CWT Limited: Global Player Sets Its Sights Further
Labels:
CWT
Broker House: SIAS Research
Analyst: Koh Chin Lek
Price: $1.02
Target : $1.06
Recommendation: Hold
Upside: 3.92%
Summary:
Analyst: Koh Chin Lek
Price: $1.02
Target : $1.06
Recommendation: Hold
Upside: 3.92%
Summary:
Company updates/Events
Exceptional Quarterly Performance: CWT Limited, a leading logistics player,reported earnings growth of 173.0% to S$8.1m in 1Q07 from S$2.9m in 1Q06.The increase was on the back of a 40.3% surge in turnover from S$83.1m toS$116.7m. Net profit nearly tripled to S$7.5m from S$2.7m.
Logistics Business Boost Earnings: The profit surge was contributed largelyby its Logistics business where NVOCC (i.e. Non-vessel operating commoncarriers) services remain as the top contributor. Net profit to shareholdersfrom Logistics business grew by more than 3-fold to S$4.4m in 1Q07. The commodity logistics division recorded net earnings of S$2.87m. Profit from the Engineering Services increased by more than 30% as more jobs were closed forbilling in 1Q07.
Improved Margins: Gross margin gained 2.5%-points from 8.5% 1Q06 to11.0% in 1Q07, and EBITDA margin saw a similar increase of 1.6%-points to 8.3%.The margin was due to a strong revenue growth and a big jump in other operatingincome from S$0.1m to S$2.6m. With strong contributions from joint companies and associates, net margin was up from 3.4% to 6.9%, an increment of3.5%-points.
Strengthened Balance Sheet: Total assets increased by 22.9% to S$379.0mbetween 1Q-FY07 and 1Q-FY06, reflecting improvements in cash, and increase inproperty, plant and equipments’ value. Shareholders’ equity increased fromS$137.5m to S$146.0m, a rise of 6.2%.
Outlook
Optimistic outlook backed by government: In the 2006 SingaporeBudget, Prime Minister Lee announced that his Cabinet aimed to strengthenSingapore’s existing traditional sectors, with one of them, being logistics. Fourfinancing and tax incentive schemes were introduced to attract more internationalship-owning and ship-operating companies to set up operations inSingapore. Strategic location, efficient 24/7 operations, reliable physical and ITinfrastructure and excellent connectivity have made Singapore a compelling globallogistics hub. With total value added in the logisticssector standing at S$350m in 2006, up from S$285m in 2005, companies suchas CWT that are able to provide valueadded service would stand to gain fromthis backdrop.
Connecting to Ukraine and Russia: Ukraine currently enjoys most favourednationstatus with the European Union for export operations, and is not required tobind its own tariffs. This is an excellent attraction that could lead to theestablishment of more vertical Foreign Direct Investment in Ukraine. To relocateto developing countries such as Ukraine,logistics and supply activities are the topthree most important functions.
CWT has formed a 72-28 JV with Economic Development Group, areputable Ukrainian investment group, to develop logistics facilities and establish a comprehensive distribution network in major cities across Ukraine and Russia.The facilities will be strategically located in Kiev, the capital of Ukraine, andOdessa, the main seaport of Ukraine. Thus, the company is well-positioned toseize the growing demand for quality logistics facilities and services in Ukraine.
Additional warehouse space: CWT has existing warehouse space of more than4m sqft globally, and is expected to increase to more than 7m sqft by end2008. Currently, only two of their warehouses are under the sale and leaseback (S&L) arrangement with Cambridge Industrial Trust in July 2006. There are possibilitiesof more S&L arrangement which may further boost their earnings.
Risk
High dependence on NVOCC: NVOCC business segment softened in 1Q07consequent to festive seasons in China and generally keener competition forcertain trade lanes. Being the major contributor to revenue and earnings,should NVOCC not be able to fight off its competitors, the company’s top- andbottom-line would be adversely affected.
