Category: Genting

Posted on

Genting @ $1.3225

Buy @ $1.325, $1.32

Was planning to Jump-Q for $1.325 but at the last minute, noticed mass withdrawal from the sell Q and decided to withdraw my trade ($1.33). Fortunately I was fast enough as matching was done at $1.33. Looks like a lot of fake Queues here! The seller CP = Goldman Sachs must have a lot to sell… I wonder why… especially after such good EPS… 😀

Have not decided whether to hold till $1.4x – $1.5x  (the strong EPS increases such a possibility) or just trade for short term (uncertainty whether EPS can sustain for next Q as it's very much dependent on the Casino segment and specifically on the High Rollers)…..

Posted on

Genting @ $1.33

Buy @ $1.33

Need to average down my $1.43 ones. Same price as my most recent sell price on 21-Apr! 😀

Q1 results were out on 5-May,

  • Best EPS (1.87ct) since Q411 (2.18ct)
    • Big jump (+29%) in Gaming Revenue (highest since Q111) due to Higher Rolling Volume and Win % in Premium Player Biz
    • Non-Gaming Revenue saw a drop qoq but 6% growth yoy (segment biz observed to be seasonal with low in Q1 and high in Q4)
  • Cash lower (-$313M) due mainly to lower Debts (-$131M) + Korea IR Investment (-$195M)
  • Jurong Hotel on schedule to open in mid-'15

Valuations using EPS,

  • PE improves from 27.6 (FY13) to 23.13 (latest 4Qs)
    • Still on the high side (>20)
    • In FY12, PE was close to 30

 

Comments

  • Earnings is very much dominated by the casino segment and especially by the High Rollers
  • Not to place too much emphasis on Korea IR
    • Target to be operational in 2017, in time for 2018 Olympics
    • Casino biz has restriction in Korea – Foreigners only
    • Lippo (20%) + Caesars (40%) have also been given approval for similar IR investment
    • Estimated Cost US$2.2Bil and likely to be a drain on their cash in the coming months
  • Mkt Reaction to ​Big jump in Q114 EPS is muted
    • ​Share price on downward trend after uninspiring Q413 results, hitting below $1.30
    • Korea IR Invesment seen as a big drag on Cash with little chance of good returns as casino is restricted to foreigners only (Genting stated one key target will be China nationals)
    • Q214 results will be critical to see if Q114 EPS is repeatable

 

An update to the tables from a previous post (Buy @ $1.31),

 

Extracts from the financials (all figure in $Mil unless otherwise stated),

  

Gaming

Non

Others

Total

Q114

$671,936

81.1%

$156,399

18.9%

$499

$828,834

FY13

$ 2,185,118

76.7%

$ 660,406

23.2%

$ 1,790

$ 2,847,314

Q413

$ 508,622

73.4%

$ 183,871

26.5%

$ 451

$ 692,944

Q313

$ 606,698

78.1%

$ 169,727

21.8%

$ 395

$ 776,820

Q213

$ 548,617

77.5%

$ 158,764

22.4%

$ 557

$ 707,938

Q113

$ 521,181

77.8%

$ 148,044

22.1%

$ 387

$ 669,612

FY12

$ 2,373,073

80.5%

$ 558,315

18.9%

$ 16,687

$ 2,948,075

Q412

$ 626,950

79.2%

$ 164,406

20.8%

$ 622

$ 791,978

Q312

$ 528,409

79.2%

$ 133,637

20.0%

$ 5,045

$ 667,091

Q212

$ 562,286

80.1%

$ 133,969

19.1%

$ 5,951

$ 702,206

Q112

$ 655,428

83.3%

$ 126,303

16.0%

$ 5,257

$ 786,988

FY11

$ 2,693,376

83.6%

$ 507,439

15.7%

$ 22,273

$ 3,223,088

Q411

$ 644,840

82.0%

$ 137,670

17.5%

$ 3,755

$ 786,265

Q311

$ 660,269

82.9%

$ 128,467

16.1%

$ 7,293

$ 796,029

Q211

$ 583,865

80.7%

$ 132,148

18.3%

$ 7,423

$ 723,436

Q111

$ 804,402

87.7%

$ 109,154

11.9%

$ 3,802

$ 917,358

FY10

$ 2,358,644

86.3%

$ 343,968

12.6%

$ 29,038

$ 2,731,650

Q410

$ 656,508

83.9%

$ 118,649

15.2%

$ 7,255

$ 782,412

 
 

