SingTel

Are you loosing sleep with your SingTel invested share price keep heading lower?
The whole telco industry sector has been overly punished with the incoming of the 4th operator that may begin its operation on Dec 2018.

I think market has overly reacted and the price has been driven into oversold territories.

I think wise income investor may view this as a golden opportunity to slowly accumulate.

Plus point:

I think SingTel has a stronger balance sheet, stronger free cash flow and it pays out a fraction of its earnings as dividends to shareholders.

If the price on a good investment goes lower, I think it is presenting a good value .

Current price trading at $3.12 , Yield at 5.6% base on annual dividend of 17.5 cents. 

It is looking rather attractive..

Not a call to buy or sell.

Please do your own due diligence.

23rd May 2018
SingTel - Chart wise, it is rather weak and may likely continue to trend lower.
The current price of $3.34 is staying below its 20,50,100 & 200 days moving average. This is rather bearish.

Short term wise, I think it may likely move down to retest the recent low of 3.30.


Breaking down of 3.30 with high volume that would be super bearish and may likely see it slide further down towards 3.19 with extension to 3.08.

Not a call to buy or sell.

Please do your own due diligence.



18 May 2018 - long time didn't see company buying back share ! Looks positive!

Today saw the company bought back 294000+ share between $3.42 to $3.43.

http://infopub.sgx.com/Apps?A=COW_CorpAnnouncement_Content&B=AnnouncementToday&F=H1UR0B3BPABL4KB0&H=b2e5d5b80b08f4cc5d2922ce03a9263e1a932c75229c687d33fd403eb23c2132


Singtel posts record full-year earnings on NetLink Trust divestment and strong core business 

Financial year ended 31 March 2018




 Record net profit of S$5.45 billion, including divestment gains from NetLink Trust  Operating revenue up 5% to S$17.53 billion

 Strong core and digital businesses drive growth




 Free cash flow up 18% to S$3.61 billion on strong operating cash flow

 Q4 revenue stable and net profit down 19% on weaker associates’ earnings

 Proposed final dividend per share of 10.7 cents; total dividend per share of 17.5 cents

DIVIDENDS

The Board is recommending a final ordinary dividend per share of 10.7 cents, bringing the total ordinary dividend per share for the year to 17.5 cents, representing a payout of approximately S$2.86 billion.

Barring unforeseen circumstances, the Group expects to maintain its ordinary dividends of 17.5 cents per share for the next two financial years and thereafter, will revert to the payout of between 60% and 75% of underlying net profit.

“These results reflect the strong execution of our digital transformation strategy in both our core and new digital businesses. Optus gained market share in Australia underscoring its network and content strategy while our ICT and digital businesses now account for 24% of revenue, with digital marketing arm Amobee achieving growth and positive EBITDA for the year,” said Ms Chua Sock Koong, Singtel Group CEO. “We remain focused on what is important to both our consumer and enterprise customers – premium mobile networks, secure high-speed connectivity, innovative products and services, and excellent customer service. Besides strengthening our competitiveness, this allows us to deliver even greater value to customers.”




 Across the region, all of the Group’s regional associates continued to drive growth in data. However, Airtel’s results were impacted by intense competition with very aggressive pricing led by a new player and further aggravated by mandated cuts in mobile termination rates in India. This is despite recording its highest quarterly net customer adds and strong data usage growth in India, and continued positive growth momentum in Africa. Last month, Airtel announced the merger of Indus Towers and Bharti Infratel to create the largest tower company in the world outside of China, subject to regulatory and shareholder approvals. Telkomsel’s earnings were impacted by the decline in legacy services and heightened price competition particularly during the SIM card registration implementation. Profit contributions from AIS grew on revenue improvement and cost management. Globe also delivered strong earnings growth due to robust data revenue growth and cost control.

Competition remains intense in India but the right regulatory policies and sector consolidation should lead to a more stable market structure in the mid term. In Indonesia, Telkomsel Singapore Telecommunications Limited 2 of 8 Company registration number: 199201624D continues to expand its network to create significant capacity and grow its digital business.

 To forge new areas of growth, we are accelerating collaborations with our regional associates to build an ecosystem of digital services by leveraging the Group’s strengths and customer base across 21 countries.” Recently announced initiatives include a cross-border payments service to connect the Group’s telco wallets in Asia, and strategic partnerships in the areas of e-payments, e-sports and sports content. The Group’s cash position remains strong.

