IPO of IGB REIT

IGB is going to form a Real Estate Investment Trust (REIT) comprising of Mid Valley and The Gardens, and get listed in Bursa on 21 September tentatively. This IGB REIT will be one of the largest REIT listed in Bursa.

Mid Valley and The Gardens are both crowded during lunch time and weekends, especially during festive or mega sales. The rent out rate of the shops there should be high, as well as the rental. After the Pavillion REIT, this should be the next successful shopping malls REIT.

This is the timetable of the IPO:

Opening of application - 27/08/2012
Closing of application - 04/09/2012
Balloting of application - 07/09/2012
Allotment of IPO shares to successful applicants - 20/09/2012
Tentative listing date - 21/09/2012

(Source: http://www.bursamalaysia.com/market/listed-companies/company-announcements/1045753)


The IPO price is RM1.25 per share. There are around 200 million units made available for application by Malaysian public.

You may get more details here, http://www.bursamalaysia.com/market/listed-companies/company-announcements/1045737

Before you apply for the IPO, it's always advisable that you download and read the prospectus. Only invest in something that you understand. 

Public Bank announce 2Q Financial Report of FY2009

Public Bank, PBBANK (Stock Quote 1295) has announced the 2nd quarter financial report for financial year 2009. These are the few key points of the report:

• The Group achieved a pre-tax profit of RM1,564.7 million and net profit attributable to equity holders of RM1,200 million, which represented a decrease of 11.2% and 8.5% respectively from the previous corresponding half year, due to a one-off goodwill payment of RM200 million received from ING.
• Excluding the one-off ING goodwill, the underlying operating pre-tax profit and net profit attributable to equity holders have actually improved by RM2.5 million, or 0.2%, and RM34.4 million, or 3.0%, respectively.
• The Group’s net interest and financing income continued to show a growth of 8.7% as compared to the previous corresponding half year, despite the negative impact of the drops in overnight policy rate by BNM from 3.5% to 2.0%.
• The Group’s asset quality continued to improve with its gross non-performing loan (NPL) balance decreasing by RM10.6 million to RM1.21 billion as at 30 June 2009. The Group’s net NPL ratio further improved to 0.80% from 0.93% a year ago.
• Public Bank recorded a pre-tax profit of RM1,174.1 million for the financial half year ended 30 June 2009 and was lower than the pre-tax profit of RM1,525.5 million achieved in the previous corresponding half year.
• Pre-tax profit contribution from the Group’s overseas operations decreased by RM64.5 million or 31.8% from the previous corresponding half year to RM138.3 million.
• For the 2nd quarter ended 30 June 2009, the Group registered a pre-tax profit of RM819.8 million, an improvement of RM28.2 million or 3.6% as compared to the previous corresponding quarter.
• The EPS for the 2nd quarter remains at 17.7 cent compared to previous corresponding quarter. The EPS for the half financial year ended 30 June 2009 has decreased to 35.1 cent compared to 39.1 cent in the previous corresponding half year.
• The Net assets per share is RM2.99.
• Total assets is RM204,038 million and total liabilities is RM193,004 million.
• Interim dividend of 30 cent less 25% tax is declared.


Personal view:
1. Public Bank NPL is improving, despite of the current economy crisis. This shows that Public Bank approves the loan application with extra carefulness.
2. Public Bank oversea operations are facing decrease of revenue as well as profit, which is a great challenge for the management.
3. By having half year EPS of 35.1 cent, we assume the EPS is same for the 2nd half, the total EPS is 70.2 cent. With the current share price RM9.96, the PE is 14.19.

