Singapore Stock Market News

Perennial Real Estate Holdings - Moving along

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Publish date: Fri, 08 May 2015, 10:50 PM
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PREH's 3QFY15 results were underpinned by rental and fee income in Singapore and China. 9M15 net profit made up 67% of our FY15 forecast. Going forward, we expect a steadily rising recurrent income base with the purchase of AXA Tower and completion of Capitol Piazza in Spore. This will be further supplemented when the Dongzhan Mall in Chengdu is completed in 2Q16. Development kickers from strata sales of the Chengdu East HSR project and strata space sales in Spore should provide some upside surprise to our existing numbers. We adjust our FY15-17 EPS forecasts but maintain our Add call and RNAV-based target price of S$1.39.
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