On 1Oct110, Challenger made an announcement on having secured a new lease in Suria KLCC for its 2nd retail outlet in Malaysia which is scheduled to begin operations around Apr11.....
http://info.sgx.com/webcoranncatth.nsf/V...F002A6FA7/$file/NewLeaseLocatedInKL.pdf?openelement
Together with the 3 other new leases in Bedok Point, Plaza Singapura, and nex@ Serangoon Central, announced earlier.....
http://info.sgx.com/webcoranncatth.nsf/V...40027FF22/$file/New_leases_Announcement_16_Jun_10_Final.pdf?openelement
http://info.sgx.com/webcoranncatth.nsf/V...D0035A9F9/$file/NewLeasesAnnouncement.pdf?openelement
barring unforeseen problems, Challenger plans to open a total of 4 new stores within the next 6 months, and this will definitely keep business volume - and hopefully also profits! - growing in FY10 and into FY11 at least.
While Challenger's 1H (ended 30Jun10)-FY10 results announcement showed a small 4% yoy decrease in NP to $5.79m.....
http://info.sgx.com/webcoranncatth.nsf/V...600179798/$file/SGXNET_1H2010_Challenger.pdf?openelement
a closer look will reveal that actually the underlying operating profit had continued to grow in 1H-FY10, as the higher NP of $6.04m for 1H-FY09 included a $913k forex gain (vs. a $157k forex loss in 1H-FY10) and a bigger "Job Credit" government subsidy (part of the $328k "Sundry Income").
Assuming a full-year NP of $12.0m for FY10 (vs. $10.96m in FY09), and based on Challenger's 230.139m issued shares (as at 30Jun10), EPS will come $0.052.
Based on today's closing share price of $0.41, Mr Market is now attaching a PER of 7.9x on Challenger. My own simple view is that the current market valuation is not demanding at all, considering Challenger always operates with a large - and growing! - nett cash reserve (30Jun10: $21.08m; equivalent to approx. $0.091/share), and the group's businesses are poised to enjoy further healthy and profitable growth in the forseeable future.
More info on this premier retail group.....
http://www.challengerasia.com/
http://info.sgx.com/webcoranncatth.nsf/V...F002A6FA7/$file/NewLeaseLocatedInKL.pdf?openelement
Together with the 3 other new leases in Bedok Point, Plaza Singapura, and nex@ Serangoon Central, announced earlier.....
http://info.sgx.com/webcoranncatth.nsf/V...40027FF22/$file/New_leases_Announcement_16_Jun_10_Final.pdf?openelement
http://info.sgx.com/webcoranncatth.nsf/V...D0035A9F9/$file/NewLeasesAnnouncement.pdf?openelement
barring unforeseen problems, Challenger plans to open a total of 4 new stores within the next 6 months, and this will definitely keep business volume - and hopefully also profits! - growing in FY10 and into FY11 at least.
While Challenger's 1H (ended 30Jun10)-FY10 results announcement showed a small 4% yoy decrease in NP to $5.79m.....
http://info.sgx.com/webcoranncatth.nsf/V...600179798/$file/SGXNET_1H2010_Challenger.pdf?openelement
a closer look will reveal that actually the underlying operating profit had continued to grow in 1H-FY10, as the higher NP of $6.04m for 1H-FY09 included a $913k forex gain (vs. a $157k forex loss in 1H-FY10) and a bigger "Job Credit" government subsidy (part of the $328k "Sundry Income").
Assuming a full-year NP of $12.0m for FY10 (vs. $10.96m in FY09), and based on Challenger's 230.139m issued shares (as at 30Jun10), EPS will come $0.052.
Based on today's closing share price of $0.41, Mr Market is now attaching a PER of 7.9x on Challenger. My own simple view is that the current market valuation is not demanding at all, considering Challenger always operates with a large - and growing! - nett cash reserve (30Jun10: $21.08m; equivalent to approx. $0.091/share), and the group's businesses are poised to enjoy further healthy and profitable growth in the forseeable future.
More info on this premier retail group.....
http://www.challengerasia.com/