to $111.4m (+135%), blowing past estimates.
– Higher revenue of $1.06b (50.5%) was due to strong execution of customers’ programmes and deeper collaboration with strategic clients.
– Pretax margin expanded 4.4ppt to 12.4% as there were more products that required design content.
– Cash continued to pile up giving scope for higher dividends.
– Last traded at 20.8x FY17e P/E.
– Revenue grew 3.7% to $274.7m on
– 2QFY18 net profit to $38.1m (+7.3%) missed forecasts.
– But operating margin of 7.1% (-2.2ppts) was squeezed by higher staff costs.
– Last traded at 21.9x FY18e P/E.
– 3Q17 net profit tumbled 90% to $10.7m on
– This dragged 9M17 net profit to $33.2m (-76.6%), meeting just 41% of FY17 street estimate.
– Revenue slumped 56.6% to $181.9m on weaker development income (-86.9%) following completion of Crowne Plaza Changi Airport Extension and fewer unit sales at OUE Twin Peaks.
– Gross margin expanded to 38.6% (+5.6ppt) on a shift in sales mix.
– Bottom line was further weighed by increased net finance expenses (+19.8%) and a jump in non-controlling interests (+28.2%).
– NAV/share at $4.38.
*Chip Eng Seng
– 3Q17 net profit surged 145.8% to $14m, mainly boosted by a disposal gain from of 420 St Kilda Road in Melbourne, Australia, for $13.4m.
– Revenue jumped 37.8% to $209.2m on jump in contributions from property developments (+114.7%) and hospitality (+47.6%), but partly weighed by construction (-31.9%) and property investments (-7.7%).
– Gross margin dipped 1ppt to 16.8% on the shift in sales mix.
– Bottom line was partly weighed by increased administrative expenses (+36.1%) arising from pre-operating expenses for Grand Park Kodhipparu Maldives, depreciation charges and higher staff costs.
– Trades at 17.4x forward P/E.
– Declared interim DPS to 1¢ (3Q16:
– Bottom line was partly supported by lower interest costs (-25.8%) and distribution & selling (-7.1%) expenses, but pared by a swing into associate/ JV loss to $0.02m (3Q16: $0.6m profit).
– Gross margin slipped 1.1ppt to 55.2% on a change in sales mix.
– Revenue slipped 2% to $154.3m on weakness across bakery (-1.7%), food atrium (-4.5%), F&B incubator 4orth (-9.8%) and others (-2.5%), while restaurant takings improved 0.9%.
– 3Q17 results missed despite a 22.2% jump in net profit to $4m.
–Currently trades at 23.8x forward P/E.
– Gross margin expanded 3.6ppt to 7.4% on better margins from the processing segment and contribution from new
– For the quarter, revenue surged 157.7% to US$482.1m on improved rubber prices and higher sales volume from existing and newly-acquired operations, namely Sinochem and GMG Global.
– 3Q17 turned around to net profit of US$7.3m (3Q16 US$12.1m loss), bringing 9M17 net profit to US$20.1m (9M16: $26.7m loss).
– Bottom line was supported byassociate profit of $2.6m (3Q16: nil).
– Last traded at 5.5x trailing P/E.
– 3Q17 reversed into
– Revenue rose 6% to $26.2m, mainly contributed by Squire Mech, an associate turned subsidiary in Aug ’16, and new acquisitions AC Consortium, and Ariva Hospitality.
– Post-adjustment of one-off items, EBITDA margin shrank 4.3ppt to 5.1% upon consolidation of Squire Mech, lower wage reimbursement from customers and higher project expenses.
– Net gearing crept higher to 0.23x from 0.21x in Jun ’17.
– NAV/share at $0.0846.
– Existing 90:10 JV with Lee Kim Tah Group has signed a master agreement with PT. Trans Corpora, to develop, market and sell five 32-storey residential towers in Bekasi, Jakarta, Indonesia.
– Total investment value will be at Rp1,987b ($200.4m).
– The residential towers are part of Trans Corpora’s mixed development Trans Park Bekasi on a 4.5-ha site, which also comprises a hotel, school, office building and a Transmart mall.
– This allows Metro to expand beyond retail department store operations to include its core property business in Indonesia.
– The deal includes a net profit guarantee of RM4.5m for FY18.
– To acquire Eastern Press, a Malaysian printer and supplier of packaging materials, for RM46.3m.