Severe economic downturn: An economic downturn would lead to declinein world trade and this in turn causes a decline in demand for warehouse space.The NVOCC business segment would be affected as well since it is a freightconsolidation operation. Margins may dip and growth would come to a standstill.
Valuation/Recommendation
Price performance: Since our last report in Feb 07, the price of CWT has increased about 47% from S$0.69 (adjusted for rights issues and shares placement) toS$1.02.
Revised forecast: We have upped our revenue forecast for FY07 by 8.4% fromS$415.8 to S$437.8m due to the higher turnover and earnings contribution shownin 1Q07, as well as the higher rental rate. We have also raised net profit forecast for FY07 from S$23.0m to S$25.2m, and FY08 earnings forecast to S$30.0m.However, we have lowered the EPS for FY07 from 6.6cts to 4.4cts and FY08 from7.8cts to 5.2cts due to the right issues and the placement of 55m new shares.
Recommendations: Based on the average historical PE of 28x, we valuedCWT using a 20% discount of 22x and the average EPS of FY07 and FY08, and arriveat a fair value of S$1.06. Our new target price represents a 3%upside from the current share price of S$1.03. We downgrade to a ‘HOLD’ recommendation.
Subscribe to:
Post Comments (Atom)
14 February 2010 at 03:12:00 GMT+8
Genial fill someone in on and this enter helped me alot in my college assignement. Thanks you on your information.
10 March 2010 at 16:39:00 GMT+8
I am able to make link exchange with HIGH pr pages on related keywords like [url=http://www.usainstantpayday.com]bad credit loans[/url] and other financial keywords.
My web page is www.usainstantpayday.com
If your page is important contact me.
please only good pages, wih PR>2 and related to financial keywords
Thanks
eagejebuiva
20 March 2010 at 21:17:00 GMT+8
megan foxx naked, [url=http://discuss.tigweb.org/thread/187756]megan fox makeup[/url] megan fox having fun
kardashian sexz tape kim ray j, [url=http://discuss.tigweb.org/thread/187768]kim kardashian tapes[/url] robb's celebrity kim kardashian
fifteen by taylor swift mp3, [url=http://discuss.tigweb.org/thread/187772]taylor swift and kanye vma[/url] taylor swift tickets wichita kansas
hannah montana g2, [url=http://discuss.tigweb.org/thread/187786]hannah montan games[/url] hannah montana merchandise
harry potter and the half blood prince premiere new york, [url=http://discuss.tigweb.org/thread/187792]harry potter wands[/url] harry potter and the sisters black
cruises to tianjin, seol, [url=http://discuss.tigweb.org/thread/187798]sydney to cape town cruises[/url] penelope cruz and tom cruise
justin bieber my world, [url=http://discuss.tigweb.org/thread/187812]justin bieber bulge[/url] download baby justin beiber
britney spears k fed, [url=http://discuss.tigweb.org/thread/187814]britney spears 3 lyrics[/url] britney spears cartoons
megan fox hacked pics, [url=http://discuss.tigweb.org/thread/175542]megan fox wonder woman[/url] daniel fox megan
2 April 2010 at 01:27:00 GMT+8
A New York escort girl is not just physically very much charming and sexy; she is also the proud owner of some of the finest qualities like hospitality, innocence and submissive.
Escort girls New York have surpassed all other escort girls out there with their A1 services.
To avail escort girls' services, you need not do anything now.
Doing on work and not enjoying pleasures like kisses, touches and romance can make a person psychologically disturbed.
You can use New York independent Escort service for enjoying some time in the company of Bijou in New York.New York is the capital of West Bangal. With these girls, you will not feel you are getting some kind of service, the experience will be so real that it will almost like a real date.
[url=http://bijouescorts.com]Queen Escort[/url] The growing popularity of a New York escort agency has been the outcome of a number of factors. First, a New York based escort agency believes in offering only the most exciting range of escort fun. Secondly, the rates that such an escort agency charges always comes under one's budget. Thirdly, instant access of girls in and around New York has been another major contributing factor in its success.