Previous Quarterly Financial Report

Public Bank announce 1Q Financial Report of FY2009

Public Bank, PBBANK (Stock Quote 1295) has announced the 1st quarter financial report for financial year 2009. These are the few key points of the report:

· The Group’s pre-tax profit, excluding the ING goodwill payment, shows a marginal drop of RM25.7 million or 3.3% to RM 744.9 million. It is a drop of RM68 million or 8.4% as compared to the pre-tax profit of RM812.9 million for the preceding quarter ended 31 December 2008.
· Net profit attributable to equity holders is lower by 17.9% to RM589.3 million compared to the previous corresponding quarter. This was due to the one-off goodwill payment of RM200 million received from ING in respect of a regional strategic alliance on bancassurance distribution in the previous corresponding quarter.
· Non-Performing loan (NPL) improved to below 1.0% from 1.1% a year ago. The NPL balance is RM1.23 billion as at 31 March 2009.
· Public Bank recorded a pre-tax profit of RM437.0 million for the first quarter of financial year 2009 and was lower than the pre-tax profit of RM804.5 million achieved in the previous corresponding quarter.
· Pre-tax profit contribution from the Group’s overseas operations decreased by RM32.3 million or 33.0% from the previous corresponding quarter to RM65.7 million.
· The EPS has decreased to 17.4 cent in the 1st quarter compared to 21.4 cent in the previous corresponding quarter.
· The Net assets per share is RM2.78.
· Total assets is RM199,226 million and total liabilities is RM188,882 million.

Previous Quarterly Financial Report

BKAWAN announce Q2 Financial Report of FY2009

Batu Kawan Berhad, BKAWAN (Stock Quote 1899) has announced the 2nd quarter financial report for financial year 2009. These are the few key points of the report:

· The Group’s pre-tax profit for the current quarter was RM88.9 million, substantially lower than the RM117.3 million reported in the corresponding quarter last year, due to lower profit contribution from our plantation associate, KLK, which reported lower plantation and manufacturing profits.
· For the first half financial year 2009, Group pre-tax profit at RM140.8 million was lower than the RM262.2 million achieved last year.
· The current quarter’s pre-tax profit of RM88.9 million was higher than the RM51.8 million reported in the preceding quarter mainly due to a USD8.0 million surplus on disposal of an overseas investment by a foreign subsidiary.
· The Net Profit for the current quarter was RM86.66 million compared to the RM115.74 million in the corresponding quarter last year.
· A single-tier tax exempt interim dividend of 10sen per share has been declared. It will be paid on 12 Aug 2009 to shareholders registered in the Company’s Register as at 16 July 2009.
· The Earning Per Share (EPS) for the current quarter is 20.01sen, substantially lower than 26.41sen in the corresponding quarter last year.
· The Net Assets per Share is RM6.35.

Q1 Financial Report of FY2009

BKAWAN announce Q1 Financial Report of FY2009

Batu Kawan Berhad, BKAWAN (Stock Quote 1899) has announced the 1st quarter financial report for financial year 2009. These are the few key points of the report:

· The Group’s pre-tax profit for the current quarter was RM51.8 million, substantially lower than the RM144.9 million reported in the corresponding quarter last year.
· The current quarter’s pre-tax profit of RM51.8 million was substantially lower than the RM135.8 million reported in the preceding quarter mainly due to lower profit contribution from KLK.
· The Net Profit for the current quarter was RM46.96 million compared to the RM142.27 million in the corresponding quarter last year.
· The Earning Per Share (EPS) for the current quarter is 10.29sen, substantially lower than 32.52sen in the corresponding quarter last year.
· The Net Assets per Share is RM6.61.

Public Bank announce 4Q Report of FY2009

Public Bank, PBBANK (Stock Quote 1295) has announced the 4th quarter financial report for financial year 2008. These are the few key points of the report:

· The Group’s pre-tax profit for the financial year ended 31 December 2008 of RM3,379.2 million was RM375.6 million or 12.5% higher than the previous corresponding period of RM3,003.6 million.
· Net profit attributable to equity holders improved by 21.5% to RM2,581.2million.
· Non-Performing loan (NPL) improved to 0.9% from 1.2% a year ago.
· Public Bank recorded a pre-tax profit of RM2,897.7 million for the financial year ended 31 December 2008 and was marginally higher than the pre-tax profit of RM2.850.8 million achieved in the previous year.
· Pre-tax profit contribution from the Group’s overseas operations decreased by RM130.4 million or 28.9% from the previous year to RM321.0 million.
· For the 4th quarter ended 31 December 2008, the Group registered a pre-tax profit of RM812.9 million, a decrease of RM8.3 million or 1.0% as compared to the previous corresponding quarter.
· Earnings attributable to equity holders grew by 12.8% or RM74.0 million in the current year.
· The EPS has increased to 19.5 cent in the 4th quarter compared to 17.3 cent in the previous corresponding period. The EPS for the financial year ended 31 December 2008 is 76.9 cent.
· Total assets is RM196,163 million and total liabilities is RM185,934 million.

BKAWAN announce Q4 Financial Report of FY2008

Batu Kawan Berhad, BKAWAN (Stock Quote 1899) has announced the 4th quarter financial report for financial year 2008. These are the few key points of the report:

• The Group’s pre-tax profit for the current quarter was RM135.8 million, marginally higher compared to the RM132.1 million reported in the corresponding quarter last year.

• The Group’s pre-tax profit for the year ended 30 September 2008 was RM522.8 million, substantially higher than the RM359.9 million recorded last financial year, mainly due to higher profit contribution from KLK.

• The Net Profit for the current quarter was RM132.8 million compared to the RM131.6 million in the corresponding quarter last year.

• The Net Profit for the year ended 30 September 2008 was RM514.0 million, substantially higher than the RM355.4 million recorded last financial year.

• The Earning Per Share (EPS) for the current quarter is 30.13sen and 117.25sen for the year ended 30 September 2008.

• The Net Assets per Share is RM6.66.

The price of BKAWAN today is RM7.00, so the PE is RM7.00/RM1.1725 = 5.97x
This is really a very low PE, and the net asset per share is almost same as the share price. BKAWAN announce that there is 9 sen (less 25% tax) and 40 sen (single tier tax exempted) dividend. By using the share price now, RM7.00, the DY is 7%.

Public Bank announce 3Q Report of FY2008

Public Bank, PBBANK (Stock Quote 1295) has announced the 3rd quarter financial report for financial year 2008. These are the few key points of the report:

· The Group’s pre-tax profit for the nine months ended 30 Sep 2008 of RM2,566.2 million was RM383.3 million or 17.6% higher than the previous corresponding period of RM2,182.4 million.

· Net profit attributable to equity holders improved by 24.8% to RM1,927.3 million.

· Non-Performing loan (NPL) improved to 0.9% from 1.3% over the same period.

· Public Bank recorded a pre-tax profit of RM2,129.4 million for the nine months ended 30 Sep 2008 and was 14.1% higher than the previous corresponding period.

· Pre-tax profit contribution from the Group’s overseas operations increased by RM13.3 million or 4.8% from the previous corresponding period.

· For the 3rd quarter ended 30 Sep 2008, the Group registered a pre-tax profit of RM804.0 million, an improvement of RM29.6 million or 3.8% as compared to the previous corresponding quarter.

· Earnings attributable to equity holders grew by 13.4% or RM72.7 million over the same period.

· The EPS has increased to 18.4 cent in the 3rd quarter compared to 16.2 cent in the previous corresponding period. The EPS for nine month ended 30 Sep 2008 is 57.4 cent.

· Total assets is RM190,729 million and total liabilities is RM180,841 million.

The TEN Principles of John Templeton’s Investment

I have read a good article about the ten investment principles adopted by John Templeton in a chinese newspaper, The Oriental Daily. So, I have summarized it and translated to english and post here. You all can read and think if these principles are benefit to yourself.

1) Leave the market when everyone is looking good at the market
From experience, in a risky investment market, it is always minority earning money, and majority is just enjoying the process or losing money. Thus, when people look good, we leave the market; when people look bad on the market, we enter the market.