– Disposing entire 49% stake in Triumph Alliance to Prime Asia Corp for US$10m, which includes a repayment of
– The consideration in markedly below the JV’s book value of US$44m, and hence will lead to an impairment loss.
– Warned of significantly lower 1QFY18 revenue and earnings.
– The negative profit alert was due to an inventory build-up at the distributors following a previous sales promotion for baijiu products.
– Tat Hong
– Hospitality arm marked the opening of a 354-unit Modena By Fraser Changsha in Hunan, China.
– The serviced residence is one of 14 properties slated to open over the next four years.
– The group currently has a global portfolio of 148 properties with 23,600 units.
– Land site is a 462sqm freehold property that is zoned residential with commercial at
– Exercised an option to purchase a vacant land along Tessensohn Road in Singapore for $14.5m.
– Trading at 11.6x forward P/E.
– The price translates to ~$2,080
– To acquire another 3.33%/ 5.49% in Perennial Chinatown Point for $5.1m/ $8.5m.
– The deal will raise SPH/ Perennial’s stakes to 30.68%/ 50.64%.
– Secured a contract for the construction of one service vessel for integrated fish-farming group
– The vessel is slated to deliver by 2Q18.
– Trading at 0.8x P/B.
– 70:30 JV with Keppel Land partnered Singapore Internet Exchange (SGIX) to enhance network connectivity in Singapore.
– The partnership increases SGIX Internet peering points in Singapore to four, boosting its service coverage across the country.
– Customers of Keppel Data Centres that connect to SGIX stand to enjoy reduced latency and lower operating costs from the streamlining of Internet connections.
– Entered into a Deed of Gift with its chairman to transfer his rights, title and interest in certain patents relating to the frame structure for a multi-level container handling and storage facility.
– Net proceeds of $80.9m earmarked to fund growth and expansion for its real estate division (50%), with the remainder for the automotive and heavy equipment divisions, consumer and others.
– The properties have a combined strata floor area of 128,000
– Golden Bay owns 59 strata lots, of which 21 are shops and 38 are offices, located at Orchard Tower and 1 Claymore Drive in Singapore.
– Entered into a conditional agreement to buy property investment firm Golden Bay Realty for $162m.
– The acquisition will expand the group’s property investment portfolio and strengthen its recurrent income stream.
– Trades at 8.2x trailing P/E.
– The 999-year property with
– To purchase a 3-storey conservation commercial shophouse for $26.5m.
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– Key highlight this week is the commencement of the China CPC on 18 Oct (Wed), where investors will focus on the direction to be set by top leader Xi Jinping for the country over the next five years.
– Technically, the STI sees immediate upside resistance at 3,320, with the next objective at 3,355. Downside support is at 3,275 followed by 3,250.
– 3QFY17 DPU dipped 1.8% to 1.374¢, bringing 9MFY17 DPU to 4.329¢ (-4.2%).
– Quarter revenue grew 4.1% to $20.5m on higher takings from Bukit Batok Connection, West Park BizCentral, Solaris, Tuas Connection and Tellus Marine, but was partially offset by reduced income from 72 Loyang Way.
– NPI rose at a slower clip to $17.8m (+3%), on higher property expenses (+11.3%) at Loyang Way and Bukit Batok Connection.
– Occupancy rate improved 1.5ppt to 94.1%, while average debt cost was slightly lowered to 3.32% (2QFY17: 3.37%).
– NAV/unit at $0.71.
*Transit Mixed Concrete
– 1H17 net profit crashed 93% to $0.8m, alongside by a 27% fall in revenue to $8.6m on keen competition and slowdown in construction activities in Singapore and Malaysia.
– Consequently, gross margin slumped to 11.1% (-9.6ppt), while bottom line was further dragged by a 77% dive in other income to $0.6m.
– Management expects weak demand and stiff competition to persist.
– Slashed interim DPS to 1¢/share (1H16: 1.5¢).
– Last traded at 19.4x trailing P/E.
– Guided for higher FY17 pretax operating profit of at least $32m from $24m previously.
– The raise was due to higher sales, better profit margin, and improved operational efficiency.
– AEM is under-researched with only one broker coverage with a Buy and TP of $3.43.
– Last traded at 8.2x forward P/E prior to the 33% earnings upgrade.
*Lippo Malls Indonesia Retail Trust
– To acquire Lippo Plaza Jogja and Kediri Town Square for $98.1m.
