Month: November 2010
November 2010
Results Announcement
- 2 Nov 10 : SATS (Q211) – EPS 4.1ct (todate 8.2ct) ; Div 5ct
- 9 Nov 10 : StarHub (Q310) – EPS 4.78ct (todate 10.66ct) ; Div 5ct (todate 15ct)
- 9 Nov 10 : STEng (Q310) – EPS 4.31ct (todate 11.48ct)
- 10 Nov 10 (AM) : SPAusNet (1H11) – Div A$0.04 (Gross)
- 11 Nov 10 (AM) : SingTel (Q211) – EPS 5.6ct (todate 11.52ct) ; Div 6.8ct
- 11 Nov 10 : SBSTransit (Q310) – EPS 4.14ct (todate 14.3ct)
- 12 Nov 10 : ComfortDelgro (Q310) – EPS 2.94ct (todate 8.33ct)
STI = 3144.70 (-13.51)
|
Stock |
Period |
EPS cts |
DPS cts |
Mkt |
Yield |
PE |
Div Breakdown |
|
SPH |
FY10 (Aug) |
31 |
27 |
$4.19 |
6.444% |
13.52 |
Interim 7ct ; Final 9ct + 11ct (Special) |
|
SingPost |
FY10 (Mar) |
8.563 |
6.25 |
$1.16 |
5.388% |
13.55 |
Q1, Q2, Q3 1.25ct ; Q4 2.5ct |
|
STI ETF |
Jun-10 |
— |
3 |
$3.22 |
1.863% |
— |
Jun10 3ct ; Dec09 3ct |
|
SATS |
FY10 (Mar) |
16.7 |
13 |
$2.87 |
4.530% |
17.19 |
Final 8ct ; Interim 5ct |
|
ST Engg |
FY09 (Dec) |
14.78 |
13.3 |
$3.26 |
4.074% |
22.06 |
Final 4ct + 6.28ct (Special) ; Interim 3ct |
Transport
|
Stock |
Period |
EPS cts |
DPS cts |
Mkt |
Yield |
PE |
Div Breakdown |
|
SBSTransit |
FY09 (Dec) |
17.75 |
8.8 |
$1.93 |
4.560% |
10.87 |
Interim 4.5ct ; Final 4.3ct |
|
ComfortDelGro |
FY09 (Dec) |
10.52 |
5.3 |
$1.52 |
3.487% |
14.45 |
Interim 2.63ct ; Final 2.67ct |
|
SMRT |
FY10 (Mar) |
10.7 |
8.5 |
$2.03 |
4.187% |
18.97 |
Interim 1.75ct ; Final 6.75ct |
TELCO
|
Stock |
Period |
EPS cts |
DPS cts |
Mkt |
Yield |
PE |
Div Breakdown |
|
SingTel |
FY10 (Mar) |
24.55 |
14.2 |
$3.10 |
4.581% |
12.63 |
Interim 6.2ct ; Final 8ct |
|
M1 |
FY09 (Dec) |
16.8 |
13.4 |
$2.21 |
6.063% |
13.15 |
Interim 6.2ct ; Final 7.2ct |
|
StarHub |
FY09 (Dec) |
18.68 |
19 |
$2.63 |
7.224% |
14.08 |
Q1 4.5ct ; Q2 4.5ct ; Q3 5ct ; Q4 5ct |
Funds / Infrastructure
|
Stock |
Period |
DPS cts |
Mkt |
Yield |
NAV |
Div Breakdown |
|
SPAus |
2H10 (Mar-10) |
A4.0 (Gross) |
$1.130 |
8.969% |
A$0.94 |
2H10 A4.0ct ; 1H10 A4.0ct |
|
MIIF |
1H – Jun10 |
1.50 |
$0.560 |
5.357% |
$0.830 |
2H09 1.5ct ; 1H09 1.5ct |
* SPAus DPU in A$. Yield is Calculated Using Latest Exchange Rate (1.2669) fm Yahoo
NOTES :
- Mkt Price is as on 30-Nov-10
- SingTel : 1H11 (Sep10) – Interim 6.8ct
- SPAus : 1H11 (Sep10) – A4ct (before tax) / A3.7772ct (after tax) ; 2H10 (Mar10) – A4ct (before tax) / A3.7739ct (after tax)
- StarHub : Q310 (Sep) – 5ct ; Q210 (Jun) – 5ct ; Q110 (Mar) – 5ct
- SATSvcs : Q211 (Sep10) – Interim 5ct
- SMRT : Q211 (Sep10) – Interim 1.75ct
- SingPost : Q211 (Sep10) – 1.25ct ; Q111 (Jun10) – 1.25ct
- SPH : 2H10 (Aug) – 20ct ; 1H10 (Feb) – 7ct
- SBSTransit : Q210 (Jun) – 4.5ct
- ComfortDelgro : Q210 (Jun) – 2.7ct
- MIIF : 1H10 (Jun) – 1.5ct
- ST Engg : Q210 (Jun) – 3ct
- M1 : 1H10 (Jun) – Interim 6.3ct
- StarHub : FY10 Div Policy 20ct ie. 5ct/Q
SingTel – BT
Bharti’s latest woes may be a drag on SingTel
Indian telco may face big fine over cellular licences controversy
Singapore Telecommunications could be weighed down further by its Indian investment as Bharti Airtel is currently mired knee-deep in a controversy which might result in the unsavoury prospect of a billion-dollar government fine.
