17 August 2011

Mah Sing 2Q 2011 Result Short Revew

Mah Sing released its 2Q 2011 result today. You are able to retrieve the result here.

Factsheet:
  • Mah Sing's shareholders fund close to MYR1.0B for the first time
  • Mah Sing's cash position stand as around MYR803M
  • Net Asset Per Shares is around RM1.17
  • 2Q 2011 Profit is 5.04 Sen (diluted figure)
  • 1H 2011 Profit is 9.89 Sen (diluted figure)
  • Annualized 2011 Profit is 19.78 Sen (1H 2011 * 2)
  • Annualized EPS / NTA (End figure) is 19.78 / (1.17+0.0989-0.076) = 19.78 / 1.19 = around 16.62
  • Expected DPS next year = 19.78 Sen * 40% dividend payout ratio = 10.5c (before tax)
  • Expected Dividend Yield Next Year = 10.5c/245c (MahSing's closing price as of 17 Aug 2011) = 4.29%+-
  • Total Asset = MYR2.86B
  • Net Profit Margin for 2Q 2011 = 10.25%
  • Gross Profit Margin for 2Q 2011 = 27.68%
  • Net Profit Margin for 1H 2011 = 11.64%
  • Gross Profit Margin for 1H2011 = 28.29%
  • Net Profit Margin and Gross Profit Margin dropped due to the reasons: 
    • Take up Rate for The Icon Tun Razak and South Gate is about 20% - 30% (based on estimation from the financial report section A12)
  • The Group has achieved property sales of RM1.24 billion as of 30 June 2011, representing 62% of its full year 2011 sales target of more than RM2 billion. The remarkable sales achieved and timely execution continued to provide steady cashflows and liquidity. The Group’s balance sheets remain healthy with net gearing ratio at 0.21 as at 30 June 2011.
  • Major projects:
    • Icon City - Achieved MYR420M during the 1st launch recently
    • M-Sentral - Strategically located at the former Pekeliling flats area, this joint development presents an opportunity for the Group to participate in one of the largest privatized urban regeneration project in Kuala Lumpur.
  • The Group’s fast turnaround business model and execution track record has made it the most efficient developer amongst industry peers in terms of asset utilization, with asset turnover ratio consistently above 45% for the last 5 years. With unbilled locked in sales and remaining GDV estimated at more than MYR14.5 billion, the Group is confident of strong performance for the immediate year and beyond.


I have strong confidence in Mah Sing's long term performance. My main concern is how Mah Sing cope with the bubble that seems growing in the Malaysia Property Market. Nevertheless, I shall remain investing with it given its fast asset turnover model and the ambitious expanding plan that going to launch more than MYR3.0Bn worth of projects next year.

I remembered that some of the analysts did not believe that Mah Sing can achieve MYR5.0Bn within 5 years. However, if Mah Sing can achieve 3Bn to 4Bn and record about MYR400M in next few years, then the possibility of achieving the MYR5.0Bn is high.

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5 comments:

  1. Welcome to post your comments here. :)

    ReplyDelete
  2. 19.78 Sen * 40% is 7.912 cent for divident,
    how to get 10.5cent?

    ReplyDelete
  3. Hi,
    I used the before 25% tax dividend. For example, 7.912 cent / 75% = around 10.5c.

    ReplyDelete
  4. oh... okie got it. thanks for clarifications. You have alot mahsing?

    ReplyDelete
  5. I have about 53lots. Currently hoping to sell it and buy into Singapore Shares as I will be dealer starting next month. Welcome to open acct with me :)

    ReplyDelete

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