Lippo Malls Indonesia Retail Trust (SGX: D5IU), or LMIRT, saw its gross revenue increase 13.6% to S$39.0 million in the third quarter of 2013 (3Q 2013) as compared to 3Q 2012.
The revenue increase was mainly because of “the contributions from the six new malls acquired in 4Q 2012 and the positive rental reversions within the existing malls, despite the depreciation of IDR in the past quarter”.
The net property income, which was at S$37.1 million and distributable income, which was at S$19.1 million, rose 12.2% and 20.7% respectively in 3Q 2013.
Shareholders should be cheering the news that distribution per unit (DPU) shot up 19.2% to 0.87 Singapore cents in 3Q 2013 from 0.73 Singapore cents in 3Q 2012.
As of 30th September 2013, the total outstanding debt was S$472.5 million. The gearing level was at 28.2%. The weighted average maturity of debt facilities was around 2.0 years. No refinancing will be required until June 2014. The occupancy rate stood at 95.1%. The net asset value was at S$0.4528.
LMIRT’s sponsor, Lippo Karawaci (LK), has provided LMIRT with a “right of first refusal over its portfolio of 15 malls to be built across Indonesia in the next three years”. That means that the sponsor has presented the opportunity to LMIRT to buy the malls before anyone else can.
LK, one of the largest listed property developers and mall operators in Indonesia, has links to other companies listed in the Singapore Exchange as well. LK is also the sponsor of First REIT (SGX: AW9U), Singapore’s first healthcare real estate investment trust. Another company, Overseas Union Enterprise Limited (SGX: LJ3), which owns brand-name hotels such as Mandarin Orchard Singapore, Crowne Plaza Changi Airport Singapore and Marina Mandarin Singapore, among others, is linked to Lippo Group, the parent of Lippo Karawaci. OUE is 68% owned by Lippo Limited, part of the Lippo Group.
The shares of LMIRT closed at S$0.445 on Wednesday. The price-to-book ratio is at 0.98 and the dividend yield is at 7.7%, taking into account the latest declared DPU and the DPU for the previous three quarters.
Cosco - Why Cosco Corp's earnings results could be uglier in 4Q
Redemption is still a long way, says analyst.
According to CIMB, after five consecutive quarters of provision writebacks, which offered hope that its operations might stabilise, Cosco once again reminded us that redemption is still a long way off.
Here's more from CIMB:
Cosco recorded S$4.2m in core earnings for 3Q as it was hurt by provisions for contract losses and inventory writedown, which totalled S$49.7m.
The group achieved gross profit margin of 7.4% for 3Q, bringing 9M gross margins to 9.5%. 3Q could have been uglier if it had not been for a one-off compensation of S$13.2m received from customers. As a result, we now lower FY14-15 EBIT margins by 0.4% pt (FY14: 5.7%, FY15: 6.3%).
We believe that Cosco’s 4Q results could be uglier, owing to the reversal of profits for the cancellation of its drillship order.
The cancellation is now under arbitration and the company is unable to quantify any financial impact.
However, in line with the conservatism principle in accounting standards, we believe that we would see the impact in 4Q.
Upside risk would come from a successful sale of the drillship. The unit is undergoing sea trials and Cosco shares that it has several enquiries for the vessel.
Vard - Why Vard's Brazil woes may not be over just yet
Drag likely to extend into FY14.
According to OSK, Vard Niterói is still plagued by delays and cost overruns although management has implemented
organisational changes at the yard.
Delivery of its remaining four vessels (Pro30, Pro31, Pro32, Pro33) are further delayed by 2-3 months each, with the last vessel expected to be delivered in 1Q15. We think VARD’s Brazil woes may extend into FY14.
Here's more:
VARD saw strong orders in 3Q13, winning NOK7.95bn worth of contracts. Its YTD 2013 new orders worth NOK11.9bn are close to our target of NOK12bn, while its net orderbook stands at NOK19.6bn. Management is positive on securing more orders.
Singapore: Offshore operator Pacific Radiance has released its prospectus as it looks to list on the Singapore Stock Exchange. The company is offering 171.9m shares at 90 cents each.
Of these, 5m shares will be available to the public, while 163.4m will be placed out to investors.
The remaining shares will be set aside for Pacific Radiance's independent directors, employees, and business associates.
Pacific Radiance’s vessels comprise offshore support vessels, namely, anchor handling tugs, anchor handling tug supply vessels, multi-purpose support vessels and platform supply vessels, as well as accommodation work barges, diving support vessels, special carrier vessels and tugs and barges.
Closing Date : 11/11/2013
Commence Trading : 13/11/2013
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