– The slightly accretive deal will boost its portfolio to 30 properties in Indonesia with a valuation of over $2b and NLA of 921,026 sqm.
– Pro forma FY16 DPU of 3.43¢ (+0.6%) translates to an implied yield of 7.9%.
– Exploring the sale of property assets on Molokai Island in Hawaii.
– The assets are listed for sale at US$260m, consisting of 55,000 acres of land and operations which provides water and wastewater services.
– Last traded at 16.7x trailing P/E.
– Invited to further negotiate with the Norway government for the construction of three new coast guard vessels.
– Tender for the project is scheduled for approval by the Norwegian Parliament in 2018 and the first vessel is slated for delivery in 2022.
– Last traded at 0.77x P/B.
– Formed a 70:20:10 JV with Progen Industrial and Seacare Property Development.
– The JVCo will undertake the redevelopment of the properties at 17 Balmoral Road.
– Group’s judicial management has been extended to 31 Oct ’18.
– Judicial managers have also been granted an extension to 31 Mar ’18 to send proposals to creditors for its debt restructuring.
– Secured a revolving credit facility worth US$1.75b from a consortium of banks.
– Proceeds to be used towards refinancing of existing loans.
Singapore Stocks to Watch
* First REIT (FIRT SP): To Buy Hospital Component Of Property In Yogyakarta
*GL Ltd (GLL SP): To explore sale of Hawaii assets worth $260m
*Lippo Malls Indonesia Retail Trust (LMRT SP): Agrees to buy two retail malls in Indonesia
*Noble Group (NOBL SP): Filings warn of bankruptcy risk at two subsidiaries
*Olam (OLAM SP): Secures $1.75b revolving credit line
*Pan-United (PAN SP): Proposes separate concrete and cement, port business
*Poh Tiong Choon Logistics (PTC SP): Some shareholders accept Poh Tiong Choon stake takeover offer
*SBI Offshore (SBIO SP): To sell Solar Africa Investments
*Vard (VARD SP): Vard Invited To Negotiate For 3 Coast Guard Vessels For Norway
– Technically, the STI see immediate support at 3,275, with upside resistance pegged at 3,320.
– Not considering the 1 time gain from sale, SPH revenue fell as expected in my previous email
For investing: may consider bank shares, namely DBS. Property counters such as Wheelock and Capitaland too
For trading: personally I am watching Rowsley, KOP and sunmoon
– FY17 net profit grew 32% to $350.1m, mainly lifted by a $149.7m divestment gain arising from a 33% stake sale in online classified site 701Search.
– Otherwise, full-year core earnings of $200.4m (-24.5%) missed street forecasts.
– Operating revenue of $1.05b (-8.8%) continued to be pressured by the core media business (-13%).
– EBIT margin contracted to 19.5% (-7ppt), on impairment charges totalling $60.6m.
– Final and special DPS shaved to 9¢ (4Q16: 11¢), bringing FY17 DPS to 15¢ (FY16: 18¢).
– Group reducing headcount further and expects to incur retrenchment costs of $13m in 1QFY18.
– Last traded at 19.1x forward P/E and 2.7% dividend yield.
*Duty Free International
– 2QFY18 net profit crept 1.6% higher to RM14.1m, lifted by a RM1.6m fair value gain on option.
– This brought 1HFY18 earnings to RM29.1m (-13.6%), or 45% of full-year street estimate.
– Quarter revenue slipped 5.5% to RM148.3m, on lower demand due to the GST imposition at border outlets and duty free zones.
– Declared second interim DPS of 0.5¢ (2QFY17: nil).
– Trades at 13.9x forward P/E.
– Slumped into a 1QFY18 net loss of $0.9m (1QFY17: $0.6m profit) on gross margin compression.
– Revenue rose 9.6% to $70.1m from higher progressive sales from ongoing development properties, but gross margin contracted to 10.1% (-1.2ppt).
– Bottom line was further impacted by a 221.3% spike in selling & distribution expenses on promotional activity, as well as absence of tenant compensation (1QFY17: $0.4m) and FX gain (1QFY17: $0.2m).
– NAV/share at $0.189.
– 1QFY18 net profit dived 96.3% to $22,000.
– Revenue surged 88.4% to $26m on higher progressive revenue from development projects Hibre 28, 183 Longhaus and Have Avenue project.
– But gross profit narrowed to 16.3% (-12.1ppt) on a shift in sales mix.
