|
UOB KAYHIAN |
UOB KAYHIAN |
|
Singapore Post (SPOST SP) 9MFY25: Soft Results As Rising Costs Hurt Margins, Upcoming EGM In Mar 25
SPOST posted higher 9MFY25 revenue (+17.2% yoy) and operating profit (+22.3% yoy) but still fell short of our expectations. This was due to a soft 3QFY25 which saw higher revenue but weaker-than-expected operating profit, dragged by higher operating costs and a weak macroeconomic environment. We expect the sale of Famous Holdings to take place in the near to medium term, followed by the sale of SingPost Centre. Maintain BUY with the same target price of S$0.72, implying a 1.0x FY26F P/B.
|
HRnetGroup Limited Collecting income, no growth yet
▪ Results were below our expectations. FY24 revenue and adjusted PATMI were 95%/85% of our FY24e forecast. Adding back the S$3.1mn delay in progressive wage credit scheme (PWCS) payment, the results will be 91%. Dividends were maintained at 4 cents in FY24, with a payout ratio of 85%.
|
|
PHILLIP SECURITIES |
UOB KAYHIAN |
|
Hyphens Pharma International Ltd Investing for future growth
▪ FY24 earnings were below expectations. Revenue and PATMI were 102%/94% of our FY24e forecast. 2H24 PATMI declined 4% YoY to S$4.8mn due to weaker margins in proprietary brands, a decline in Vietnam sales and higher losses from DocMed.
|
Telecommunications – Malaysia 2024: Earnings Within Expectations; Higher-than-expected Dividends
2024 earnings rose 9% yoy on Axiata’s better-than-expected earnings. In addition, TIME continued to deliver a high single-digit earnings growth and special dividend. Amid balance sheet optimisation and robust cash flow, TIME, TM and Maxis declared higher dividends in 2024. Key events in 1H25 include the rollout of the 5G network by U Mobile and resolution of DNB’s shareholding. Maintain MARKET WEIGHT. Our top picks are Axiata, CelcomDigi and TIME.
|
| MAYBANK KIM ENG | MAYBANK KIM ENG |
|
Singapore Post Ltd (SPOST SP) Special dividends likely in May
Maintain BUY with an unchanged TP of SGD0.77 With Wee Hur’s (E3B SP, SGD0.43, not rated) acquirer obtaining approval from the Australian Commonwealth Treasury to buy its Australia student accommodation business, we believe approval for SingPost’s sale of its Australian assets should be imminent as they both applied around the same time. The EGM is slated for 13 Mar and we expect the sale to be concluded by end-March 2025. SingPost’s sale of Famous Holdings should also be sealed within 2 months and special dividends can be expected to be declared along with its full-year results in May. We expect the dividends to be significant at around SGD0.12-0.15 per share.
|
RHB Bank (RHBBANK MK) RHB’s PROGRESS27
Our FY27E ROE target lags management’s RHB’s 3-year PROGRESS27 strategy targets a ROE of ≥12% by 2027 (FY24: 9.8%). Our FY27E ROE estimate of 10.2% lags with more conservative assumptions across most financial parameters. We have also assumed a flat 43sen DPS FY25-27E (i.e. a declining payout ratio from 60.1% in FY24 to 44.5% in FY27E) and this could surprise positively if it maintains a 60% payout ratio. Despite our conservative assumptions vs management, we keep our unchanged TP of MYR7.70 (CY25E PBV target of 1.0x - 10% ROE; COE 9.9%, g: 4%) and BUY call. Yield is attractive at 6.3%.
|