Period

Q114

FY13

Q413

Q313

Q213

Q113

FY12

Q412

Q312

Q212

Q112

FY11

Revenue

$828,834

$ 2,847,314

$ 692,944

$ 776,820

$ 707,938

$ 669,612

$ 2,948,075

$ 791,978

$ 670,184

$ 702,206

$ 786,988

$ 3,223,088

GP

$356,038

$ 1,002,399

$ 210,299

$ 319,931

$ 260,260

$ 211,909

$ 1,213,490

$ 312,631

$ 276,227

$ 279,078

$ 348,835

$ 1,551,019

Op Profit

$319,81

$ 862,981

$ 201,266

$ 241,082

$ 225,127

$ 195,506

$ 927,691

$ 229,425

$ 193,572

$ 222,165

$ 282,529

$ 1,328,922

PBT

$319,086

$ 845,508

$ 190,338

$ 260,407

$ 212,971

$ 181,792

$ 864,746

$ 215,220

$ 177,781

$ 206,581

$ 265,164

$ 1,231,812

Net Profit

$257,552

$ 707,748

$ 170,047

$ 222,690

$ 169,628

$ 145,383

$ 677,684

$ 162,201

$ 138,446

$ 165,545

$ 211,492

$ 1,019,910

NPM

31.07%

24.86%

24.54%

28.67%

23.96%

21.71%

22.99%

20.48%

20.66%

23.57%

26.87%

31.64%

  

  

NCA

$7,309,474

  

$ 6,875,433

$ 6,936,404

$ 7,274,198

$ 6,989,239

  

$ 6,730,436

$ 7,125,429

$ 7,432,237

$ 6,599,803

  

L/T

$922,404

  

$ 595,695

$ 567,811

$ 780,053

$ 393,194

  

$ 346,305

$ 682,480

$ 916,662

$ 31,130

  

CA

$6,052,392

  

$ 6,198,637

$ 6,095,270

$ 5,901,752

$ 5,993,164

  

$ 6,225,156

$ 5,688,640

$ 5,775,199

$ 5,838,142

  

S/T

$1,336,942

  

$ 1,265,240

$ 934,398

$ 858,364

$ 842,940

  

$ 700,446

$ 701,189

$ 317,844

$ 10,590

  

Cash

$3,317,366

  

$ 3,630,151

$ 3,943,224

$ 3,932,855

$ 3,994,517

  

$ 4,383,555

$ 4,107,156

$ 4,540,348

$ 4,849,385

  

  

  

NCL

$1,862,754

  

$ 1,980,102

$ 2,127,150

$ 2,331,588

$ 2,442,400

  

$ 2,566,640

$ 2,697,351

$ 2,860,200

$ 2,962,564

  

Loans

$1,573,089

  

$ 1,702,367

$ 1,831,521

$ 1,960,583

$ 2,094,228

  

$ 2,224,209

$ 2,345,344

$ 2,466,650

$ 2,587,547

  

CL

$1,528,544

  

$ 1,446,776

$ 1,513,927

$ 1,688,517

$ 1,456,927

  

$ 1,451,655

$ 1,310,992

$ 1,652,606

$ 1,345,334

  

Loans

$516,366

  

$ 515,870

$ 506,632

$ 497,370

$ 493,572

  

$ 483,671

$ 474,492

$ 465,656

$ 456,389

  

  

  

EPS (ct)

1.87

4.82

1.15

1.58

1.15

0.95

4.81

1.09

0.9

1.14

1.68

8.4

NAV (ct)

62.8

  

60

58.2

56

55.7

54.3

  

53.4

52.3

66.6

50.3

Div (ct)

  

1

  

  

  

  

1

  

  

  

  

1

 
 

Reference : Q114 Results

 
 

 

Posted on

Genting @ $1.33

Sell @ $1.33

Too tempting to take profit as +1.5ct. Am left with the $1.43 ones… Next Quarterly results (Q1) will be on 5-May. Will have to look out for MBS results as a benchmark and decide whether to buy back to average down or just sell at a loss.. 😀

