Kingsmen Creatives

[Musicwhiz]

By its normal standards, trading volumes in Kingsmen's shares today were pleasingly high. 411,000 Kingsmen shares traded, with a few "meaty volume" trades done at the S$ 0.75 level (381,000 shares) and 30,000 shares changing hands at the S$ 0.755 level.

At today's closing price of S$ 0.75 and based on the last interim and final dividends, Kingsmen now trades on a dividend yield of 5.1/3%. I'm hoping we will see more than 2.5 cents as the final dividend come February next year - based on an expectation of a seriously good 2H 2012. Personally speaking, I still rate Kingsmen, given the quality and track record of its Management, as a buy.

Time will tell if those awaiting a share-price-pullback in order to initiate or add to their Kingsmen's holdings have missed out. Based on trading patterns today and over the last week or so, I sense someone is stake-building - i.e. picking up significant volumes.

Vested

Haha, personally I won't read too much into it - it could be just one of those days when someone is eager to sell a large block and there also happens to be an equally eager buyer. Someone may indeed be collecting, but on the flip side one can also say that someone is actively divesting a large chunk! So there are two sides to every coin.

As for Kingsmen's dividends, it's still a long way off from the announcement of the final dividend for FY 2012 (slated to be in late Feb 2013), so personally I can't see why there is excitement drummed up. It's not even close to 3Q 2012 reporting season in Nov 2012, and the Company has a habit of NOT announcing contract wins as they are obligated NOT to do so by the parties involved.

So all in all, I'd expect a rather uninteresting two months before 3Q 2012 is released. Then the "excitement" (if you could call it that) would last probably a day then die down again until Feb 2013....

[RBM]

Heh Heh - I suspected that my posting of earlier this evening would entice a response from you Musicwhiz ........... the piece about those waiting (in vain??) for the share price to pull back before adding to their holdings was specifically targeted!

Seriously ................. I do believe it is a positive when Kingsmen's shares have higher liquidity. I'm also convinced that the current share price does not overvalue or flatter the company. I note what you state regarding Kingsmen's disinclination to announce individual contract wins Musicwhiz ......but all the anecdotal evidence (e.g. forummer observations) and Kingsmen's own comments regarding the dimensions of their order book point to a positive second half. And Kingsmen's management has a darn good track record of eeking out eminently satisfactory margins from its work. Or am I missing something?

May be I am too much of an optimist.

Vested

By its normal standards, trading volumes in Kingsmen's shares today were pleasingly high. 411,000 Kingsmen shares traded, with a few "meaty volume" trades done at the S$ 0.75 level (381,000 shares) and 30,000 shares changing hands at the S$ 0.755 level.

At today's closing price of S$ 0.75 and based on the last interim and final dividends, Kingsmen now trades on a dividend yield of 5.1/3%. I'm hoping we will see more than 2.5 cents as the final dividend come February next year - based on an expectation of a seriously good 2H 2012. Personally speaking, I still rate Kingsmen, given the quality and track record of its Management, as a buy.

Time will tell if those awaiting a share-price-pullback in order to initiate or add to their Kingsmen's holdings have missed out. Based on trading patterns today and over the last week or so, I sense someone is stake-building - i.e. picking up significant volumes.

Vested

Haha, personally I won't read too much into it - it could be just one of those days when someone is eager to sell a large block and there also happens to be an equally eager buyer. Someone may indeed be collecting, but on the flip side one can also say that someone is actively divesting a large chunk! So there are two sides to every coin.

As for Kingsmen's dividends, it's still a long way off from the announcement of the final dividend for FY 2012 (slated to be in late Feb 2013), so personally I can't see why there is excitement drummed up. It's not even close to 3Q 2012 reporting season in Nov 2012, and the Company has a habit of NOT announcing contract wins as they are obligated NOT to do so by the parties involved.

So all in all, I'd expect a rather uninteresting two months before 3Q 2012 is released. Then the "excitement" (if you could call it that) would last probably a day then die down again until Feb 2013....

[Musicwhiz]

Article in CNA this evening.

Link: http://www.channelnewsasia.com/stories/s...39/1/.html

Kingsmen Creatives to tap growth opportunities in Asian theme park business
By Dominique Loh, Sylvia Paik | Posted: 17 September 2012 2056 hrs

SINGAPORE: Singapore-listed design and production company, Kingsmen Creatives, is the brains and muscle behind attractions such as Shrek's House in Universal Studios and the Cloud Forest at Gardens By The Bay.

It is also the interior designer for luxury stores like Burberry and Chanel.

And it organises large-scale events like the Singapore Air Show and CommunicAsia.

With a strong pipeline of contracts including various theme park and museums projects on hand, the group said it is confident that it will continue to post strong results for this fiscal year despite the global slowdown.

It is pursuing an expansion policy, having opened its latest office in Shenzhen to tap on business opportunities in South China.

