Keppel Corp's 1Q13 results slightly below; O&M orderbook drawdown appears slower than expected probably due to timing of recognition of projects. However, O&M operating margins recover 0.6ppts q-o-q on productivity gains. Newbuild demand remains buoyant. O&M orderbook moved up to S$13.1bn (Mar 13), thanks to strong YTD order wins of S$2.2bn (S$600m secured in Apr 13), particularly jack ups. We have tweaked our FY13/14 core net profit by -0.7%/0.3% following adjustments to our orderbook recognition schedule. Maintain BUY; TP S$13.00.

Cambridge Industrial Trust 1Q13 results in line. Completed acquisitions and asset enhancement initiatives (AEIs) are expected to contribute positively; we see further development and enhancement opportunities to come. Potential conversion of rental reversions in 2013-2014 is likely to remain stable. Maintain BUY, TP S$0.93.

Ezion is expanding its presence in Gulf of Mexico with a 6^th Service rig contract worth US$148.6m over 7 years (5+2) through a 50/50 JV. This will raise FY13/14 net profit by 1.0%/2.4%. We expect further growth backed by recently strengthened balance sheet. Maintain BUY with a higher TP of S$2.47 (Prev S$ 2.42).

Yoma has signed a non-binding head of agreement (HOA, i.e. tentative partnership agreement) with The Hongkong and Shanghai Hotels for a proposed hotel development on the site of the Landmark Development. Under the HOA, both parties will jointly re-develop the former Burma Railway Company building into a Peninsula hotel. Although still preliminary, this agreement if materializes is positive to Yoma as it suggests the group has found a strong partner to shoulder the development and financing of a big part in the entire Landmark project, which we estimated would cost Yoma a total of US$300-400m for its 80% stake. HSH is listed on the Stock Exchange of Hong Kong. It is the holding company of a group which owns, develop and manage prestigious hotels, commercial and residential properties in Asia, the US and Europe. As of now, the acquisition of the Landmark project is still pending the government's official issuance of a new Master lease, which is expected before 20 June 2013.

SingTel's Optus has announced a five year, $60m contract with Suretek, for the delivery of fixed network and high-speed mobile services. Suretek is a specialist provider of security solutions including wireless alarm communications, remote video-monitoring and redundancy solutions.

TRIYARDS Holdingsis set to expand its global footprint with the purchase of a well-sited logistics & supply base within the shipbuilding and marine-related belt of Western Australia for A$6.75m. The waterfront site also allows TRIYARDS to grow its ship repair operations outside Vietnam. The deal is in line with the Group's plan to widen regional footprint and nurture new income streams.

KSH Holdings has been awarded a construction contract worth approximately RMB157m for the construction of Liang Jing Ming Ju Phase Four, a mixed property development project located in Beijing. This marks the first construction project that KSH is executing in the PRC.

UE E&C has been awarded the Design and Build Main Contract of approximately S$111.2m for the Executive Condominium development on the land parcel at Punggol Field Walk / Punggol East.

Falcon Energy has entered into a US$225.65m construction contract with Keppel FELS for the construction and sale of a mobile offshore self-elevating drilling unit.

A new high has been set for 99-year private housing land offered at a state tender. The $1,162.86 psf ppr top bid from Keppel Land for a plum site in Kim Tian Road was above expectations. It also surpassed the previous high of $1,107.80 psf ppr that Far East Organization paid last August for a small plot next to Lutheran Towers along Farrer Road. KepLand's bid was 7.2% more than the $513.3m or $1,084.78 psf ppr from a Far East group-Sekisui partnership. The third highest bid, from a City Developments-led consortium, was $1,016.67 psf ppr. There were 11 bids in all.

Earnings disappointment dragged US stocks lower for a second day with EBay, Morgan Stanley and UnitedHealth reporting weaker-than-expected results. Sentiment suffered a further dip after the Philadelphia Fed manufacturing index and leading indicators fell came in softer-than-expected. In after hours trade, the IBM shares fell after reporting disappointing earnings as hardware sales slowed.

Source: DBSV