Posted on

Genting @ $1.31

Buy @ $1.31

Main purpose is to average down my single other buy @ $1.43… 😀

Using latest FY13 figures,

  • PE = 27.18
  • Yield = 0.763%
    • Definitely not a Yield Stock but neither is it a Growth Stock at this point in time
  • Cash = $3.6Bil (mostly raised from Perpetual Securities previously)
    • Cash / Share = $0.297
  • Debts = $2.2Bil
    • Net Cash / Share = $0.115

A recent development announced on –Feb, is their proposed joint development of a US$2.2Bil IR with a Chinese co (Landing International Devt – HK Listco) in Jeju (S Korea). In mid-Mar, Lippo + Caesars also announced an IR project (near Incheon Airport, outside Seoul). In S Korea, all casinos (except for 1) are restricted to foreigners only. The market is not reacting very positively to this news as,

  • Lots of cash is going to be utilized over the next few years with zero returns
  • The main money spinner for an IR is the casino. But, one which is restricted to foreigners is not expected to be very profitable

Extracts from the financials (all figure in $Mil unless otherwise stated),

 

Gaming

Non

Others

Total

FY13

$ 2,185,118

76.7%

$ 660,406

23.2%

$ 1,790

$ 2,847,314

Q413

$ 508,622

73.4%

$ 183,871

26.5%

$ 451

$ 692,944

Q313

$ 606,698

78.1%

$ 169,727

21.8%

$ 395

$ 776,820

Q213

$ 548,617

77.5%

$ 158,764

22.4%

$ 557

$ 707,938

Q113

$ 521,181

77.8%

$ 148,044

22.1%

$ 387

$ 669,612

FY12

$ 2,373,073

80.5%

$ 558,315

18.9%

$ 16,687

$ 2,948,075

Q412

$ 626,950

79.2%

$ 164,406

20.8%

$ 622

$ 791,978

Q312

$ 528,409

79.2%

$ 133,637

20.0%

$ 5,045

$ 667,091

Q212

$ 562,286

80.1%

$ 133,969

19.1%

$ 5,951

$ 702,206

Q112

$ 655,428

83.3%

$ 126,303

16.0%

$ 5,257

$ 786,988

FY11

$ 2,693,376

83.6%

$ 507,439

15.7%

$ 22,273

$ 3,223,088

Q411

$ 644,840

82.0%

$ 137,670

17.5%

$ 3,755

$ 786,265

Q311

$ 660,269

82.9%

$ 128,467

16.1%

$ 7,293

$ 796,029

Q211

$ 583,865

80.7%

$ 132,148

18.3%

$ 7,423

$ 723,436

Q111

$ 804,402

87.7%

$ 109,154

11.9%

$ 3,802

$ 917,358

FY10

$ 2,358,644

86.3%

$ 343,968

12.6%

$ 29,038

$ 2,731,650

Q410

$ 656,508

83.9%

$ 118,649

15.2%

$ 7,255

$ 782,412

 

Period

FY13

Q413

Q313

Q213

Q113

FY12

Q412

Q312

Q212

Q112

FY11

Revenue

$ 2,847,314

$ 692,944

$ 776,820

$ 707,938

$ 669,612

$ 2,948,075

$ 791,978

$ 670,184

$ 702,206

$ 786,988

$ 3,223,088

GP

$ 1,002,399

$ 210,299

$ 319,931

$ 260,260

$ 211,909

$ 1,213,490

$ 312,631

$ 276,227

$ 279,078

$ 348,835

$ 1,551,019

Op Profit

$ 862,981

$ 201,266

$ 241,082

$ 225,127

$ 195,506

$ 927,691

$ 229,425

$ 193,572

$ 222,165

$ 282,529

$ 1,328,922

PBT

$ 845,508

$ 190,338

$ 260,407

$ 212,971

$ 181,792

$ 864,746

$ 215,220

$ 177,781

$ 206,581

$ 265,164

$ 1,231,812

Net Profit

$ 707,748

$ 170,047

$ 222,690

$ 169,628

$ 145,383

$ 677,684

$ 162,201

$ 138,446

$ 165,545

$ 211,492

$ 1,019,910

NPM

24.86%

24.54%

28.67%

23.96%

21.71%

22.99%

20.48%

20.66%

23.57%

26.87%

31.64%
 

NCA

  

