STOCK IN FOCUS
MACQUARIE INTERNATIONAL INFRASTRUCTURE FUND LTD 
Results in line with our expectations: MIIF exhibited a strong showing in its H1FY2012 results, with net income up by S$15.2mil to reach S$19.6mil.

Major overreaction view played out well for us: In an earlier company update, we noted that a sharp decline in MIIF's share price from ex'div 57c to 50c on 5 June 2012 was a major overreaction to the estimated impact of the enforced reduction of toll rates from CNY0.75/km to CNY0.60/km on HNE. At that point, we highlighted that this would present an attractive entry point. MIIF is currently trading at 54.5c. Factoring in the impact of lowered tari's and the opening of Guanghe Expressway, we are    presently valuing HNE at S$128.3mn.

A  tantalizing 10% yield: MIIF has declared a 2.75c dividend in the half'year ending June 2012 and has guided for a 2.75c dividend in the second half. This translates into a very enticing yield of 10.2%. Our fair value now stands at S$0.654, which means that MIIF o'ers capital gains potential of 20%. This, coupled with a 10% yield, makes MIIF an  attractive play in the current market climate. BUY.

SUPER GROUP LTD 
Net pro't grew 47% yoy on expanded gross margins. 1H earnings of S$36.6mil already met 47% of our full year estimates, despite a seasonally slower 1H. The strong results underscores our con'dence in the earnings potential of Super, which is founded on sales growth with expanding margins from lower commodity prices. In 2Q 2012, gross margins expanded by 4.1 percentage points YoY to 35.6%, thanks to lower robusta co'ee bean and sugar prices.   2c interim dividend declared for 1H2012. Super Group declared 2c, or circa 30% of 1H earnings, as dividends. DPS is comparable to 1H 2011's. On last close, annualized dividend yield is  less than 1%. Maintain BUY with FV of S$2.70. Super's strong 1H results strongly suggests it is on track to meet or exceed our full year earnings estimates. We continue to value Super at 20x EPS of $0.135, deriving a fair value of S$2.70. Super is currently trading at only 16x forward PER, which is cheap given its brand value (top 3 in Asia by volume). BUY.

NEWS BUZZ
StarHub (S$3.74) 
Q2 pro't up 11% as operating revenue grows
StarHub's pro't for the 2Q ended June 30 rose 11% year on year to $87mil, thanks to revenue growth across its business divisions. The telco reported its net pro't in the 'scal 'rst half hit $175mil, up 19% and revenue rose 4.8% to $1.18bil. The company is recommending a Q2 interim dividend of 've cents per share.

Yangzijiang Shipbuilding (S$0.98) 
Q2 pro't falls 9%  
Yangzijiang Shipbuilding (Holdings) posted a 9% year'on'year fall in net pro't to RMB878.2mil (S$172mil) for the 2Q12. Turnover rose 13% from a year earlier to RMB3.94bil, buoyed by a steady performance at the group's core shipbuilding business where revenue rose 14% over the year to RMB3.6bil (including RMB123.2mil from the ship'demolishing business). Q2 EPS slipped to 22.92 RMB. The group has an outstanding order book of US$3.8bil, comprising 80 vessels as at June 30, 2012. In Q2, it ceased eight shipbuilding contracts because of customers' failure to meet subsequent 'nancial obligations. Three of the vessels have been sold and the group is looking for buyers to acquire the remaining vessels.

SembMarine (S$4.99) 
Bags US$4b drillship order from Sete Brasil
SembCorp Marine (SembMarine), through wholly owned Jurong O'shore Pte Ltd, has secured contracts worth US$4.03bil to design and build 've drillships for Sete Brasil and are scheduled for deliveries between the 2Q15 and 2Q19. Including the contract signed in February this year, the total count for SembMarine drillships signed with Sete Brasil is now six. SembMarine said it expects a positive contribution to its earnings from the contracts. However, they are not expected to have any material impact on the consolidated NTA per share for the year to Dec 31, 2012.

Venture Corp (S$7.77) 
Q2 pro't slips 19.9%
Venture Corp net pro't fell 16.8% to $69.12mil on a turnover of $1.19bil, which dropped 2.5% from last year for the 'rst half of the year. EPS stood at 25.2 cents. NAV per share fell to $6.435 from $6.806 at end'2011. As at June 30, cash and cash equivalent balances amounted to $398.47mil, after ividend payment of $150.9mil in May 2012. Excluding bank loans of $171.1mil, the group had net cash of $227.4mil.
Source: The Business Times

Source: AmFraser