It also has offices in Shanghai, Hong Kong and Macau.

For example, the group is looking to secure sizable projects relating to new theme parks in China.

Kingsmen Creatives' executive chairman Benedict Soh, said: "Down south the River Delta, where the Shenzhen office is located, there is big growth. There is a big market by itself therefore it is a good move."

Kingsmen managed to achieve stellar growth in the first half of this year, despite the global downturn.

The group said that is credited to its business strategy of having a broad and diversified portfolio, as well as its focus on driving down costs and continuous improvement.

Kingsmen posted a 23.5 per cent increase in interim net profit to S$7.2 million for the first half of this year.

This was a result of better top-line performance across all its operating divisions.

Its four business segments comprise exhibitions & museums, retail & corporate interiors, research & design, and alternative marketing.

Mr Soh said: "We are one of the unique companies in the world that is able to handle both the retail interiors or permanent interiors, as well as temporary trade shows, and theme parks, and as well as the marketing and consultancy aspect, where we talk about alternative marketing."

- CNA/fa

[Musicwhiz]

This week’s issue of The Edge Singapore features a one-page write-up on Kingsmen Creatives. Essentially, it talks about the Company’s business operations, how it sees more opportunities in Interiors as REITs push tenants in malls to refurbish or renovate often in order for rentals to increase; as well as the brands which Kingsmen serve (Uniqlo, Burberry, Marks and Spencer to name a few). Ben Soh talks about “experiential living” which essentially means that modern society wants to see changes and that shop interiors need to change within 2-3 years instead of 5-10 years previously.

In addition to Interiors, Kingsmen also provides additional services to these brands by helping them to host special events – which is where IMC comes in. They are one of the few in the world providing end-to-end services, from conceptualization to installation, fulfilment and after-sales services. They work with the clients for events, promotions, merchandising and display.

They also talk about its M&E division and how the rising emergence of MICE in Singapore and SEA bode well for the Company. Kingsmen have expertise in dealing with theme parks from their experience with USS and are now pitching for the Shanghai Disney Resort project, which is slated for completion in December 2015. It occupies 963 acres and is 3x the size occupied by Hong Kong Disneyland, and the Walt Disney Company holds a 43% stake in it (the other 57% held by Shanghai Shengdi Group). Kingsmen’s price position is just nice – 30% to 50% more expensive than local players but with international standards, while they are 50% cheaper than European or American counterparts.

Ben Soh is optimistic of Kingsmen’s expansion, but he did caution that Kingsmen would NOT be immune to a protracted deep recession, though for now it looks as though there is nothing on the horizon to derail growth.

(Vested)

[RBM]

An excerpt from the latest Edge Weekend Comment (21st September) E-Mailer regarding Kingsmen Creatives ............

QUOTE
As you read this emailer, the multi-million F1 race cars are probably doing their practice runs for the annual motoring sport spectacle that is helping to boost Singapore’s status as a leading destination for meetings, conventions and events.

Kingsmen Creatives, a home-grown leading regional provider of design and fitting out services, has been a beneficiary of events like F1. Ever since the F1 races began here, Kingsmen has been booking revenues of between $8 to 9 million a year, as it helps not only to build hospitality suites, direction signs, and also lease furniture for the crew, hosts and guests thronging the areas around the circuit.
UNQUOTE

Vested

[CityFarmer]

This week’s issue of The Edge Singapore features a one-page write-up on Kingsmen Creatives. Essentially, it talks about the Company’s business operations, how it sees more opportunities in Interiors as REITs push tenants in malls to refurbish or renovate often in order for rentals to increase; as well as the brands which Kingsmen serve (Uniqlo, Burberry, Marks and Spencer to name a few). Ben Soh talks about “experiential living” which essentially means that modern society wants to see changes and that shop interiors need to change within 2-3 years instead of 5-10 years previously.

In addition to Interiors, Kingsmen also provides additional services to these brands by helping them to host special events – which is where IMC comes in. They are one of the few in the world providing end-to-end services, from conceptualization to installation, fulfilment and after-sales services. They work with the clients for events, promotions, merchandising and display.

They also talk about its M&E division and how the rising emergence of MICE in Singapore and SEA bode well for the Company. Kingsmen have expertise in dealing with theme parks from their experience with USS and are now pitching for the Shanghai Disney Resort project, which is slated for completion in December 2015. It occupies 963 acres and is 3x the size occupied by Hong Kong Disneyland, and the Walt Disney Company holds a 43% stake in it (the other 57% held by Shanghai Shengdi Group). Kingsmen’s price position is just nice – 30% to 50% more expensive than local players but with international standards, while they are 50% cheaper than European or American counterparts.

Ben Soh is optimistic of Kingsmen’s expansion, but he did caution that Kingsmen would NOT be immune to a protracted deep recession, though for now it looks as though there is nothing on the horizon to derail growth.