Free cash flow for the full year rose 18% to S$3.61 billion, and for the quarter grew 5% to S$800 million.




GROUP CONSUMER

 In Australia, Optus gained market share as it successfully differentiated itself through its network and content strategy. For the full year, it added a total of 384,000 new mobile customers and 225,000 new NBN broadband customers.

Revenue grew 3% in the quarter as higher equipment sales and strong customer growth offset lower NBN migration revenues due to NBN’s temporary suspension order while EBITDA declined 5%. Excluding NBN migration revenues, revenue would have grown 6% and EBITDA increased 3%. Mobile service revenue grew 1%, impacted by higher service credits. Postpaid ARPU was affected by an increased mix of SIM-only plans, higher device repayment credits and data price competition. Mass market fixed revenues excluding NBN migration revenues increased 6%.

In Singapore, for the quarter, consumer revenue was down 4% and EBITDA declined 14%. Mobile communications revenue was impacted by voice to data substitution, declines in roaming services and a higher mix of SIM-only plans.

The launch of premium handsets presented an opportunity to increase customer recontracting numbers, strengthen customer relationships and reduce churn. Around 18% of new and recontracting postpaid customers signed up for SIM-only plans during the quarter. Home revenues declined with the cessation of Premier League sublicensing and lower fixed voice usage but was partially mitigated by continued growth in broadband services.

Singtel relaunched its flagship store at Comcentre with state-of-the-art features and integration of online-offline channels to give customers greater ease of use.




In the content space, Group Consumer scored broadcasting rights for all the 2018 FIFA World Cup matches in Singapore and Australia. Optus also secured exclusive Premier League rights for three more seasons, solidifying its position as a leading multi-media entertainment company.

GROUP ENTERPRISE

 Group Enterprise revenue was stable for the quarter as growth in ICT revenues offset the continued erosion of the carriage business. ICT services was boosted by strong contributions from cyber security and cloud services.

Cyber security revenue rose 16% on the back of strong growth in managed security services and momentum in the Asia Pacific region.

In Australia, Optus Business maintained its revenue momentum at 5% growth this quarter, driven by sustained growth in mobile revenue and major ICT contract wins.

GROUP DIGITAL LIFE 

Group Digital Life continued to scale and make progress towards profitability. Revenue grew 54%1 for the quarter with EBITDA at breakeven, lifted by one-off content cost credit and government grants.




In my opinion, SingTel has again shown it ability to grow its business and total revenue for the Full Year rises 4.9% to 17,532m.

Underlying Net profit is down 7.8% ( excluding divestment gains) was 3,544m.

Underlying Net profit if included divestment gain of 1,908m , Up 42.2% to 5,451m.

What an outstanding result.

Not a call to buy or sell.

Please do your own due diligence.

Sembcorp Marine

Saudi Arabia proposes hiking oil output by 1 million barrels a day ahead of OPEC meeting.

Oil prices fell on Thursday as crude exporters in OPEC appeared to be nearing a deal to increase production.

Benchmark Brent crude fell $1.55, or 2.1 percent, to $73.19 a barrel by 9:23 a.m. ET (1323 GMT). U.S. light crude was down 79 cents, or 1.2 percent, at $64.92.(cnbc.com)

Today it has rejected the high of $2.02 and closed lower at $1.96, looks rather bearish!

Breaking down of recent low of 1.92 may smell further selling down pressure. It may likely go lower to revisit 1.88 then 1.80 with extension to 1.76 . 

Pls dyodd.

10 June 2018:
Sembcorp Marine posted 1Q 2018 gross profit of $43 million and operating profit of $20 million. Net profit for the quarter was $5.3 million, compared with $37 million in 1Q 2017 (restated for accounting changes on adoption of SFRS (I)).

 The decrease was mainly due to the one-off gain on disposal of Cosco Shipyard Co., Ltd recorded in 1Q 2017; lower contributions from Offshore Platforms; offset by higher profit recognition on rigs delivery in 1Q 2018 on adoption of SFRS(I) 15.

Excluding the effects on the adoption of SFRS(I) 15, net loss for 1Q 2018 would have been $33 million.

Looking through their 1Q2018 reuslt, Net profit is down 86% to $5.3m,.

