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Re: Ajisen 538

PostPosted: Sat Apr 13, 2013 9:11 am
by winston
not vested

AJISEN (CHINA) (00538.HK) PRC SSS up 1.6% in 1Q

AJISEN (CHINA) (00538.HK) announced the operational statistics of the Group’s fast casual restaurant business for the three months ended 31 March 2013 is as follows:
Hong Kong same store sales growth rate (YoY % change) : -0.1%
PRC same store sales growth rate (YoY % change) : 1.6%
The Group’s FCR Business sales (YoY % change) : 1.3%

Source: AAStocks Financial News

Re: Ajisen 538

PostPosted: Mon Apr 15, 2013 8:11 pm
by winston
not vested

Maintain NEUTRAL

1Q13 China SSSG 1.6%: March mid-single digit, better than expected; raise FY13E SSSG by 1 pp

● Ajisen reported 1Q13 China SSSG at 1.6% and HK SSSG at -0.3%, with total sales up 1.3% YoY. Management’s updated Jan-Feb SSSG
is flat. March SSSG hit nearly mid-single digit, implying March sales per comp store at above 80% of pre-incident level. YTD, it has
opened 7 stores and closed 2 (plans to open 70 and close 10 in 2013).

● The Board also proposed to grant its Directors the power to issue additional shares up to 20% of the current outstanding and
repurchase up to 10%. The company has no immediate reissuance plan.

● Catalysts:
(1) Nation-wide online ad campaign launched on 46 portals in late March to help recovery and
(2) new small store format to shorten breakeven time.

(1) Worsened bird flu hurting dining traffic in major cities and
(2) share issuance.

● We stay NEUTRAL, but raise our TP to HK$6.43 from HK$6.16, as we raise our 2013E SSSG by 1 pp on better-than-expected March traffic ramp-up (14% WACC). Our TP implies 23.5x 12Mfwd P/E, 0.9 PEG on 2Y CAGR of 26%.

Our bull bear (75:25) weighted scenario analysis reveals a similar valuation of HK$6.3, using 1.0 PEG on 2013-15 CAGR 27% (bull), CAGR 16% (bear).

Source: CS

Re: Ajisen 538

PostPosted: Sun Apr 21, 2013 8:52 am
by winston

AJISEN (CHINA) (00538.HK) COO takes 3-mth leave

AJISEN (CHINA) (00538.HK) announced that Mr. Yin Yibing, the chief operating officer and an executive Director of the Company, will take a temporary leave of absence from his office for personal and health reasons, currently for three months commencing from 18 April.

During the Absence Period, Ms. Poon Wai, the chief executive officer and an executive Director of the Company, will assume Mr. Yin’s responsibilities.

Source: AAStocks Financial News

Re: Ajisen 538

PostPosted: Mon May 06, 2013 9:09 am
by winston
not vested

<Research Report>AJISEN (CHINA) (00538.HK) upgraded to Neutral, TP hiked to $5.3 by GS
May 02, 2013

Goldman Sachs upgrades AJISEN (CHINA) (00538.HK) from Sell to Neutral, as its stock price has fallen back to the broker's revised target price.

The slow first-quarter same store sales of AJISEN (CHINA) showed that a limited operational leverage would hardly offset the increase in wages and rents; operational margins will continue to be pressured.

AJISEN (CHINA)'s target price is raised from $5.1 to $5.3, hinting 5.4% upside potential. The broker hikes AJISEN (CHINA)'s earnings forecast for 2013-2015 by 5-10%.

Source: AAStocks Financial News

Re: Ajisen 538

PostPosted: Fri Jul 12, 2013 9:33 pm
by winston
AJISEN (CHINA) (00538.HK) SSS up 5.8%, 3.3% in CN, HK

AJISEN (CHINA) (00538.HK) announced that for the three months ended 30 June 2013, Hong Kong same store sales growth rate equaled 3.3% yearly; PRC same store sales growth rate equaled 5.8% year; Group’s fast casual restaurant business sales growth rate equaled 4.5% yearly.

