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(14-11-2011, 10:50 AM)yeokiwi Wrote: [ -> ]If Kingsmen is able to expand its design teams, it should be able to grow its revenue. The expected revenue for FY11 should be around 240-250 million. It has been around this figure for the last two years and that is probably why the stock price remains stagnant.

The ROE is dropping since 2008 due to stagnant revenue and increasing equity. Although, at 26% for FY10, it is still quite impressive.

Kim Eng report..
http://kingsmen.listedcompany.com/misc/K...101111.pdf

Hi !

Hehe, I had already attached the KE report on Page 38 of this thread.

The reason, I feel, for the stagnant revenue these past 2-3 years is because Asia is still in expansion mode and retailers are still in the process of bringing their brands into China and Singapore. Also, the 2008-2009 crisis did impact the MICE industry somewhat in that there are less "mega" events (the last being Shanghai Expo).

Still, note that the bulk of the new theme parks around SEA will only start coming on-stream from 2012 onwards, and contracts will start to get awarded from early 2012 onwards. This should provide some boost to revenues; I also know that Kingsmen is trying to expand their design team but it's not easy to find good (and cost-effective) designers!

And yes at 26% ROE is impressive considering leverage is low and the Company is generating good FCF.

(Vested)

The Straits Times
Nov 17, 2011
HK's money-losing Disneyland launches expansion

HONG KONG (AP) - Hong Kong's money-losing Disneyland theme park has officially launched the first phase of an expansion aimed at helping the resort turn a profit.

Disney and Hong Kong government officials held an opening ceremony on Thursday to christen the new attractions based on the popular Toy Story movies.

Two more new themed attraction areas will be added over the next two years. They will expand the 126ha park's size by 23 per cent.

Hong Kong Disneyland is the smallest of Disney's parks worldwide. Since it opened in 2005, it has been criticised for being too small to draw sufficient visitors.

In 2010, the park lost HK$718 million (S$119 million), down from HK$1.32 billion in 2009.

The MICE industry has direct bearing on Kingsmen's business.

Business Times - 26 Nov 2011

Booking for hotel event space hots up

Customers are advised to book venues by up to year ahead, especially for in-demand or weekend dates

By NISHA RAMCHANDANI

SPACE is in high demand these days as Singapore's meetings, incentive travel, conventions and exhibitions (MICE) industry draws the crowds, with some venue operators seeing the lead-time for bookings getting longer.

In addition, 2012 marks the year of the Dragon, largely regarded as the most auspicious year in the Chinese Zodiac, which is likely to make coveted dates next year a hot commodity.

At the Raffles City Convention Centre as well as the Fairmont and Swissotel hotels, guests generally need to book venues at least a year out for 'in-demand' and weekend dates.

'Most clients choose to re-book even before their current year's event is near. By doing so, they do not need to worry about sourcing space,' said Nicole Tan, director of conference services. 'Our regular clients have already re-booked the dates for their events scheduled for next year and some even as far as two years out.'

Given that it is the year of the Dragon, corporate events and functions in 2012 are likely to be more lavish as celebrations are seen as a way to usher in greater prosperity and fortune, reckons Ms Tan.

Bookings for event space at the Mandarin Orchard from now until the end of 2012 are 'looking robust', said hotel manager Christoph Szymanski. Guests typically need to lock in bookings at least nine months to a year ahead of time at the hotel.

'In addition to more demand for event venues, we are also seeing longer lead-times for bookings,' noted the spokesman of one hotel, declining to be named. 'This could suggest that business sentiments have picked up and longer-term strategy plans are back in place.'

For instance, the hotel's rooms were fully booked for this New Year's Eve by October, the spokesman highlighted.

At the Pan Pacific Hotel, bookings are up 15-20 per cent year on year in 2011, with corporate groups accounting for about half of all bookings. Bigger scale events - catering to at least 100 people - are usually booked at least six months ahead of time, said Alexandra Schmutterer, Pan Pacific director of marketing communications.

Meanwhile, Giovanni Viterale, general manager of The Fullerton Heritage, recommends booking a year ahead for major events or weddings. The Fullerton Heritage comprises The Fullerton Hotel, The Fullerton Bay Hotel, Clifford Pier, Customs House, One Fullerton and The Fullerton Waterboat House.

By October this year, its hotels had already received enquiries and bookings for corporate events up to December next year, he said. 'I think (the lead-time) is becoming longer. Singapore is (becoming) a destination for high-profile events.'