NAV of $1.157.

EPS is down 86% to 0.25 cents versus 1.77 cents .

PE is rather high at current price of $2.08 that is a PE of 46x ( estimated full year PE of 4.5 cents).
The current price of $2.08 is running ahead of its financial fundamentals.

 Net debt remained stable, with net debt to equity at 1.14 times as at 31 March 2018 compared with 1.13 times as at end FY2017. Cash flow from operating activities (before working capital changes) was $67 million in 1Q 2018. Cash generated from operations was $31 million, mainly due to working capital for ongoing projects, offset by receipts from ongoing and completed projects Outlook Global exploration and production (E&P) spending trend continue to improve due to firmer oil prices in the first quarter of 2018.

However, recovery in rig orders is expected to take some time as most of the drilling segments remain oversupplied, with day rates and utilisation under pressure. The offshore production segment has improved with the FID of several projects.

We continue to respond to an encouraging pipeline of enquiries and tenders for innovative engineering solutions. Repairs and upgrades business is increasingly competitive, although demand for LNG carriers and cruise ships remains strong.

Regulations on ballast water treatment requirements coming into force in the foreseeable future will further underpin the potential of this segment. However, the offshore segment for upgrades and repairs remains weak.

  The overall industry outlook remains challenging. Despite improvement in E&P CAPEX spending outlook, it will take some time for this to translate into new orders. Margins remain compressed with intensifying competition. Based on existing orders, overall business volume and activity is expected to remain low, and the trend of negative operating profit may continue. We continue to actively manage our costs to align with business volume. We continue to prudently manage our cash flows through securing projects with milestone progress payments to minimise working capital requirements.

Sembcorp Marine will continue to actively pursue the conversion of enquiries into new orders, execute existing orders efficiently and position itself well for the industry recovery.

TA wise, looks rather bearish!

Breaking down of $2.06 may see it sliding further down towards testing $1.88 price level with extension to 1.76.

Not a call to buy or sell.

Please do your own due diligence.

 Sembcorp Marine Ltd, an investment holding company, provides offshore and marine engineering solutions worldwide. The company engages in the turnkey design, engineering, procurement, construction, and commissioning of offshore newbuilding and conversions, FSOs, FPSOs, FDPSOs, FPUs, MOPUs, gas terminals, FLNGs, FSRUs, jack-ups, semi-submersibles, drill ships, SSP solutions, TLPs, and SPARs. It also engages in the repair, refurbishment, retrofitting, life-extension, upgrading, and conversion of vessels, marine and offshore structures, LNG and LPG gas carriers, cruise ships, ferries, mega-yachts, floating production vessels, MODUs, tankers, containers, and cargo ships, as well as offers jumboization and dejumboization solutions. In addition, the company offers afloat and emergency repair, underwater cleaning and repair, main engine maintenance and repair, steel and pipe work, electrical and instrumentation repair, mechanical and motor rewind repair, tank cleaning, sludge and oily waste disposal, staging work, hydro jetting and hydro/vacuum blasting, riding crew and voyage repair, specialized workshop repair and reconditioning, vessel towage and port clearance arrangement, specialists service and navigation, automation, safety, and fire protection services. Further, it offers offshore platform solutions, such as integrated process; production, riser, and drilling; wellhead, power generation, manifold, and accommodation platforms; and wind-farm substations, as well as topside modules fabrication, installation, and integration. Additionally, it designs and builds sophisticated, specialized, gas value chain, ferry, RoPax, cruise, renewable energy and offshore support, naval support and security, and research and scientific survey vessels. The company was formerly known as Jurong Shipyard Ltd and changed its name to Sembcorp Marine Ltd in 2000. The company was founded in 1963 and is headquartered in Singapore. Sembcorp Marine Ltd. is a subsidiary of Sembcorp Industries Ltd.

Noble Group

After touching the low of 5 cents on 13th June 2018, it has since experiencing a nice rebound as being seen with a Beautiful run-away Gap up happening on 21 June & 22 June 2018.This is rather impressive!

This morning the price has hit the level of 10.7 cents + volume is quite high.

I think this Bullish momentum may drive the price higher. Short term wise, I think it may move up to revisit 15 cents.

 NAV of 60+ cents.

 P/B is 0.171.