– Earnings fizzled on a 225% spike in selling & distribution costs from promotional expenses incurred and lower associate contribution (-20.3%).
– NAV/share at $0.352.
– 32.5% owned Nanjing Puzhen Rail Transport secured three metro train car supply contracts worth Rmb2.37b.
– The contracts are slated for delivery between Jun ’18 and Mar ’21.
– The counter is a beneficiary of China’s push to develop and expand urban rail transit systems to meet the needs of urbanisation.
– Last traded at 11.9x forward P/E.
– Proposed placement of 500m new shares (8.7% enlarged share capital) at 0.8¢ to two parties.
– The placees include management consultancy firm, Summit Planners Advisory Group, and non-exec director, Liu Song.
– Net proceeds of $3.9m intended to support M&A of WE Crowdfunding and working capital.
– Proposed 11% investment in a cross-platform Malaysian B2B commerce solution provider, Boostorder, for RM2.5m.
– The investment is synergistic to the group’s existing proprietary software and customer base.
– Last traded at 1.2x trailing P/E.
– Entered into an agreement to dispose a 60-year leasehold, underutilised cold storage and office at 5 Second Chin Bee Road for $7.8m.
– The sale price is at a 6% discount to a market valuation done back in 2015, and the group estimates a disposal gain of $4.2m.
– Net proceeds from the disposal will be used to pare debt and for working capital.
News for today 12/10/2017:
– Five Things You Need to Know to Start Your Dayhttps://www.bloomberg.com/news/articles/2017-10-11/five-things-you-need-to-know-to-start-your-day-j8nm4fkk
– IMF calls for fiscal policies that tackle rising inequality http://www.straitstimes.com/business/imf-calls-for-fiscal-policies-that-tackle-rising-inequality?xtor=CS3-18
– Oil prices settle up on demand forecasts, Kurdistan tensions http://www.businesstimes.com.sg/energy-commodities/oil-prices-settle-up-on-demand-forecasts-kurdistan-tensions
– Gold extends gains after latest Fed meeting minutes http://www.businesstimes.com.sg/energy-commodities/gold-extends-gains-after-latest-fed-meeting-minutes?xtor=CS3-25
– Dow, S&P 500, Nasdaq at record highs, extending rally http://www.straitstimes.com/business/companies-markets/dow-sp-500-nasdaq-at-record-highs-extending-rally?xtor=CS3-18
– ‘Many’ Fed members favour December rate hike: Minutes http://www.straitstimes.com/business/companies-markets/many-fed-members-favour-december-rate-hike-minutes?xtor=CS3-18; Federal Reserve should raise policy rate to 2.5% over two years: Williams http://www.businesstimes.com.sg/government-economy/federal-reserve-should-raise-policy-rate-to-25-over-two-years-williams?xtor=CS3-25
– US carrier drills with Japanese navy around Okinawa, south-west of Korean peninsula http://www.straitstimes.com/asia/east-asia/us-carrier-drills-with-japanese-navy-around-okinawa-south-west-of-korean-peninsula?xtor=CS3-18
– Condo, private apartment rents slip 0.1% in September; HDB rents slide 0.9% http://www.straitstimes.com/business/property/condo-private-apartment-rents-slip-01-in-september-hdb-rents-slide-09?xtor=CS3-18
– Women’s CPF savings go up, narrowing gender gap http://www.straitstimes.com/singapore/manpower/womens-cpf-savings-go-up-narrowing-gender-gap?xtor=CS3-18
– Collective sales: Why some owners missed out http://www.straitstimes.com/business/property/collective-sales-why-some-owners-missed-out?xtor=CS3-18
– Sim Lim Square forms committee in first attempt http://www.straitstimes.com/business/property/sim-lim-square-forms-committee-in-first-attempt?xtor=CS3-18
– Many in finance, accounting ‘not future-ready’ http://www.straitstimes.com/business/companies-markets/many-in-finance-accounting-not-future-ready?xtor=CS3-18
Stocks to watch today 12/10/2017:
– Accrelist last close $0.007, 52wk high/low $0.008/$0.004 – Company to raise S$4m via proposed share placement to support e-medical and e-wallet initiatives http://www.businesstimes.com.sg/companies-markets/accrelist-to-raise-s4m-via-proposed-share-placement-to-support-e-medical-and-e?xtor=CS3-25