At the heart of the storm is the Indian government’s allegation that local telcos may have underpaid for a series of second-generation (2G) cellular licences that were issued in 2008, a fiasco which has resulted in the resignation of telecommunications minister Andimuthu Raja.
India’s chief auditor has already indicted the official for undervaluing these licences as he is said to have awarded them to new market entrants based on an outdated policy formulated in 2001.
At the same time, incumbents Bharti, BSNL and Vodafone were reportedly allotted more than their stipulated share of the 2G spectrum without incurring any upfront fees.
According to the Financial Times, the Comptroller and Auditor General of India claims that the bids involving these three operators have cost authorities some US$8 billion in lost revenue.
Citing an unnamed source, the FT further reported that Bharti and Vodafone could be fined more than US$1 billion each as a result of the fiasco. Bharti Airtel is the largest operator in India with a local subscriber base of 143 million.
‘Those who were given more at less will have to pay something back to the government … the exact amount is being worked out but BSNL, Bharti and Vodafone are the ones that benefited the most so they will pay the most,’ an Indian official was quoted as saying.
Besides the three incumbents, the six other operators that are being implicated are Idea Cellular, MTNL, BPL, Aircel, Reliance and Spice.
Some market watchers believe a government charge would hurt some of these new market entrants more than incumbents such as Bharti.
‘We believe some of the recent events in the regulatory environment appear to be negative for new operators as they risk paying heavy fines or surrendering their licences,’ Goldman Sachs said in a recent report on Bharti.
‘We therefore believe the regulatory environment in the next 12-18 months will be more favourable to incumbents than new entrants,’ it added.
Nonetheless, if a huge fine is indeed levied on Bharti, SingTel’s earnings will undoubtedly be further dented by its largest regional investment.
When contacted, SingTel declined comment. Earlier this month, Singapore’s largest operator reported an unexpected 6.7 per cent dip in second-quarter net profit to $892 million.
SingTel, which has a 32 per cent stake in Bharti, was hit by the Indian operator’s African expansion for the second quarter in a row.
The Indian operator acquired Kuwaiti conglomerate Zain’s mobile assets in June this year in a deal valued at US$10.7 billion.
Beyond chipping in its share of the financing costs for the acquisition, SingTel’s earnings were dented by the inclusion of the first full quarter of losses from Bharti’s newly acquired cellular companies in Africa. If these were excluded, SingTel said its net profit would have dipped by only 3 per cent in the second quarter.
SingTel CEO Chua Sock Koong previously said Bharti would need around six months to restructure its operations and profitability should begin to improve by April next year.
SingTel – BT
Bharti’s latest woes may be a drag on SingTel
Indian telco may face big fine over cellular licences controversy
Singapore Telecommunications could be weighed down further by its Indian investment as Bharti Airtel is currently mired knee-deep in a controversy which might result in the unsavoury prospect of a billion-dollar government fine.
At the heart of the storm is the Indian government’s allegation that local telcos may have underpaid for a series of second-generation (2G) cellular licences that were issued in 2008, a fiasco which has resulted in the resignation of telecommunications minister Andimuthu Raja.