The services offered by the hottest and glamorous ladies of New York are often admired because of their truly sensual companionship. The services offered are of superior level and may vary with different providers. The booking process is very easy and user friendly with many viable payment options available.
http://bijouescorts.com These New York escorts are infact, a huge fascination for the men clientele. However, there are also an assortment of pleasant bisexuals who are compatible for women seeking physical comfort and satisfaction. The agencies providing escort ladies have girls in their gallery from all races of life. New York escorts have been recognized popularly for their astonishing ability to indulge intensely with their clients and take them to the realm of Pleasure.
2 April 2010 at 11:14:00 GMT+8
hello everybody
I just thought it would be good to introduce myself to everyone!
Can't wait to get to know you all better!
-Marshall
Thanks again!
23 April 2010 at 21:47:00 GMT+8
if you guys forceful to appropriate [url=http://www.generic4you.com]viagra[/url] online you can do it at www.generic4you.com, the most trusted viagra drugstore seeking generic drugs.
you can ascertain drugs like [url=http://www.generic4you.com/Sildenafil_Citrate_Viagra-p2.html]viagra[/url], [url=http://www.generic4you.com/Tadalafil-p1.html]cialis[/url], [url=http://www.generic4you.com/VardenafilLevitra-p3.html]levitra[/url] and more at www.rxpillsmd.net, the compelling [url=http://www.rxpillsmd.net]viagra[/url] in the first place on the web. well another great [url=http://www.i-buy-viagra.com]viagra[/url] pharmacy you can find at www.i-buy-viagra.com
4 May 2010 at 18:12:00 GMT+8
[url=http://bejepewa.t35.com/news_66.html]no deposit bingo casino online[/url] [url=http://bejepewa.t35.com/news_617.html]online gambling act[/url] [url=http://bejepewa.t35.com/news_356.html]online gambling license[/url] [url=http://bejepewa.t35.com/news_44.html]tales of a gambling grandma[/url] [url=http://bejepewa.t35.com/news_50.html]hard rock casino in florida[/url]
21 July 2010 at 16:14:00 GMT+8
Hello, Is there anybody here?.
I love www.blogger.com because I learned a lot here. Now it's time for me to pay back.
The reason I post this guide on this of www.blogger.com is to help visitors solve the same problem.
Please let me know if it is unacceptable here.
Here is the guide, hope it would help you.
SolveigMM Video Splitter Guide: How to split WMV file
How to split WMV file? free download and follow me step by step to split WMV file:
I. Introduction of SolveigMM WMV splitter:
A powerful video splitter and WMV spliter which can split video file and split WMV very easily. With this excellent video splitter - WMV splitter, you can split video file such as WMV file at your own will and the speed is very fast.
Based on SolveigMM AVI Trimmer Component, SolveigMM Video Splitter is very fast (much more than real-time playback) since it is free from encoding/decoding operations. Solveig Multimedia is proud to introduce a new feature that makes video editing more comfortable and easy. Now it is possible to define fragments in video file, turn them on or off and render final video in one pass to cut off any movie portions.
SolveigMM Video Splitter features:
WMV splitter, video splitter Split video file and split WMV Based on SolveigMM AVI Trimmer Component (COM object) Supports any AVI file format (DV type 1, 2, OpenDML) with any video (DivX, XviD, 3ivX, etc) and audio (MPEG L. 1,2,3, AC3, etc) content Supports WMV format Supports ASF file format with any video (WMV 1,2,3, MPEG-4 AVC, DivX, etc) and audio (MPEG L. 1,2,3, AC3, WMAudio V 2,7,8, etc) content -AVI to ASF re-multiplexing (without re-encoding) Supports large AVI files (more than 2GB) Allows trimming AVI files contained VBR audio without synchronization loss Advanced K frame navigation - K frame accuracy - WYSIWYG (What You See Is What You Get ) preview Cutting off several file portions of a movie at one time is allowed. You can get rid of all commercials in your movie in a couple of simple steps.