2) Do not put all eggs in one basket
Even professional analysts may judge wrongly. So, if you invest all your money into a single stock, you may lose all your money if anything bad happens on that particular stock. By diversification, we invest our money into several stocks, if one of the stocks performs badly, we still have most of our money left.

3) Choose emerging market if you want super high return
Like human, the fastest growth happens during baby and teenage stage, but not adult stage. So, investing in emerging markets, we may obtain super high return from the fast growth of economy in emerging countries.

4) Main factor in stock selection – Understand the management team
Everybody has different characteristics and attitude. To make a corporate to be successful, management team is playing the most important role. We should understand how they manage the corporate and select those corporate with a good management team.

5) Select stock with FELT
When selecting stock, we should justify if the stock price is FAIR, the market is EFFICIENT, the stock is LIQUID, and the corporate annual report is TRANSPARENT.

6) Investment opportunity is always available during crisis
In the final stage of crisis, normally markets have been dropped quite a lot, and there are stocks undervalued. By having many cheap stocks and undervalued stocks, there are a lot of opportunities for us to invest.

7) Investment decision guidance – Net Assets
Net asset is the difference between total assets and total liabilities of a corporate, then divided by the number of share. If net asset is higher than the current share price, this share is undervalued. If the net asset is lower than the current share price, this share is overvalued.

8) Understand the game rules and regulations before entering a market
There are different policies, rules and regulations in different markets and countries. Before we invest in a market, we should understand the rules and regulations in the markets, especially those emerging markets which has less complete law and rules to protect the investors.

9) Gold is always hidden under the sands
Do not just look at the surface when we invest. We should study the market, find out the potential corporate and invest in these potential corporations.

10) Technical analysis is not the most important method
Technical analysis is just a part of all the analysis methods. Technical analysis is a supplement after we analyze on the politics, capital and fundamental aspects. Investment is on a particular stock, so we should analyze the fundamental of the corporate before we invest.

Batu Kawan announces 3Q FY2008 Report

Batu Kawan (BKAWAN) has announced the financial report of 3Q FY2008. These are the few key points of the report.

- The group achieved a substantially higher pre-tax profit of RM124.8 million against RM77.9 million reported in the corresponding quarter last year, mainly due to higher profit contribution from KLK.

- The group’s pre-tax profit for the current 9 months under review of RM387.0 million was 69.9% higher than the RM227.8 million achieved in the corresponding period last year.

- The EPS of current quarter is 28.01 sen against 17.15 sen in the corresponding quarter last year. The EPS for the current 9 months is 86.99 sen while the EPS for the corresponding period last year is 50.29 sen.

- Total assets of the group is 2,879.58 million while the total liabilities of the group is 88.63 million.

- The net assets per share is RM 6.34

Public Bank announce 2Q FY2008 Report

Public Bank has just announced its Financial Year 2008 Second Quarter financial report.

These are the few key points about its performance:
- Group’s pre-tax profit for the financial half year ended 30 Jun 08 of RM1,762.2 million is 25.2% higher than the previous corresponding half year.
- Net profit attributable to equity holders improved by 31.0%
- Group’s domestic bank, Public Bank, recorded a pre-tax profit of RM1525.5 million for the financial half year ended 30 Jun 08 and was 20.3% higher than previous corresponding half year.
- Pre-tax profit contribution from overseas operations increased by 16.8% to RM202.7 million.
- For the single 2nd quarter, the group registered a pre-tax profit of RM791.6 million, 8.0% higher than previous corresponding quarter.
- Its gross non-performing loan (NPL) decreasing by 21.9% to RM1.22 billion and Group’s net NPL ratio improved to 0.9% from 1.5% over the same period.
- EPS for 2nd quarter and financial half year is 17.69 cent and 39.08 cent respectively.
- Net assets per share is RM2.7921.

Public Bank has announced an interim dividend of 30% less 26% tax, which is 30 cent per share.