India’s chief auditor has already indicted the official for undervaluing these licences as he is said to have awarded them to new market entrants based on an outdated policy formulated in 2001.
At the same time, incumbents Bharti, BSNL and Vodafone were reportedly allotted more than their stipulated share of the 2G spectrum without incurring any upfront fees.
According to the Financial Times, the Comptroller and Auditor General of India claims that the bids involving these three operators have cost authorities some US$8 billion in lost revenue.
Citing an unnamed source, the FT further reported that Bharti and Vodafone could be fined more than US$1 billion each as a result of the fiasco. Bharti Airtel is the largest operator in India with a local subscriber base of 143 million.
‘Those who were given more at less will have to pay something back to the government … the exact amount is being worked out but BSNL, Bharti and Vodafone are the ones that benefited the most so they will pay the most,’ an Indian official was quoted as saying.
Besides the three incumbents, the six other operators that are being implicated are Idea Cellular, MTNL, BPL, Aircel, Reliance and Spice.
Some market watchers believe a government charge would hurt some of these new market entrants more than incumbents such as Bharti.
‘We believe some of the recent events in the regulatory environment appear to be negative for new operators as they risk paying heavy fines or surrendering their licences,’ Goldman Sachs said in a recent report on Bharti.
‘We therefore believe the regulatory environment in the next 12-18 months will be more favourable to incumbents than new entrants,’ it added.
Nonetheless, if a huge fine is indeed levied on Bharti, SingTel’s earnings will undoubtedly be further dented by its largest regional investment.
When contacted, SingTel declined comment. Earlier this month, Singapore’s largest operator reported an unexpected 6.7 per cent dip in second-quarter net profit to $892 million.
SingTel, which has a 32 per cent stake in Bharti, was hit by the Indian operator’s African expansion for the second quarter in a row.
The Indian operator acquired Kuwaiti conglomerate Zain’s mobile assets in June this year in a deal valued at US$10.7 billion.
Beyond chipping in its share of the financing costs for the acquisition, SingTel’s earnings were dented by the inclusion of the first full quarter of losses from Bharti’s newly acquired cellular companies in Africa. If these were excluded, SingTel said its net profit would have dipped by only 3 per cent in the second quarter.
SingTel CEO Chua Sock Koong previously said Bharti would need around six months to restructure its operations and profitability should begin to improve by April next year.
SATS – BT
SATS in talks to buy JAL Int’l unit
SHARES in SATS, formerly Singapore Airport Terminal Services, closed six cents higher yesterday at $2.85 after the ground handler confirmed reports that it is in talks to acquire the inflight meal unit of Japan Airlines International Co Ltd (JALI).
Newswire reports said that JALI was finalising the sale of the unit, TFK Corporation, to SATS. TFK is Japan’s top provider of inflight meals, serving over 30 domestic and foreign airlines.
In response, SATS said in a statement to the Singapore Exchange: ‘SATS, through one of its subsidiaries, is currently in advanced discussions with Enterprise Turnaround Initiative Corporation/JALI in connection with the acquisition of JALI’s stake in TFK.’
‘However, no definitive agreement has yet been reached and the transaction may require regulatory, legal and other relevant approvals and conditions,’ SATS added.
The potential acquisition is viewed as a move which will enable SATS to enter the Japanese market.
SATS said that it would make an announcement should its subsidiary enter into any definitive agreement.
Citing Japanese media, a Dow Jones report said that the negotiations were in the final stages and that the selling price could top 10 billion yen (S$157 million).
The report said that the search for a buyer commenced back in July, with those in the running including Deutsche Lufthansa aviation group and restaurant operator Royal Holdings Co.
Since then, the shortlisted candidates have been reduced to SATS and TFK’s founding family, though ‘JAL and the Enterprise Turnaround Initiative Corp of Japan had given priority rights to negotiate to SATS as of Wednesday’, Dow Jones said.
Aside from its airport services, SATS also has a food business which comprises airline catering, food distribution and logistics, industrial catering as well as chilled and frozen food manufacturing.
M1 – BT
Telco sues over ‘M1ssing M1llions’
M1 says ex-employee embezzled $2m and splurged on Porsches, Rolexes, Audemars Piguets and $200,000 live stingray
First there was the Lamborghini man, now there’s the Porsche man – as yet another tale of suspected embezzlement and lavish spending comes to light.