II. How to split WMV:
Step1: Load WMV file:
Step2 : Set begain time and end time:
Final Step: Splitting......
What an excellent video splitter and WMV splitter. If you are still confused by how to split video and split WMV, you should try this powerful video splitter and WMV splitter, and then you will find that to split video and split WMV is so easy.
Resource:
[url=http://www.iphone-video-converter.net]iphone video converter[/url]
[url=http://www.topvideoconverter.com/hd-video-converter/]HD Video Converter[/url]
[url=http://www.topvideoconverter.com/dvd-video-to-psp-suite/]dvd to psp converter[/url]
[url=http://www.topvideoconverter.com/mod-video-converter/]MOD Video Converter[/url]
[url=http://www.topvideoconverter.com/convert-x-to-dvd/]convert video to dvd[/url]
11 January 2011 at 17:39:00 GMT+8
INSERT
5 January 2013 at 13:21:00 GMT+8
[url=http://shensacens.overblog.com/][b]sac longchamp[/b][/url]
[url=http://shensacen.bravesites.com/][b]sac longchamp[/b][/url]
[url=http://shenenmaoyi.livejournal.com/][b]sac longchamp[/b][/url]
[url=http://shenenmaoyis.newsvine.com/_news/2012/12/27/16199723-designer-handbags-typiquement-utilise-par-les-femmes][b]sac longchamp[/b][/url]
[url=http://www.squidoo.com/shensacen][b]sac longchamp[/b][/url]
26 January 2013 at 10:10:00 GMT+8
viagra online without prescription buy viagra online tesco - is it legal to order viagra online in the u.s.
27 January 2013 at 23:21:00 GMT+8
viagra online without prescription how does viagra for women - does viagra work for women 2011
1 February 2013 at 15:28:00 GMT+8
buy tramadol online buy tramadol for dogs online - tramadol narcotic
2 February 2013 at 17:25:00 GMT+8
buy soma online buy somatropin usa - shokugeki no soma online
3 February 2013 at 15:33:00 GMT+8
buy soma soma 0 copay - soma 350 mg prescribed
4 February 2013 at 09:45:00 GMT+8
buy soma online many soma pills can take - aura soma buy online
4 February 2013 at 20:36:00 GMT+8
soma 350 mg some more drug_uses - soma by nature
7 February 2013 at 05:38:00 GMT+8
soma medication soma yelp - buy generic soma online no prescription
7 February 2013 at 18:29:00 GMT+8
soma cost what drug class is soma - buy soma cheap
8 February 2013 at 10:23:00 GMT+8
soma cheap soma medication description - soma muscle relaxer 2410
10 February 2013 at 18:09:00 GMT+8
generic soma soma san diego yelp - buy-soma
13 February 2013 at 07:51:00 GMT+8
buy tramadol online tramadol 50 mg tablets dosage - order tramadol no prescription overnight
14 February 2013 at 18:00:00 GMT+8
buy tramadol cheap high on tramadol 50 mg - best way buy tramadol online
23 February 2013 at 04:43:00 GMT+8
alprazolam get xanax online - 3mg xanax side effects
24 February 2013 at 01:44:00 GMT+8
uenvks low cost lipitor - buy atorvastatin http://www.lipitoronlinesale.com/#buy-atorvastatin , [url=http://www.lipitoronlinesale.com/#lipitor-20-mg ]lipitor 20 mg [/url]
27 February 2013 at 09:44:00 GMT+8
buy carisoprodol cheap order carisoprodol online no prescription - carisoprodol 700 mg
27 February 2013 at 20:01:00 GMT+8
buy tramadol buy tramadol 50mg - lowest dosage tramadol
28 February 2013 at 21:11:00 GMT+8
xanax online order xanax from uk - xanax xr buy online
