Metro Holdings

(18-05-2014, 12:09 PM)GFG Wrote:

(21-04-2014, 11:28 AM)GFG Wrote:

(21-04-2014, 10:40 AM)kayhian Wrote: Why the sudden price surge?

No idea
No news releases from the company

But they are due to release Q4 results soon
I am guessing someone who is privy to the results is doing some buying, either directly or indirectly. Happens all the time.
Expecting stellar results with a good dividend when it is released.

<vested - 276 lots>

Price surged due to increase in shareholdings by substantial shareholder Ngee Ann Developments to just above 10%

Results release next wed... Watch out for it
(Vested)

(23-05-2014, 12:20 AM)GFG Wrote:

(18-05-2014, 12:09 PM)GFG Wrote:

(21-04-2014, 11:28 AM)GFG Wrote:

(21-04-2014, 10:40 AM)kayhian Wrote: Why the sudden price surge?

No idea
No news releases from the company

But they are due to release Q4 results soon
I am guessing someone who is privy to the results is doing some buying, either directly or indirectly. Happens all the time.
Expecting stellar results with a good dividend when it is released.

<vested - 276 lots>

Price surged due to increase in shareholdings by substantial shareholder Ngee Ann Developments to just above 10%

Results release next wed... Watch out for it
(Vested)

hopefully no negative surprises

Lim & Tan noted:

Metro Holdings (95 cents, up 1 cent) full year profi t rose 65% to
$107mln, underpinned by $41mln gain in fair value gains from
investment properties, $30mln gain on disposal of a warehouse
in Singapore and $19mln gain in negative goodwill on acquisition
of an additional interest in the jointly controlled entities owning
EC Mall in Beijing. On the back of the good performance,
management has doubled its special dividend to 4 cents a share
and including the normal dividend of 2 cents a share, yield is an
attractive 6.3%. Price to book is 0.66x.

(28-05-2014, 09:26 AM)greengiraffe Wrote: Lim & Tan noted:

Metro Holdings (95 cents, up 1 cent) full year profi t rose 65% to
$107mln, underpinned by $41mln gain in fair value gains from
investment properties, $30mln gain on disposal of a warehouse
in Singapore and $19mln gain in negative goodwill on acquisition
of an additional interest in the jointly controlled entities owning
EC Mall in Beijing. On the back of the good performance,
management has doubled its special dividend to 4 cents a share
and including the normal dividend of 2 cents a share, yield is an
attractive 6.3%. Price to book is 0.66x.

wow ..... pleasant surprise

The doubling of special dividends is really a surprise. However, it remains unclear if Jopie's variable bonus will increase with fair value gains...

http://www.businesstimes.com.sg/premium/...e-20140529

PUBLISHED MAY 29, 2014
Fair-value gains boost Metro's Q4 bottom line
BYNISHA RAMCHANDANI
nishar@sph.com.sg @Nisha_BT

BOOSTED by fair-value gains on investment properties, Metro Holdings posted fiscal fourth-quarter net profit of $43.8 million, almost three times that of $14.9 million a year earlier. This was despite a 97.3 per cent, or $8.3 million, fall in fair-value changes of short-term investments to $234,000.
Revenue for the property and retail group edged up 4.3 per cent to $49.7 million for the January-March final quarter due to higher rental income at Metro's property division, which saw turnover rise to $17.3 million from Q4 FY2013's $15.1 million.
Retail sales of its Singapore operations were nearly flat at $32.4 million in Q4 FY2014 vis-a-vis $32.5 million in Q4 FY2013 against the backdrop of a competitive retail environment and a shorter shopping period in the run-up to Chinese New Year this year. The retail division's associated company in Indonesia reported steady sales for continued stores, although the weaker rupiah and higher operational expenses hit profitability.
Gross profit for the quarter under review inched down from $19.92 million to $19.83 million as the property division had reported lower operational costs in Q4 FY2013.

(29-05-2014, 07:33 AM)greengiraffe Wrote: The doubling of special dividends is really a surprise. However, it remains unclear if Jopie's variable bonus will increase with fair value gains...

http://www.businesstimes.com.sg/premium/...e-20140529

PUBLISHED MAY 29, 2014
Fair-value gains boost Metro's Q4 bottom line
BYNISHA RAMCHANDANI
nishar@sph.com.sg @Nisha_BT

BOOSTED by fair-value gains on investment properties, Metro Holdings posted fiscal fourth-quarter net profit of $43.8 million, almost three times that of $14.9 million a year earlier. This was despite a 97.3 per cent, or $8.3 million, fall in fair-value changes of short-term investments to $234,000.
Revenue for the property and retail group edged up 4.3 per cent to $49.7 million for the January-March final quarter due to higher rental income at Metro's property division, which saw turnover rise to $17.3 million from Q4 FY2013's $15.1 million.
Retail sales of its Singapore operations were nearly flat at $32.4 million in Q4 FY2014 vis-a-vis $32.5 million in Q4 FY2013 against the backdrop of a competitive retail environment and a shorter shopping period in the run-up to Chinese New Year this year. The retail division's associated company in Indonesia reported steady sales for continued stores, although the weaker rupiah and higher operational expenses hit profitability.
Gross profit for the quarter under review inched down from $19.92 million to $19.83 million as the property division had reported lower operational costs in Q4 FY2013.