– Banyan Tree last close $0.645, 52wk high/low $0.68/$0.36 – Company marks homecoming with resort in Mandai http://www.businesstimes.com.sg/companies-markets/banyan-tree-marks-homecoming-with-resort-in-mandai?xtor=CS3-25
– Frasers Centrepoint last close $2.08, 52wk high/low $2.17/$1.47 – Company acquires three German companies http://www.straitstimes.com/business/companies-markets/frasers-centrepoint-acquires-three-german-companies?xtor=CS3-18
– Genting Singapore last close $1.18, 52wk high/low $1.215/$0.74 – Company markets debut Samurai bonds http://www.straitstimes.com/business/companies-markets/genting-singapore-markets-debut-samurai-bonds?xtor=CS3-18
– Lafe Corp last close $0.90, 52wk high/low $0.92/$0.305 – Chairman’s buyout offer goes unconditional http://www.straitstimes.com/business/companies-markets/lafe-corp-chairmans-buyout-offer-goes-unconditional?xtor=CS3-18
– New Silkroutes last close $0.42, 52wk high/low $1.09/$0.35 – Company buys The Dental Hub’s three clinics; auditor flags prepayments to a supplier http://www.straitstimes.com/business/companies-markets/new-silkroutes-buys-the-dental-hubs-three-clinics-for-32m-in-shares-to?xtor=CS3-18
– SPH last close $2.69, 52wk high/low $3.78/$2.54 – Company speeds up staff cuts; posts 32% rise in full-year net profit http://www.straitstimes.com/business/companies-markets/sph-posts-32-rise-in-net-profit-to-speed-up-staff-cuts?xtor=CS3-18; SPH revamps for better footing in digital information age http://www.businesstimes.com.sg/companies-markets/sph-revamps-for-better-footing-in-digital-information-age?xtor=CS3-25
– Spackman last close $0.121, 52wk high/low $0.199/$0.097 – Company buys Korean film production company Take Pictures for $3.9m in shares, cash http://www.straitstimes.com/business/companies-markets/spackman-buys-korean-film-production-company-take-pictures-for-39m-in?xtor=CS3-18
– SIIC last close $0.525, 52wk high/low $0.655/$0.45 – Company receives green light for upgrading, expansion of Wuhan water plant http://www.businesstimes.com.sg/companies-markets/siic-receives-green-light-for-upgrading-expansion-of-wuhan-water-plant?xtor=CS3-25
– Market sentiment is expected to remain subdued as traders awaiting key data from US (inflation), China (trade)and Singapore (3Q GDP, MAS policy) this Fri. – But support could come from the latest IMF update, which bumped up its global growth forecasts as an upswing in the world economy is expected to gather pace into next year.
– Technically, the STI is approaching overbought territory with upside resistance pegged at 3,320 and underlying support at 3,275.
– According to news reports, CapitaLand is holding back sales of two residential projects (57% sold Marina Blue, 81% sold Sky Habitat).
– This comes as other developers, Landlease, Qingjian Realty and GuocoLand have also postponed the next phase of their sale launches for projects launched earlier this year, possibly in the hope of raising prices next year.
– Top picks are UOL (TP: $9.43), GuocoLand (TP: $2.75) and City Dev (TP: $12.05).
– Clinched a Rmb94.8m contract to provide four cold hydrogenation fluidized bed reactors to Chinese conglomerate Inner Mongolia Tongwei.
– Delivery is slated by 1H18 and will be positive for the group’s FY18 results.
– Last traded at 15.7x trailing P/E.
– Korean film, The Outlaws, distributed by 51%-owned subsididiary, has taken the top spot in the Korean box office for two consecutive days.
– Separately, the group raised its stake in 26.17% owned talent agency, Spackman Media Group, to 29.12% for US$2.7m. This will be funded via issue of by 28.5m new shares (6.1% of share capital) at $0.13 each.
– Proposed to acquire a development stage motion picture production firm, Take Pictures, for $3.9m, via cash ($0.6m) and 25.7m new shares (5.6% of share capital) at $0.13 each.
– Last traded at 8.6x forward P/E.
– Completed acquisition of Sengkang Pawnshop for $3.58m.
– The acquisition will provide an additional revenue stream and is in line with group’s expansion plan.
– Last traded at 9.6x trailing P/E against 10.1x for peer Maxi-Cash’.
– Guided for a 3Q17 operating loss of several hundred thousand dollars.