Negative EPS.

 I think most probably for hit & run strategy. Not a call to buy or sell.

Please do your own due diligence.

Noble Group Limited, an investment holding company, provides supply chain management services. It offers logistics and transportation, price risk management and hedging, processing and blending, and structured and trade financing solutions. The company operates through Energy; and Metals, Minerals and Ores segments. The Energy segment trades in energy coal and provides supply chain and risk management services in bituminous and sub-bituminous energy coal, as well as in seaborne LNG. The Metals, Minerals and Ores segment trades in and provides supply chain management services in copper, zinc, lead, nickel, and other raw materials, as well as aluminum, alumina, and bauxite; trades in and provides risk management and logistics services for the steel complex in iron ore, metallurgical coal, metallurgical coke, and specialty ores and alloys; and offers ocean transport in the dry bulk segment, long term freight solutions, and freight market guidance. The company was founded in 1987 and is headquartered in London, the United Kingdom.

Hi-P

Chart wise, it is still looking rather bearish as the current price of $1.22 is still trading below its 20 days moving average. It will need to rise further to re-claim this 20 days moving average at about $1.31 so as to reverse this downtrend and move up the channel.

Breaking out of $1.31 with ease + good volume, that may propel to drive the price higher towards $1.40 level then $1.50 with extension to $1.57.

Today saw director bought back quite a huge share transaction /married deal of about 72+m share . This is rather positive. A boost of confidence.

quote : http://infopub.sgx.com/FileOpen/_MAS%20Form%201_Yao%20Hsiao%20Tung.ashx?App=Announcement&FileID=511404

NAV of 65.4 cents.
Rolling EPS of 15 cents.
PE of less than 10X
Dividend of about 10 cents.
Yield is 7% which is rather impressive.

Not a call to buy or sell.

Please do your own due diligence.

Latest 1Q result for your reference. Gross Profit increased 13% to reach 37.8m. 
Net Profit increase marginally of 1.3% to 12.1m after factoring the foreign exchange loss of 13m..

Hi-P International Limited operates as an integrated contract manufacturer serving the telecommunications, consumer electronics, computing and peripherals, lifestyle, and medical and industrial devices industries. The company operates through three segments: Precision Plastic Injection Molding; Mold Design and Fabrication; and Provision of Sub-Product Assembly and Full-Product Assembly Services. It manufactures and sells molds and special tools, related housing appliance plastic components and equipment, and water treatment equipment; plastic components and plastic product modules; mold base and components; electric components and electronic communication equipment; in-mold decoration lenses; precision stamped metal components and precision tools; and metal and non-metal stampings, as well as provides spray painting, engineering support, maintenance, and technology consultation services. In addition, the company engages in the manufacture, wholesale, import and export, and sale of electronic telecommunication devices, housing appliances, automated equipment, and related components. Further, it manufactures and sells trays, mobile phones, telecommunication products, digital cameras and related electronic products, and electric toothbrushes; assembles coffee machines and parts, as well as provides related maintenance and after-sales services; and offers investment and management consulting services. Additionally, the company engages in the assembly and provision of ancillary value-added services, primarily surface finishing services. It has operations primarily in the People's Republic of China, Singapore, Malaysia, Thailand, Europe, the United States, the rest of Americas, and internationally. The company was founded in 1980 and is headquartered in Singapore.

M1

The smallest local Telco among the three .

NAV of $0.464.
Dividend of 11.4 cents.
Yield of 7.2% at current price of $1.59 looks rather attractive.

PE of 12.5x looks rather oversold.

Today price seems to have broken down the support level at $1.60. Looks rather bearish!

Short term wise, I think likely to see further selling down pressure.
It may likely retest $1.50 then $1.40/1.39 level.

It would be interesting to look at this counter if it ever goes down to $1.40 level. A super undervalue play that offers a good dividend yield of 8.1% if dividend can continue to payout at 11.4 cents .

This might offer a good level of accumulation.

Notva call to buy or sell.

Please do your own due diligence.