2 March 2013 at 06:03:00 GMT+8
xanax online drug test for xanax how long - xanax dosage and frequency
2 March 2013 at 07:30:00 GMT+8
how to buy cialis online cheap cialis generic online - buy cialis no prescription australia
4 March 2013 at 07:58:00 GMT+8
buy cialis online cheap cialis generic usa - cialis 5 coupon
4 March 2013 at 12:54:00 GMT+8
buy cialis 10mg buy viagra cialis online - buy cialis online eu
6 March 2013 at 06:43:00 GMT+8
20000 :) Cheap Gabapentin - neurontin online http://www.neurontinonlinecheap.net/#Neurontin-Online, [url=http://www.neurontinonlinecheap.net/#Generic-Gabapentin]Buy Neurontin[/url]
6 March 2013 at 08:50:00 GMT+8
20000 :) Generic Azithromycin - purchase azithromycin http://www.zithromaxhowtobuy.net/#buy-azithromycin, [url=http://www.zithromaxhowtobuy.net/#generic-azithromycin]Order Zithromax[/url]
7 March 2013 at 20:51:00 GMT+8
aaa!!! Topamax Online - topiramate migraine http://www.topamaxbestonline.net/#generic-topiramate, [url=http://www.topamaxbestonline.net/#generic-topiramate]Topamax Cost[/url]
9 March 2013 at 07:51:00 GMT+8
4, sibutramine diet pills - order sibutramine http://www.meridiaforyourdiet.net/#buy-meridia, [url=http://www.meridiaforyourdiet.net/#cheap-sibutramine]buy meridia[/url]
9 March 2013 at 09:46:00 GMT+8
4, order terbinafine - terbinafine price http://www.fastlamisilorder.net/index.html, [url=http://www.fastlamisilorder.net/index.html]lamisil generic[/url]
9 March 2013 at 17:30:00 GMT+8
http://www.integrativeonc.org/adminsio/buyklonopinonline/#cheap klonopin 2012 - pics of 2mg klonopin
10 March 2013 at 15:54:00 GMT+8
http://landvoicelearning.com/#62431 tramadol for purchase no prescription - tramadol with tylenol
11 March 2013 at 10:48:00 GMT+8
all, imitrex no prescription - imitrex cost http://itrafficgeneration.com/#imitrex-cost , [url=http://itrafficgeneration.com/#buy-sumatriptan-no-prescription ]buy sumatriptan no prescription [/url]
13 March 2013 at 20:15:00 GMT+8
ooo, discount nexium - nexium without rx http://www.prfreetoairsatellites.com/, [url=http://www.prfreetoairsatellites.com/]esomeprazole online [/url]
20 March 2013 at 11:07:00 GMT+8
carisoprodol 350 mg carisoprodol 350 mg watson - carisoprodol 350 mg with alcohol
20 March 2013 at 14:00:00 GMT+8
tramadol overnight shipping buy ultram online no prescription overnight - tramadol 200 mg get high
29 March 2013 at 13:53:00 GMT+8
12, [url=http://www.costofklonopin.com/]clonazepam price [/url] - buy klonopin - buy clonazepam online http://www.costofklonopin.com/.
10 May 2013 at 22:35:00 GMT+8
buy tramadol for dogs tramadol online pharmacy - buy tramadol with paypal
15 May 2013 at 05:33:00 GMT+8
cytotec 0.2 mg misoprostol - buy cytotec 200mg - generic cytotec 200 mcg
15 May 2013 at 17:32:00 GMT+8
buy cytotec online - buy misoprostol in australia - buy misoprostol ireland
18 May 2013 at 17:49:00 GMT+8
buy tramadol overnight shipping tramadol online cod - buy tramadol online
19 May 2013 at 03:45:00 GMT+8
Buy Tramadol Online buy tramadol india - buy tramadol overnight cod
29 May 2013 at 14:38:00 GMT+8
order ambien online with no prescription order ambien - buy ambien sleeping tablets
Post a Comment