starhub have guided 10% of their full year revenue as capex. that includes investment in LTE in the second half of the year. This is similar to last year
m1 have guided 11% of their full year revenue as capex. that includes investment in LTE in the second half of the year.
dividend should not be affected.
(12-07-2012, 08:16 AM)KopiKat Wrote: [ -> ]The spread between dividend yield and the 10-year Singapore government bond yield has also narrowed to its tightest level yet, a mere 400bp, since the bond itself was issued in 2007. Dividend yield is also barely hedging against domestic inflation of 5% (as at May 2012).[/i]
<Not Vested>
Sometimes the things these equity analysts say make you roll your eyes. I am not sure what the author was thinking when he mentioned "a mere 400bps". 4% is a lot in today's low interest rate environment!
(13-07-2012, 10:56 AM)Janjansen Wrote: [ -> ] (12-07-2012, 08:16 AM)KopiKat Wrote: [ -> ]The spread between dividend yield and the 10-year Singapore government bond yield has also narrowed to its tightest level yet, a mere 400bp, since the bond itself was issued in 2007. Dividend yield is also barely hedging against domestic inflation of 5% (as at May 2012).[/i]
<Not Vested>
Sometimes the things these equity analysts say make you roll your eyes. I am not sure what the author was thinking when he mentioned "a mere 400bps". 4% is a lot in today's low interest rate environment!
You have to read the whole Kim Eng report to understand better on their SELL justification. The point you quoted IMO, is just a minor one. The main one is likely the lower possibility of any increased Div Payout from 20ct to 24ct. For the past few months, I have read quite a few anaylsts' reports giving their optimistic reasons for either a higher and sustainable Div Payout or a one-time Capital Payout, based on the FCF (plus govt payout for meeting their NBN? milestones).
This report did a turnaround due to the substatial cash required for the upcoming 4G auction. The previous spectacular rise in Starhub share price may have been largely fuelled by the optimism for Higher Div / Capital Payout. If so, now that this possibility may have become more remote, it may be causing the current pull back. My guess only... For all we know, perhaps it's a consolidation before it reaches for greater heights??
StarHub Ltd Announces Issue of S$220 Million 3.08% Fixed Rate Notes Due 2022 Under Its S$1,000,000,000 Multicurrency Medium Term Note Programme
http://info.sgx.com/webcorannc.nsf/Annou...endocument
The reasons to issue the bond are cited as
"The net proceeds of the issue of the Notes will be used for financing the general corporate funding requirements or investments of StarHub and/or the StarHub Group (including refinancing of existing borrowings and extending its existing debt maturity profile, working capital, capital expenditure and other general funding requirements)."
At the moment (Q2FY2012), the total bank loan (current + non-current bank loan) is approx $658 mils, with average interest of 2.5%-3%.
Starhub announced their Q3FY2012 FR.
A quick look into the FR (only on their broadband business)
- Starhub did a good job to retain its broadband business. Customer base increases, reverse from previous declines. Revenue and ARPU both increases. It is a remarkable work done with the competition in the market. The increases is mainly due to higher mix of customer with higher speed plan. Churn rate is expected to remain high @ 1.5%.
StarHub plans to negotiate for the rights to broadcast the English Premier League (EPL) if the opportunity arises and the price is right, said Chief Executive Neil Montefiore, as the company looks for ways to maintain its competitive edge.
If a deal is signed, StarHub may charge customers S$25-S$35 a month to watch matches.
http://www.todayonline.com/Hotnews/EDC12...id-for-EPL
As an SH investor and consumer, I would be disappointed if SH does not do so.
People are fed up with MioTV and everyone was looking forward to this cross-carriage rule to be implemented from next yr BPL. Then suddenly we heard that Singtel has signed a non-exclusive rights to broadcast BPL matches. If SH also offered BPL matched, I'm sure a lot of people will jump back to SCV.
However the problem is with timing. We read that commercial rights holders are not playing ball and has locked out Starhub for negotiations. So how is that fair?? Where were all the associations that cried foul when MDA implemented the cross carriage rule?? They have suddenly remain silent to this unusual situation.
If Starhub continued to be locked out until say June next year, Singtel would have the advantage as it would probably have signed up most BPL diehards by then leaving Starhub to pick up the crumbs. Personally I would wait to see what happen to ESPN and Starsports. Hopefully they will move back to SCV too.
(11-11-2012, 06:27 PM)lonewolf Wrote: [ -> ]As an SH investor and consumer, I would be disappointed if SH does not do so.
People are fed up with MioTV and everyone was looking forward to this cross-carriage rule to be implemented from next yr BPL. Then suddenly we heard that Singtel has signed a non-exclusive rights to broadcast BPL matches. If SH also offered BPL matched, I'm sure a lot of people will jump back to SCV.
However the problem is with timing. We read that commercial rights holders are not playing ball and has locked out Starhub for negotiations. So how is that fair?? Where were all the associations that cried foul when MDA implemented the cross carriage rule?? They have suddenly remain silent to this unusual situation.
If Starhub continued to be locked out until say June next year, Singtel would have the advantage as it would probably have signed up most BPL diehards by then leaving Starhub to pick up the crumbs. Personally I would wait to see what happen to ESPN and Starsports. Hopefully they will move back to SCV too.
The last time when they had EXCLUSIVE rights, they were losing $$$, even when Cable TV (includes non-EPL subscribers) was lumped together with their Broadband in their Segmental reporting, IIRC. Will it be different this time round if they do negotiate for the rights? Perhaps at a much lower price for the rights in combo with a higher subscription price (for subscribers)?
(11-11-2012, 09:36 PM)KopiKat Wrote: [ -> ] (11-11-2012, 06:27 PM)lonewolf Wrote: [ -> ]As an SH investor and consumer, I would be disappointed if SH does not do so.
People are fed up with MioTV and everyone was looking forward to this cross-carriage rule to be implemented from next yr BPL. Then suddenly we heard that Singtel has signed a non-exclusive rights to broadcast BPL matches. If SH also offered BPL matched, I'm sure a lot of people will jump back to SCV.
However the problem is with timing. We read that commercial rights holders are not playing ball and has locked out Starhub for negotiations. So how is that fair?? Where were all the associations that cried foul when MDA implemented the cross carriage rule?? They have suddenly remain silent to this unusual situation.
If Starhub continued to be locked out until say June next year, Singtel would have the advantage as it would probably have signed up most BPL diehards by then leaving Starhub to pick up the crumbs. Personally I would wait to see what happen to ESPN and Starsports. Hopefully they will move back to SCV too.
The last time when they had EXCLUSIVE rights, they were losing $$$, even when Cable TV (includes non-EPL subscribers) was lumped together with their Broadband in their Segmental reporting, IIRC. Will it be different this time round if they do negotiate for the rights? Perhaps at a much lower price for the rights in combo with a higher subscription price (for subscribers)?
The last time when they had EXCLUSIVE rights, the charges was around $60-$70, but this time, they targeted on NON-EXCLUSIVE right with charges of $25-$35.
With SingTel currently charges of S$34.90 for its sports package, which includes EPL matches, Starhub is prudent this time
Good for Starhub investors, and its customers too