It is highly likely Jopie will get a big bonus for this
Historically that's what happens
As long as it's pegged to the net profit, I'm ok with it

I wonder what was their short term investment, did they sell it or perform badly

(31-05-2014, 04:06 AM)GFG Wrote:

(29-05-2014, 07:33 AM)greengiraffe Wrote: The doubling of special dividends is really a surprise. However, it remains unclear if Jopie's variable bonus will increase with fair value gains...

http://www.businesstimes.com.sg/premium/...e-20140529

PUBLISHED MAY 29, 2014
Fair-value gains boost Metro's Q4 bottom line
BYNISHA RAMCHANDANI
nishar@sph.com.sg @Nisha_BT

BOOSTED by fair-value gains on investment properties, Metro Holdings posted fiscal fourth-quarter net profit of $43.8 million, almost three times that of $14.9 million a year earlier. This was despite a 97.3 per cent, or $8.3 million, fall in fair-value changes of short-term investments to $234,000.
Revenue for the property and retail group edged up 4.3 per cent to $49.7 million for the January-March final quarter due to higher rental income at Metro's property division, which saw turnover rise to $17.3 million from Q4 FY2013's $15.1 million.
Retail sales of its Singapore operations were nearly flat at $32.4 million in Q4 FY2014 vis-a-vis $32.5 million in Q4 FY2013 against the backdrop of a competitive retail environment and a shorter shopping period in the run-up to Chinese New Year this year. The retail division's associated company in Indonesia reported steady sales for continued stores, although the weaker rupiah and higher operational expenses hit profitability.
Gross profit for the quarter under review inched down from $19.92 million to $19.83 million as the property division had reported lower operational costs in Q4 FY2013.

It is highly likely Jopie will get a big bonus for this
Historically that's what happens
As long as it's pegged to the net profit, I'm ok with it

But main bulk of profits are unrealized fair value gain, not fair to minority shareholders.

(31-05-2014, 07:30 AM)pianist Wrote: I wonder what was their short term investment, did they sell it or perform badly

Refers to the stakes in top spring and shui on
In FY14, Metro did a married deal to buy shui on at a premium to prevailing market price then
The prices have since gone down more
Very very unlikely that they have sold or reduced these equity stakes

These investments are anything but "short term"
They are strategic investments so as to utilize local players to enter into china market. In fact, the stated plan is to accumulate at least a 20% stake and eventually equity account shui on and TS as associates.
But under accounting rules, the value of these quotable investments are marked to market.

(31-05-2014, 11:38 AM)cfa Wrote:

(31-05-2014, 04:06 AM)GFG Wrote:

(29-05-2014, 07:33 AM)greengiraffe Wrote: The doubling of special dividends is really a surprise. However, it remains unclear if Jopie's variable bonus will increase with fair value gains...

http://www.businesstimes.com.sg/premium/...e-20140529

PUBLISHED MAY 29, 2014
Fair-value gains boost Metro's Q4 bottom line
BYNISHA RAMCHANDANI
nishar@sph.com.sg @Nisha_BT

BOOSTED by fair-value gains on investment properties, Metro Holdings posted fiscal fourth-quarter net profit of $43.8 million, almost three times that of $14.9 million a year earlier. This was despite a 97.3 per cent, or $8.3 million, fall in fair-value changes of short-term investments to $234,000.
Revenue for the property and retail group edged up 4.3 per cent to $49.7 million for the January-March final quarter due to higher rental income at Metro's property division, which saw turnover rise to $17.3 million from Q4 FY2013's $15.1 million.
Retail sales of its Singapore operations were nearly flat at $32.4 million in Q4 FY2014 vis-a-vis $32.5 million in Q4 FY2013 against the backdrop of a competitive retail environment and a shorter shopping period in the run-up to Chinese New Year this year. The retail division's associated company in Indonesia reported steady sales for continued stores, although the weaker rupiah and higher operational expenses hit profitability.
Gross profit for the quarter under review inched down from $19.92 million to $19.83 million as the property division had reported lower operational costs in Q4 FY2013.

It is highly likely Jopie will get a big bonus for this
Historically that's what happens
As long as it's pegged to the net profit, I'm ok with it

But main bulk of profits are unrealized fair value gain, not fair to minority shareholders.

1 or 2 years back, I did build up a sizable stake in Metro that has since been divested. My rationale back then was that Metro may take advantage of their divestment of Metro City Beijing to return substantial cash hoard to loyal shareholders.

However, I think Metro has decided to continue to plough its capital back into China and even participated in a JV for a 99 year leasehold development around River Valley.

Pursuing business for the sake of being in it (while being totally understandable) can be risky. The tough property outlook in China has heightened the risks of continued substantial investment in China. Metro's exposure in listed Shui On and Top Spring are clearly what Mr Market's views are currently.

Anyway, fair or not buddies can decide. Metro is a listed company and shares are freely traded. I have my fair share of experience with Metro and has since divested.

Odd Lots Vested
GG