M1 Limited, together with its subsidiaries, provides mobile and fixed communications services to consumers and corporate customers in Singapore. It offers various voice, data, and value-added postpaid and prepaid mobile services on 4.5G/long term evolution advanced and 3G/high speed packet access; and international direct dial services to mobile and fixed-line customers. The company also trades in wholesale voice minutes with other international and local service providers, as well as provides dark fiber services to carriers and data centers. In addition, it offers various fiber broadband service plans, including fixed voice and other value-added services for residential customers; and a suite of mobile and fixed services, including symmetrical connectivity solutions, managed services, cloud solutions, cybersecurity solutions, Internet of Things, and data center services for corporate customers. Further, the company is involved in the retail sale of telecommunication equipment and accessories; provision of customer and remittances services; licensing of intellectual property rights; and provision of mobile malware detection solutions. It serves approximately 2.03 million customers through 11 M1 shop outlets and distributors, as well as online. The company was formerly known as MobileOne Limited and changed its name to M1 Limited in 2010. M1 Limited was founded in 1994 and is headquartered in Singapore.

Sembcorp Marine

US crude tumbles 2.7%, settling at $65.06, as the market braces for rise in OPEC output 

OPEC, Russia and other allies look poised to increase output in their meeting in Vienna, Austria on June 22-23.

Russian Energy Minister Alexander Novak said his country and Saudi Arabia supported a gradual increase in production after restricting output for 18 months.

U.S. light crude ended Friday's session down $1.83, or 2.7 percent, to $65.06. Benchmark Brent crude oil was down $2.46, or 3.2 percent, at $73.48 a barrel by 2:28 p.m. ET, after falling 80 cents on Thursday.

Both contracts hit 3½-year highs in May, but have since drifted lower as U.S. crude production has risen and as the Organization of the Petroleum Exporting Countries (OPEC), Russia and other allies look poised to increase output in their meeting in the Austrian capital on June 22-23. (cnbc.com)

TA wise, it is on a downtrend mode chart patterns.

Current price of $2.03 is trading below its 20, 50, 100 & 200 days moving average.

Short term wise, I think it may likely slide down to revisit 1.87 . Breaking down of 1.87 with high volume that may likely see further selling down pressure to head lower towards 1.78 with extension to 1.60 price level.

Looking through their 1Q2018 reuslt, Net profit is down 86% to $5.3m,.

NAV of $1.157.

EPS is down 86% to 0.25 cents versus 1.77 cents .

PE is rather high at current price of $2.03 that is a PE of 45.1x ( estimated full year PE of 4.5 cents).

I think The current price of $2.03 is running ahead of its financial fundamentals.

Dividend of 2 cents per annum.

Yield is rather low at 0.98%.

Not a call to buy or sell.

Please do your own due diligence.

Sembcorp Marine Ltd, an investment holding company, provides offshore and marine engineering solutions worldwide. 

The company engages in the turnkey design, engineering, procurement, construction, and commissioning of offshore newbuilding and conversions, FSOs, FPSOs, FDPSOs, FPUs, MOPUs, gas terminals, FLNGs, FSRUs, jack-ups, semi-submersibles, drill ships, SSP solutions, TLPs, and SPARs. It also engages in the repair, refurbishment, retrofitting, life-extension, upgrading, and conversion of vessels, marine and offshore structures, LNG and LPG gas carriers, cruise ships, ferries, mega-yachts, floating production vessels, MODUs, tankers, containers, and cargo ships, as well as offers jumboization and dejumboization solutions. In addition, the company offers afloat and emergency repair, underwater cleaning and repair, main engine maintenance and repair, steel and pipe work, electrical and instrumentation repair, mechanical and motor rewind repair, tank cleaning, sludge and oily waste disposal, staging work, hydro jetting and hydro/vacuum blasting, riding crew and voyage repair, specialized workshop repair and reconditioning, vessel towage and port clearance arrangement, specialists service and navigation, automation, safety, and fire protection services. Further, it offers offshore platform solutions, such as integrated process; production, riser, and drilling; wellhead, power generation, manifold, and accommodation platforms; and wind-farm substations, as well as topside modules fabrication, installation, and integration. Additionally, it designs and builds sophisticated, specialized, gas value chain, ferry, RoPax, cruise, renewable energy and offshore support, naval support and security, and research and scientific survey vessels. The company was formerly known as Jurong Shipyard Ltd and changed its name to Sembcorp Marine Ltd in 2000. The company was founded in 1963 and is headquartered in Singapore. Sembcorp Marine Ltd. is a subsidiary of Sembcorp Industries Ltd.