– Forecast revenue for 3Q17 will just exceed US$11m (-33%).
– The lacklustre quarter was due to excess inventories of polished diamonds, which prompted manufacturers to slow down production and hold off capex, and imitation products that impaired the sales of its capital equipment.
– Last traded at 14.2x forward P/E.
– Proposed a slew of changes to encourage new remisiers to join the industry in bid to improve trading activity on the local bourse.
– These proposed changes include removing the minimum $30,000 security deposit in order to allow broking houses to set their own credit limit, and giving brokers more flexibility to operate off-premises and their own non-trading businesses.
– Last traded at 21.5x forward P/E.
– Acquiring two warehouse facilities in Moosthenning, Bavaria/Germany, for €42.4m ($67.8m).
– The properties with a combined gross lettable area of 72,558 sqm are leased on a long-term basis to a leading German car manufacturer for the warehousing of automotive spare parts.
– Secured its second management contract in China for an upcoming integrated marine located at Sanshan Island, Suzhou.
– The contract will be for a 10-year term, with no further financial details provided.
– Separately, the group inked an MOU with Hainan Cruise & Yacht Association to exchange ideas regarding the development and expansion of Hainan Island’s leisure marina industry.
– Proposed placement of 100m new shares (19.7% existing share capital) at $0.1403 (10% discount to last close) to placement agent PrimePartners Corporate Finance.
– Net proceeds of $13.3m to be used for general working capital (30%) and investments into new, prospect or existing portfolio companies (70%).
– Proposed interested party transaction for a 51% acquisition of investment holding company, which owns Malaysian incorporated travel agency, YC Travel & Tours, for $15m.
– Funding will be via 117.2m new shares at $0.128 apiece to be issued to Executive Chairman and CEO, Chu Sau Ben, and will lift his stake from 50.002% to 74.752%.
*Samurai 2K Aerosol
– Signed an MOU with Genesis GD for the latter to be the sole and exclusive distributor of Samurai’s line of products in Cambodia.
– Entered into a JV agreement with a privately-owned automobile parts importer in Myanmar.
– The JVCo will develop and establish a marketing business for automobile and industrial products in Myanmar.
– YHI has the option to increase its shareholding to a maximum of 51% from its current stake 19%.
– Last traded at 26.7x trailing P/E and 0.97x P/B.
News for today 11/10/2017:
– Oil rises above US$56 on Saudi export cuthttp://www.businesstimes.com.sg/energy-commodities/oil-rises-above-us56-on-saudi-export-cut?xtor=CS3-25
– Gold rises but US rate expectations cap gains http://www.businesstimes.com.sg/energy-commodities/gold-rises-but-us-rate-expectations-cap-gains
– World economic growth improving, even as US, UK potential slows: IMF http://www.straitstimes.com/business/world-economic-growth-improving-even-as-us-uk-potential-slows-imf?xtor=CS3-18
– Dow ends at record high as Wal-Mart surges on forecast http://www.straitstimes.com/business/companies-markets/dow-ends-at-record-high-as-wal-mart-surges-on-forecast?xtor=CS3-18
– Canada housing starts, building permits fall as long boom cools http://www.businesstimes.com.sg/real-estate/canada-housing-starts-building-permits-fall-as-long-boom-cools?xtor=CS3-25
– Euro rises to 1-week high on German trade data http://www.businesstimes.com.sg/companies-markets/euro-rises-to-1-week-high-on-german-trade-data?xtor=CS3-25
– Catalan leader stops short of formal independence declaration to allow talks http://www.straitstimes.com/world/europe/catalan-leader-puigdemont-to-address-regional-parliament-amid-fears-of-declaration-of?xtor=CS3-18
– China says will have no problem meeting 2017 growth target, may beat it http://www.straitstimes.com/business/economy/china-says-will-have-no-problem-meeting-2017-growth-target-may-beat-it?xtor=CS3-18
– IMF raises Japan growth forecast for 2017 to 1.5% http://www.businesstimes.com.sg/government-economy/imf-raises-japan-growth-forecast-for-2017-to-15
