InvestIdeas

Not vested. From Phillips:-

Sing Holdings – Results (Alfred Low)
Recommendation: Hold (Maintain)
Previous close: S$0.335
Fair value: S$0.34

• Property sales. We met the management of Sing Holdings for an update on the company. It mentioned that
it achieved sales of 92%, or 47 out of 51 units, for BelleRive (at Keng Chin Road) at an average selling price
of S$1,382 per square foot (psf). Most of the buyers are residents in the surrounding areas. This project will
be completed in 4Q09. The revenue will be recognized in FY2009F and FY2010F. For this project, the
selling price came in within our expectations of S$1,380 psf.

• Maintain HOLD recommendation, fair value raised from S$0.30 to S$0.34. Due to higher expected
selling prices and lower construction costs of the Laurels, the RNAV of Sing Holdings increases from S$0.42
to S$0.48. Applying a discount of 30% to the RNAV, we derive the fair value of S$0.34 for the stock.

The share price of Sing Holdings has more than trebled from its low of S$0.10 in April 2009. We feel that there is limited upside to the stock price. Therefore, we maintain our hold recommendation on the stock.

as at FY09
num of sh = 400,994,652
NAV = $0.3489

devlpt ppty = 449.006m
cash = 21.126m
equity = 146.465m
debt = 363.21m => d/e = 2.48

own 70% of The Laurels
as at 14mar10, sold 133 of 179 units released (total 229units)
estimated rev if asp is 2900psf = 735m
Hill Court Enbloc sold for $361million on Mar 2007
70% net profit abt 261m or $0.65 cash per sh
need to minus a bit more off for A&P, interests etc etc

play with the excel file to get ur own estimated rev from the laurels

updates from AGM 2010

belleRive (70% stake)
92% sold (47/51 units)
total sales thus far = 91.9m
(so i will assume IF 100% sold, rev =~ 100m)
bgt at S$45.5m or S$682 ppr psf
asp abt $1300-1400psf
Lian Beng contract = $36m
52% profits to be recog this FY10
--> net profit = 100m - 45.5m - 36m = 18.5m
--> 52% of their 70% stake = 6.734m
prob need to minus off a bit for other costs
[note: compare with FY09 np = 7.2m]

the laurels (70% stake)
76% sold (174/229 units)
total sales thus far = 509.9m
(so i will assume IF 100% sold, rev =~ 670m)
bgt at S$361m
CEO says b/even px abt $1446psf
existing sold betw $2500-3000psf
new ones to be sold betw $2700-3300psf
Lian Beng contract = 95m
profits will be progressively recog over nxt 34mths til TOP 2013

other qn asked and answered

Q) will we need to pay more if constructions costs soar?
A) no. we signed a fixed lump sum contract with lian beng. they'll bear the construction costs increases if any.

Q) any plans to divest BizTech Centre
A) no. good rentals.

Q) why do the rights issue at $0.10 in Mar2009?
A) a pre-emptive move to raise cash to capture any oppty tat may arise
but not successful in land tenders in FY09.
try again in FY10.

Q) r there a formal dividend policy?
A) no.

Q) can we shdrs expect more div if coy does well or net profit goes up?
A) yes. we will take care of shdrs.
they pointed tat when they divested their shanghai ocean twrs in 2006, they paid more than 10cents div

Q) but isnt that due to section 44 tax?
A) yes but still it is due more to the divestment.
[note: need to chk how much div was declared when they divest eastgate in 2007]

other comments:
the controlling Lee family seems decent enough.
CEO said of cos he cant pay out everything as they need the cash to replenish landbanks but he re-assured that shdrs will be looked after.

lastdone = $0.38

2Q10 result

http://info.sgx.com/webcoranncatth.nsf/ ... penelement


This project consists of 229 units with a total saleable area of approximately 253,000 square feet. As at the date of this announcement, approximately 84% of the units have been sold. Total sales proceeds amounting to about S$574.4 million will be recorded progressively based on construction progress. Another development project, “BelleRive” at Keng Chin Road is about 94% sold as at the date of this
announcement. Proceeds from these sales of about S$94.9 million are recorded progressively based on construction progress.


The Group reported a profit attributable to shareholders of S$0.4 million for 1H2010. Whilst only 3% of the gross profit of The Laurels was recognised in 1H2010 based on construction progress, sales and marketing expenses incurred and showflat costs attributable to the sold units amounting to S$6.0 million were fully expensed in 1H2010.

(Ps: Should start to see a jump in earning from the 3rd quarter forward with no sales and marketing expenses to pull down the figures)

hi behappyalways
happy to see u here

too bad we cannot access afralug
there were quite a lot of nice exchanges & sharings in the sing hldgs thread there

anyway hope u like it here and looking fwd to ur postings

take care

Hi ichew,

just to share with you some good news. When I last access URA's website on Sunday, it showed only 1 unit sold in July 2010 at price of $3300++psf(yes price keep inching up) and a total of 185 units if I am not wrong. Today announcement said that they have sold 84% of the units meaning 191/192 units out of 229 units and that they must have sold another 6-7 units in the past 2 weeks and I bet at a good price.


They also sold another unit of Bellerive I guessed. My guess is that they maybe conservative in future outlook so they are not aggressive in bidding hence they have sold some of their office units which is to my surprise

Update: Sing Holding July10
Cumulative Units Sold to-date: 189
Median Price ($psf) in the Month: S$3,116
Units sold in May: 5

Cumulative Units Launched but Unsold: 40

Vested.

Update: Sing Holding August 10
Cumulative Units Sold to-date: 193
Median Price ($psf) in the Month: S$3151
Units sold in August: 4

Cumulative Units Launched but Unsold: 36

Vested.

Thanks for the infor ^^

Heavily vested .....lol

Sing Holding has finally replenished its land bank via en-bloc purchase of properties at 3 Robin Drive “Robin
Court” and 1 Robin Drive, Singapore (the “Property”). The total purchase price for the
Property is S$77.33 million, which works out to approximately S$1,363 per square foot per
plot ratio.

Total size of the land acquired after considered the plot ratio of 1.4x is 56,726 psf. The expected breakeven price
is $1,900 psf ~ 2,000 psf based on my calculation of construction cost of $450 psf. It's nearer MRT is steven
MRT station which will be completed in 2016. Will it be another "The Laurels"?

See the following link for more detailed.

http://info.sgx.com/webcoranncatth.nsf/ ... penelement
http://www.propertyguru.com.sg/project/robin-court-2350
vested.