STOCK IN FOCUS


KEPPEL LAND LTD 
Keppel Land Ltd (Keppel Land) reported a 77% YoY jump in net pro't to S$237mil for 1HFY12. It was mainly attributable to lumpy recognition of a residential project under deferred payment scheme'Re'ections at Keppel Bay (Re'ections). Other projects such as Marina Bay Suites (MBS) in Singapore, The Springdale (Shanghai), The Botanica (Chengdu) and Central Park City (Wuxi) in China also added to the bottomline.   Results were above expectations meeting 63% of both our FY12F forecast (exclude corporate restructuring surplus) and consensus estimates. We underestimated the sales rate for MBS and have revised it upwards to 80% for FY12F.

Our RNAV estimate stand at S$3.80/share. Pricing it at parity, we obtain a fair value of S$3.80/share. Share price has moved up 49% YTD and we believe that all the positives have been priced in. We maintain our HOLD rating.

NEWS BUZZ
Ascendas Hospitality Trust  
IPO priced at 88cts
Ascendas Hospitality Trust (A'HTrust), which comprises Ascendas Hospitality Real Estate Investment Trust (A'HReit) and Ascendas Hospitality Business Trust (A' HBT), has launched its IPO for a listing on the SGX mainboard but only 82,182,000 stapled securities will be o'ered to the public in Singapore, of which 14mil have been reserved for subscription by the directors, management, business associates and employees of Ascendas Pte Ltd and its subsidiaries. The remaining 355,143,000 stapled securities will be set aside for placement to investors outside the US including institutional and other investors in Singapore. The hospitality trust will be listed with an initial por''olio of some 10 hotels valued at around $1.1 billion, compared to the previously planned 11 properties. Proceeds raised from the o'ering will be used for the acquisition of properties for the trust's por''olio as well as for working capital purposes. The public o'er opens at 8am today and closes at noon on July 24. Trading is expected to begin at 2pm on July 27.

CapitaMall Trust (S$1.965) 
Posts 0.8% increase in DPU for Q2
CapitaMall Trust (CMT) posted an improved distributable income and DPU for its 2Q, riding on the opening of JCube, and the higher rental rates achieved across its por''olio. Distributable income for the three months ended June was up 5.5% to $79.6mil. DPU for the quarter was 2.38 cents, 0.8% higher than a year ago. Unitholders can expect to receive distribution of 2.38 cents per unit on Aug 29.   Gross revenue for the quarter rose 3.7% to $165.5mil, while net property income increased 5.2% to $112mil.

Technics Oil & Gas (S$1.015) 
Posts 'at Q3 net pro't  
Technics Oil and Gas posted a net pro't of $7.53mil for the 3Q ended June 30, up from $7.47mil in the year'earlier period. EPS stood at of 3.63 cents. Operating revenue for the same period fell 14% year'on'year to $39.53mil on the back of revenue recognition of the group's ongoing projects for the 3Q ended June 30. Revenue for the period saw a 21% increase from $103.05mil to $124.65mil. It has declared an interim cash dividend of 5 cents per ordinary share and a special dividend of 3 cents per share. As of July 18, Technics has a total outstanding order book of about $85mil for progressive delivery through to 1H FY2013.
Source: The Business Times

Source: AmFraser