(Vested)

I am reading this week issue of The Edge Singapore (17-23 Sept), but not able to find the article?

Which page is the article in the magazine?

[Musicwhiz]

It's the September 24, 2012 issue. If you are a subscriber, you should have received it yesterday.

If not, you can find it at all good news-stands.

[snowcap]

This week’s issue of The Edge Singapore features a one-page write-up on Kingsmen Creatives. Essentially, it talks about the Company’s business operations, how it sees more opportunities in Interiors as REITs push tenants in malls to refurbish or renovate often in order for rentals to increase; as well as the brands which Kingsmen serve (Uniqlo, Burberry, Marks and Spencer to name a few). Ben Soh talks about “experiential living” which essentially means that modern society wants to see changes and that shop interiors need to change within 2-3 years instead of 5-10 years previously.

So wasteful. In the name of progress and profits, we are throwing away things that can still be used. We are not leaving much of a planet for our children.

Electronic goods today last about 2-3 years. I remember my parents' Sony Trinitron TV in the 1980s lasted over 10 years.

[CityFarmer]

It's the September 24, 2012 issue. If you are a subscriber, you should have received it yesterday.

If not, you can find it at all good news-stands.

I see, thanks

[Musicwhiz]

The news just out! Singapore is extending the F1 contract till 2017. This should see Kingsmen continue to book revenues of $8m to $9m each year for the next 5 years.

A note from The Edge on Kingsmen and F1:-

"Kingsmen Creatives, a home-grown leading regional provider of design and fitting out services, has been a beneficiary of events like F1. Ever since the F1 races began here, Kingsmen has been booking revenues of between $8 to 9 million a year, as it helps not only to build hospitality suites, direction signs, and also lease furniture for the crew, hosts and guests thronging the areas around the circuit."

News article here:-
http://www.channelnewsasia.com/stories/s...72/1/.html

Motor Racing: Singapore extends grand prix contract to 2017
22 September 2012 1915 hrs (SST)

SINGAPORE: Singapore has agreed on a deal with Formula One to extend the country's grand prix contract for another five years until 2017, following months of hard bargaining for cheaper fees.

No price tag for the new deal to 2017 was revealed, but Formula One commercial rights-holder Bernie Ecclestone said repeatedly that the Singapore government had proven tough negotiators.

"It was difficult for me to negotiate," said Ecclestone, sitting next to Singapore's Second Minister for Trade and Industry S. Iswaran for the announcement ahead of Sunday's grand prix. Mr Iswaran is also a Minister in the Prime Minister's Office and Second Minister for Home Affairs.

"He's not easy to deal with and I can't understand why he was complaining about us using the streets and wearing out the streets," he joked. "But we eventually got there and I'm very, very happy. We're all here for another five years."

High costs have caused friction for several hosts of Formula One, which has expanded aggressively from its traditional European domain with seven races in the Asia-Pacific region this season.

Singapore is also one of several grand prix hosts to complain about the high race fees it pays to Formula One. When pressed by journalists on whether Singapore had won a cheaper deal, Ecclestone was coy.

"I always believe these questions shouldn't be asked," he said, when pressed on the contract's price-tag. "A gentleman should never speak about money and last night."

Ecclestone added: "Let me tell you how serious the minister is: you'll be paying for your seat on the way out."

The Singapore race, one of seven held in the Asia-Pacific region this year, has been watched by more than 360 million TV viewers, according to government figures, and won universal praise from teams and drivers this week.

"This is the fifth Singapore Grand Prix and it's already a great grand prix, great atmosphere, great city," McLaren team principal Martin Whitmarsh said earlier on Saturday.

The Singapore race was first held in 2008 on the Marina Bay street circuit and has become a social highlight of the Formula One calendar that rivals Monaco and Abu Dhabi as a draw for dealmakers and corporate heavy-hitters.

According to Mr Iswaran, the race has attracted more than 150,000 visitors spending over S$560m in the past four years.

Mr Iswaran said: "From an economic perspective, the F1 Singapore Grand Prix has attracted more than 150,000 international visitors over the last four years, and about S$140m to S$150m in incremental tourism receipts each year. For the extended term, we expect benefits to remain at least at this level."

With the cost of organising each race pegged at about S$150m - the government co-funds 60 per cent of the bill - Mr Iswaran stressed that the government would like to reduce costs through factors such as infrastructure, operational efficiencies in race organisation and revised terms with the race promoter and Formula One Administration.

While some tweaks could be made to the current Marina Bay Circuit, there are currently no plans to make significant changes to the 5.073km track.

Formula One's hefty race fees have long been a problem for hosts. In 2008, Chinese Grand Prix organisers told AFP they were prepared to walk away from Formula One, before later extending their deal.

The Australian Grand Prix has been the subject of controversy with estimates that it costs local taxpayers A$50 million to stage.

- AFP/CNA/xq/ir