Source: AAStocks Financial News

Re: Ajisen 538

PostPosted: Mon Jul 15, 2013 8:43 pm
by winston
AJISEN (CHINA) (00538.HK) upgraded to Buy, TP hiked to $8.9 - UBS

UBS Bank noted in a report that AJISEN (CHINA) (00538.HK)'s mainland same-store sales grew 5.8% in the second quarter as compared to the previous 1.6%; it expected the company's same-store sales to keep improving, and the growth for the whole year would reach 5% as compared to a 12.6% drop in the same period last year.

Meanwhile, the bank reduced the the company's earnings forecasts for 2013/14 by 5% and 3% respectively to reflect the reduction of branches during the period; but it estimated that the sales will return to normal in 2015.

Hence, the earnings forecast for 2015 was slighted adjusted upward by 1%. The bank upgraded the rating from Sell to Buy with target price raised from $3.45 to $8.9.

Source: AAStocks Financial News

Re: Ajisen 538

PostPosted: Thu Aug 22, 2013 8:15 pm
by winston
Efficient cost controls

Stripping out the tax reversal and government grants, 1H13 net profit of HK$100m beat our estimate by 6% due to strong cost controls.

We expect further recovery in 2H13, driven by higher ASPs, new business and further margin expansion. ... kMT1g1.pdf

Re: Ajisen 538

PostPosted: Tue Sep 24, 2013 3:52 pm
by winston
not vested

David Webb doubts credibility of AJISEN (CHINA) (00538.HK)'s new CEO

Independent stock commentator David Webb doubted the credibility of the resume of AJISEN (CHINA) (00538.HK)'s new CEO Lau Si Sing.

He pointed out in his article that Lau was released from jail only three days before his appointment.

Besides, Webb remained skeptical about Lau's principle and perception to serve the fast-food industry.

Source: AAStocks Financial News

Re: Ajisen 538

PostPosted: Thu Sep 26, 2013 7:45 pm
by winston
not vested

Ajisen (0538) has a new COO with a criminal record for corruption.

But on the plus side, he is a graduate of prestigous US university CalTech - or is he? That's not what the court was told. (24-Sep-2013)

Re: Ajisen 538

PostPosted: Mon Sep 30, 2013 6:09 am
by winston
Exec leaves Ajisen after expose

Ajisen China Holdings (0538) chief operating officer Joseph Lau Si-sing stepped down just two months into the job after errors in the announcement revealing his appointment were exposed.

Hong Kong's leading Japanese-style noodle chain said yesterday Lau had left the firm by mutual consent.

The news comes just five days after shareholder activist David Webb lashed the company's announcement of Lau's appointment.

On July 18, Ajisen announced that Lau, who it said had graduated from the prestigious California Institute of Technology, had become its new COO. The announcement did not mention that Lau was convicted of graft in 2009 and was subsequently imprisoned.

The next day, Ajisen issued another statement, saying the former managing director of McDonald's (Hong Kong) was convicted in April 2009 for taking advantages from a supplier whom he asked to lie to investigators. He served a jail term and was released in June 2011.

Last Tuesday, Webb wrote in his blog that Lau, 53, was unable to complete his university degree.

The prominent shareholder activist also wrote that Lau's sentence was actually four years and three months and should have expired on July 15, 2013, just three days before Ajisen's first announcement.

Lau was presumably released on probation after serving half his time, Webb wrote.

In addition to Lau's stepping down as COO, Ajisen yesterday said that he was not a university graduate.

"It was mainly caused by insufficient communication between Lau and the staff of our human resources department and translation error," it said.

It also said Lau was sentenced to four years five months in jail. Two months were cut on appeal and Lau was granted early release on June 1, 2011.

By then, Lau was ordered to repay his former employer HK$2.3 million he accepted from suppliers as bribes. ... 30930&fc=1