BT has learnt that Singapore telco, M1, is suing a former employee for having allegedly made off with some $2 million of its money – money which Matthew Yeo Kay Keng, 35, is said to have spent on two Porsches and an array of luxury watches, including three Rolexes and four Audemars Piguets, and a $200,000 live stingray.
According to court documents inspected by BT yesterday, M1 claims its former account manager sold 3,414 handsets to resellers, when he was employed between January 2008 and November this year, and pocketed the cash – $2.09 million of it.
M1 dismissed Mr Yeo on Nov 15 and filed a writ of summons against him the next day. The telco is suing Mr Yeo for breach of his employment agreement, breach of duty of fidelity, fraudulent misrepresentation and unjust enrichment. And it is asking the court to award it damages – which may or may not include restitution from Mr Yeo – as well as interests and costs.
M1 also obtained a court injunction against Mr Yeo on Nov 18, which prohibits him from removing any of his assets from Singapore, disposing of any of them or doing anything that might diminish their value – up to the value of $2.09 million, excluding interest accrued.
Mr Yeo – who has seven days to respond to the writ of summons – has not yet filed his defence. He was in police custody after being dismissed by M1, but BT was unable to confirm if he remains so.
The alleged crime was discovered earlier this month, when M1 conducted a review of its employees’ sales performance, according to the affidavit prepared by the telco’s chief financial officer, Lee Kok Chew. Mr Yeo had been employed as a sales executive from December 1997 to October 2006, before leaving and rejoining as an account manager in the corporate sales department in January 2008.
According to Mr Lee’s affidavit, Mr Yeo – whose duties were to meet with corporate clients and earn commission from the sales made – was found to have an unsatisfactory sales record, in that his subscription sales were low. M1 then conducted a check on a number of Mr Yeo’s clients and found that the number of handsets reportedly sold by Mr Yeo were far greater than the actual number of subscriptions keyed into M1’s system.
It then discovered that Mr Yeo had generated stock order forms for non-existent orders supposedly placed by his customers. The handsets were then allegedly sold by him to resellers for cash, which he pocketed.
Mr Lee, in his affidavit, said the company then conducted an interview with Mr Yeo on Nov 15 – during which Mr Yeo is said to have admitted to wrongfully and dishonestly taking the handsets for his own benefit. Mr Yeo then reportedly told the company that he received about $2 million from the sale of such handsets, of which he spent $230,000 on a Porsche in August this year, which he traded in for a $430,000 Porsche in October.
Mr Yeo is also said to have told M1 that he also spent the money on a Patek Philippe watch worth $50,000, three Rolex watches worth $8,000 each, and four Audemars Piguet watches worth between $15,000 and $30,000 each. He also allegedly claimed that he had only $500 in his UOB account, and that he was willing to sell his car, watches and fish – an Arowana worth $160,000 and a stingray worth $200,000 – to make up for what he had done.
Mr Lee’s affidavit said M1 subsequently found discrepancies in Mr Yeo’s statements. It found that he has several other bank accounts – with Maybank and Standard Chartered – as well as shares in a securities account with the Singapore Exchange.
The telco also found that Mr Yeo had been transferring money offshore – a total of $47,300 to a Yang Chi Kit in Hong Kong, a discovery which likely prompted M1 to obtain an injunction against the former account manager.
The injunction prohibits Mr Yeo from dealing in or disposing of his assets worldwide. The assets include his Porsche and his collection of high-end watches – which, in addition to those mentioned before, also include one Hublot, one Panerai, several IWCs, and one Porsche design watch – which are collectively estimated to be worth $621,000, and other brands of watches estimated to be worth $300,000. Other assets include his Floravale condominium, the cash in his various bank accounts, his shares, and his fish.
Mr Yeo is, however, allowed to spend $1,000 a week on his ordinary living expenses and a ‘reasonable sum’ on legal advice and representation. The injunction states that the unencumbered value of the assets that remain here must be at least $2.09 million.
News of this suit comes just days after it was revealed that Koh Seah Wee, a former senior executive of the Singapore Land Authority – who conspired to steal some $12 million from the statutory board – is suspected to also have stolen from another place of work, the Intellectual Property of Singapore, and to have spent part of that money on a $1.6 million Lamborghini.