Stock Target Price - Updated Target Price for Keppel Corp following 2Q 2010 results

Updated Target Price for Keppel Corp following 2Q 2010 results:

DBS	BUY	S$11.05	23/07/10
DMG	BUY	S$10.22	23/07/10

 
Latest updates at Stock Target Price.

Financial News - Q2 2010 Quarterly Earnings Report for Keppel Corp

Second quarter 2010 results for Keppel Corporation:

• Financial Statements

Key Points

• Net profit improved 11% to S$669 million compared to 1H 2009’s S$603 million.
• Earnings per share of 41.9 cents, up 11% from 1H 2009’s 37.8 cents.
• Annualised ROE remained above 20%.
• Economic Value Added before exceptional items increased from S$452 million to S$493 million. 
• Cash outflow of S$859 million.
• Net gearing of 0.01x.
• Interim dividend increased 7% to 16.0 cents per share.  

Author's Note
Book closure date for the interim dividend of 16.0 cents is on 6 Aug 2010, and will be paid on 27 Aug 2010.

Interim dividend for the last financial year was 15.0 cents per share.

Financial News - Q2 2010 Quarterly Earnings Report for Keppel Land

Second quarter 2010 results for Keppel Land:

• Financial Statements
• Presentation Slides

Key Points

• In the first half, Keppel Land's net profit rose 41.6 per cent to S$134.7 million.
• Profits from fund management saw a 78 per cent increase to $15.7 million as a result of higher acquisition and management fees earned by K-REIT Asia Management and Alpha Investment Partners.

Stock Target Price - Updated Target Price for Keppel Land following 2Q 2010 results

Updated Target Price for Keppel Land following 2Q 2010 results:

DBS	BUY	S$4.53	21/07/10
CIMB	OUTPERFORM	S$4.94	21/07/10
KIM ENG	BUY	S$4.85	21/07/10
AmFraser	HOLD	S$3.88	21/07/10

Latest updates at Stock Target Price.

Financial News - 19 JUL 2010: K-REIT - ACQUISITION OF THE OFFICE TOWER AT 77 KING STREET, SYDNEY, AUSTRALIA

ACQUISITION OF THE OFFICE TOWER AT 77 KING STREET, SYDNEY, AUSTRALIA. See:

• Announcement

Key Points

• the Reit has entered into a contract with Kingvest Pty Limited for the acquisition of a 100% interest in Lots 1, 3, 4 and 5, 77 King Street, Sydney, Australia.
• 77 King Street is a prime commercial building located in the heart of Sydney’s Central Business District (“CBD”), in close proximity to major CityRail Stations – Wynyard, Martin Place and Town Hall Stations. It has a net lettable area of 170,662 sq ft across 18 levels of Grade A office space and five levels of quality retail space.
• The purchase consideration of the Property is A$120.0 million or approximately S$145.0 million.
• An independent property valuer commissioned by K-REIT Australia to value the Property has valued it at A$120.0 million in the valuation report dated 16 July 2010.
• The FY 2009 pro forma net profit attributable to the Acquisition is approximately A$3.1 million (approximately S$3.7 million ).
• Pro Forma Net Asset Value (“NAV”) will remain the same at S$1.47 before and after the acquisition.
• Pro Forma Distribution per Unit will increase from 5.28 to 5.63 cents after the acquisition based on K-REIT Asia’s DPU for FY 2009, and as if K-REIT Asia had completed the Acquisition on 1 January 2009.
• The Acquisition will be funded by a combination of debt and equity with the proceeds from the rights issue completed by K-REIT Asia in November 2009. 
• K-REIT Asia’s aggregate leverage is expected to increase from 15.2% to 20.4% after the completion of the Acquisition.

Author's Note
Once acquired, this will be the second property of K-Reit in Australia. The last acquisition was a commercial property in Brisbane, Australia.

Financial News - Q2 2010 Quarterly Earnings Report for K-Reit

Second quarter 2010 results for K-Reit:

• Press Release
• Financial Statements
• Presentation Slides

Key Points

• The DPU for the quarter (2Q 2010) was 1.64 cents. 
• Total DPU for 1H 2010 was 2.97 cents.
• Distributable income rose by 20.0% year‐on‐year to $39.8 million due mainly to higher net property income (“NPI”) and lower interest expense.
• NPI increased 39.5% year‐on‐year to $32.3 million due mainly to contribution from the 50% interest in 275 George Street and the additional 29% interest in Prudential Tower. 
• Distribution Per Unit (“DPU”) for January to June 2010 amounted to 2.97 cents.
• 97.9% portfolio committed occupancy as at 30 June 2010 was higher than Singapore Core CBD occupancy of 93.3%.
• Aggregate leverage level as at 30 June 2010 post debt repayment of $230 million was 15.2%.
• The  Transfer  Books  and  Register  of  Unitholders will be closed at 5.00 pm on 28 July 2010 for the purpose of determining unitholders’ entitlements to distribution. 
• The distribution that will be paid on 26 Aug 2010.

Author's Note
The semi-annual DPU of 2.97 cents, which includes the DPU of 1.33 cents for Q1 2010 and 1.64 cents for Q2 2010, will be paid on 26 Aug 2010.

Stock Target Price - Updated Target Price for Keppel Land

Updated Target Price for Keppel Land:

KIM ENG BUY S$4.71
OCBC BUY S$4.50

Latest updates at Stock Target Price.

Financial News - Date of Result Release for Q2 2010 for K-Reit, Kepland, Keppel Corp

Updated date of Result Release for Q2 2010:
K-Reit   Jul 19
Kepland Jul 20
Keppel Corp Jul 22

Latest Update at Results Release.

Stock Target Price - Updated Target Price for Keppel Corp by DMG

Updated Target Price for Keppel Corp by DMG:

DMG BUY S$9.90


Latest updates at Stock Target Price.