– SGX’s top 20 China-linked firms achieve 39.8% average return http://www.businesstimes.com.sg/companies-markets/sgxs-top-20-china-linked-firms-achieve-398-average-return?xtor=CS3-25
– Locals make up majority being trained, hired for key jobs in Singapore’s financial institutions http://www.straitstimes.com/business/banking/financial-institutions-in-singapore-training-and-employing-over-80-per-cent-of?xtor=CS3-18
– Condo resale prices edge up 0.1%, volume down 10.9% in September: SRX Property http://www.straitstimes.com/business/property/condo-resale-prices-edge-up-01-volume-down-109-in-september-srx-property?xtor=CS3-18
Stocks to watch today 11/10/2017:
– Adventus last close $0.013, 52wk high/low $0.019/$0.009 – ICT solutions provider Adventus names RHT Capital as Catalist sponsor http://www.businesstimes.com.sg/companies-markets/ict-solutions-provider-adventus-names-rht-capital-as-catalist-sponsor?xtor=CS3-25
– China Jishan last close $0.181, 52wk high/low $0.28/$0.025 – Company calls off asset disposal, may stave off cash company status http://www.businesstimes.com.sg/companies-markets/china-jishan-calls-off-asset-disposal-may-stave-off-cash-company-status
– First REIT last close $1.36, 52wk high/low $1.39/$1.25 – REIT completes Siloam Hospitals Buton, Lippo Plaza Buton purchase http://www.businesstimes.com.sg/companies-markets/first-reit-completes-siloam-hospitals-buton-lippo-plaza-buton-purchase?xtor=CS3-25
– GRP last close $0.20, 52wk high/low $0.283/$0.19 – Company to take up 51% stake in Malaysian property development firm http://www.businesstimes.com.sg/companies-markets/grp-to-take-up-51-stake-in-malaysian-property-development-firm?xtor=CS3-25
– Koh Bros Eco Engineering last close $0.119, 52wk high/low $0.134/$0.036 – Company receives regulatory approval for proposed rights cum warrants issue http://www.businesstimes.com.sg/companies-markets/koh-bros-eco-engineering-receives-regulatory-approval-for-proposed-rights-cum?xtor=CS3-25
– Olam last close $2.23, 52wk high/low $2.25/$1.855 – Company’s 5.6% surge prompts SGX query http://www.businesstimes.com.sg/companies-markets/olams-56-surge-prompts-sgx-query?xtor=CS3-25
– Sunpower last close $0.63, 52wk high/low $0.885/$0.38 – Company’s unit clinches 94.8 million yuan contract http://www.businesstimes.com.sg/companies-markets/sunpower-unit-clinches-948-million-yuan-contract?xtor=CS3-25
– Secura Group $0.109, 52wk high/low $0.23/$0.098 – CEO resigns to ‘pursue personal interests’ http://www.businesstimes.com.sg/companies-markets/secura-group-ceo-resigns-to-pursue-personal-interests?xtor=CS3-25
– SUTL last close $0.69, 52wk high/low $1.01/$0.50 – Company secures 10-year management contract for new Suzhou marina http://www.businesstimes.com.sg/companies-markets/sutl-secures-10-year-management-contract-for-new-suzhou-marina?xtor=CS3-25
– Trendlines last close $0.156, 52wk high/low $0.205/$0.136 – Company proposes S$14m share placement http://www.businesstimes.com.sg/companies-markets/trendlines-proposes-s14m-share-placement?xtor=CS3-25
– YHI last close $0.39, 52wk high/low $0.415/$0.28 – Company’s unit in joint venture with Myanmar firm to market car and industrial products http://www.businesstimes.com.sg/companies-markets/yhi-unit-in-joint-venture-with-myanmar-firm-to-market-car-and-industrial-products?xtor=CS3-25
Singapore Stocks to Watch
* CWT (CWT SP): HNA to acquire all issued, paid-up ordinary shares in CWT: filing
*Nam Cheong (NCL SP): Latest Singapore restructuring shows oil distress far from over
*Noble Group (NOBL SP): Noble Group is said in advanced talks to sell oil unit to Vitol
* Olam (OLAM SP): Unaware of factors driving share price
*SGX (SGX SP): Proposes changes to rules on securities trading
*Sembcorp Industries (SCI SP): Raised to hold at HSBC; PT raised to S$3.05
*Sunpower (SPWG SP): Clinches contract worth RMB94.8m
*Wilmar (WIL SP): Ukraine’s Odessa region to get $300m of agriculture investments
|SGX gives brokers more flexibility|
SPH results will be released tomorrow. Suggest avoiding buying into SPH as revenue should be on a downtrend as before. And even if there is an increase of revenue or net profits, it is not stable and for it has been decreasing over several mo…