$ 6,875,433

$ 6,936,404

$ 7,274,198

$ 6,989,239

  

$ 6,730,436

$ 7,125,429

$ 7,432,237

$ 6,599,803

  

L/T

  

$ 595,695

$ 567,811

$ 780,053

$ 393,194

  

$ 346,305

$ 682,480

$ 916,662

$ 31,130

  

CA

  

$ 6,198,637

$ 6,095,270

$ 5,901,752

$ 5,993,164

  

$ 6,225,156

$ 5,688,640

$ 5,775,199

$ 5,838,142

  

S/T

  

$ 1,265,240

$ 934,398

$ 858,364

$ 842,940

  

$ 700,446

$ 701,189

$ 317,844

$ 10,590

  

Cash

  

$ 3,630,151

$ 3,943,224

$ 3,932,855

$ 3,994,517

  

$ 4,383,555

$ 4,107,156

$ 4,540,348

$ 4,849,385

  
 

NCL

  

$ 1,980,102

$ 2,127,150

$ 2,331,588

$ 2,442,400

  

$ 2,566,640

$ 2,697,351

$ 2,860,200

$ 2,962,564

  

Loans

  

$ 1,702,367

$ 1,831,521

$ 1,960,583

$ 2,094,228

  

$ 2,224,209

$ 2,345,344

$ 2,466,650

$ 2,587,547

  

CL

  

$ 1,446,776

$ 1,513,927

$ 1,688,517

$ 1,456,927

  

$ 1,451,655

$ 1,310,992

$ 1,652,606

$ 1,345,334

  

Loans

  

$ 515,870

$ 506,632

$ 497,370

$ 493,572

  

$ 483,671

$ 474,492

$ 465,656

$ 456,389

  
 

EPS (ct)

4.82

1.15

1.58

1.15

0.95

4.81

1.09

0.9

1.14

1.68

8.4

NAV (ct)

  

60

58.2

56

55.7

54.3

  

53.4

52.3

66.6

50.3

Div (ct)

1

        

1

        

1

Comments

  • After the initial novelty, Gaming Revenue had been declining. Non-Gaming Revenue is growing steadily, but is unable to cover for the drops
  • There’s a close relation in their results with that of MBS (Marina Bay Sands), which usually releases their results earlier. So, need to diligently track that…
  • Korea IR investment is expected to be a drag on their results… till it’s progressively opened from 2017
  • Non-gaming revenue will get a boost when their Jurong Hotel opens in mid-2015

References

Posted on

Genting @ $1.365

Buy @ $1.365

Another buy to average down my $1.43 ones. Sands results should be out soon and give us a good indicator of the casino biz..

The Year of the Snake has ended with a whimper… with STI -4.43% since the beginning of the year. It started out in a bullish mood for the first 4 mths of 2013, but, the rest of the year was a struggle… Defensive trades, hit-and-run was the way to go..

Let's see how 2014 plays out… With US in much better shape and being taken off "Life Support" aka QE3 & Europe crisis seemingly having cleared the worst, we ought to see better economic data in the coming months? But, now, the shift is to problems in Emerging Market… Well, it looks like market will always need to have some crisis in the fore-front.. 😀

 

Posted on

Genting @ $1.43

Buy @ $1.43

Itchy fingers… Jump-Q during 5pm matching to re-enter. Still meant for short term as the FY (Dec) reporting approaches (Sands will likely report first before end-Jan and can give a good indication of casino biz for the Q). Past 2 years, Div = 1ct but very tiny as it gives only 0.7% Yield. Definitel not a Yield Stock, but a bet on continued Growth Recovery… 😀

Posted on

Genting @ $1.485

Sell @ $1.485

Contra off all as the earlier buy is due for payment. Further, decided to free up cash to focus on other stocks.

Looks like I was lucky to have made this decision as mkt weakened considerably after that due to fears from China PMI data…

Posted on

Genting @ $1.475

Buy @ $1.475

New addition to my portfolio. More for short term and based on previous data that I'd compiled, which showed better earnings from Q213 (after big drops in FY12 vs FY11). Sands (competing casino in Singapore) had been releasing their Quarterly results earlier than Genting and the market would usually move accordingly (expecting similar +/- trend for Gentings). I'm betting on a continued positive trend… 😀