Its new boutique hotel, Fullerton Bay, for instance, was recently the location for a high-profile, after-launch party celebrating the grand opening of the Louis Vuitton Island Maison at Marina Bay Sands.

The MICE industry accounts for a significant proportion of Singapore's tourist arrivals, roughly one in four in 2010, according to a DBS Group Research report. Singapore attracted 11.6 million visitors and $18.9 billion in tourism receipts last year. This year, the Singapore Tourism Board is targeting a record 12-13 million visitors and $22-24 billion in tourism receipts.

The Straits Times
Dec 7, 2011
Legoland Malaysia on track for launch next year

NUSAJAYA (THE STAR/ASIA NEWS NETWORK) - Works on the Legoland Theme Park @ Medini near here is progressing well and the park is expected to open by the end of next year.

IDR Resorts Sdn Bhd chief executive officer Muhammad Zainal Ashikin Rejab said that despite the downpour in Johor in recent weeks, construction works at the project site continued as normal.

'We do not foresee any delay on the opening date and are confident the theme park will open as planned,' he said during a site visit. At the event, IDR Resorts unveiled the steelworks for the iconic roller-coaster ride and sale of annual passes at a discounted rate for a limited period.

Zainal said Johor was not competing with Singapore in attracting visitors to Legoland Malaysia as it catered for families with children below 12 years of age. In contrast, Universal Studios, which is part of the integrated resort development on Sentosa Island, catered more for young adults. 'In fact, Johor and Singapore could complement each other in attracting visitors to theme parks on both sides of the causeway,' he added.

Legoland Malaysia general manager Siegfried Boerst said phase one of the theme park would offer 40 interactive rides and nearly all the rides were hands-on where visitors could push, pull, pedal, programme, steer, squirt, splash, crawl and climb.

He said the theme park's Miniland would showcase miniature buildings of iconic landmarks from countries in Asia made from millions of Legoland bricks.

The RM720 million (S$294.7 million) theme park on a 31ha site is a joint venture between IIB and Merlin Entertainment Groups, the world's second largest visitor attraction operator.

Legoland Malaysia is the first Legoland theme park to be built in Asia.

The other Legoland theme parks are located in Billund (Denmark), Windor (near London), Deutschland (Germany) as well as California and Florida (United States).

From The Hour Glass (THG) 1HFY2012 media release (THG is a client of Kingsmen):

"Malmaison by The Hour Glass went on to bag the 2011
‘Best Retail Concept of the Year’ award by the Singapore Retailers Association.
Malmaison was delivered in the same spirit as L’Atelier by The Hour Glass, a
boutique whose design and environment pays tribute to the patrimony of traditional
watchmaking. Recently, L’Atelier secured the prize for “Most innovative Retail
Concept”, conferred by the prestigious Federation of Asia-Pacific Retail Associations
(FAPRA)."

This is interesting news, and would boost Kingsmen's Interiors Division. I recall the GM mentioning that Malaysia was a good market for Kingsmen too as many malls were already getting older and on the cusp of being refurbished. With the JPO going into its second phase, and with many more luxury brands (e.g. Raoul, Burberry) being set up, this will bode well for Kingsmen and other players.

On a lighter, but related note, Ambercrombie and Fitch will open its flagship store at Knightsbridge on Thursday Dec 15, 2011. In the meantime, they have many shirtless greeters (guys) standing from 1 pm to 7 pm as a marketing tactic to drum up attention towards the Grand Opening!

Soon, more bargains across the Causeway
Johor Premium Outlets targets 3m customers in first year, to grow by 60 stores in 'very short period of time'

04:45 AM Dec 12, 2011
by S Ramesh

JOHOR BARU - Johor's tourism industry was given a boost yesterday from Malaysian Prime Minister Najib Razak, who announced that the Johor Premium Outlets (picture), a new upscale shopping centre 30 minutes by road from Singapore's Tuas Checkpoint, will be expanded.

Speaking at its launch, Mr Najib described the shopping complex as a key development in the Iskandar region, the economic development zone in Malaysia's southern corridor that is part of the country's economic transformation programme.

The Johor Premium Outlets, the first mega-store of its kind in South-east Asia and the 70th in the world, is a RM150 million (S$61.5 million) joint venture between Malaysia's Genting Group and the Simon Property Group of the United States.

It has 80 designer brand outlets spread over 44 acres of land in the middle of an oil palm plantation.

With its proximity to Singapore, Mr Najib noted that there was already interest from both Singaporeans and regional shoppers.

"I've no doubt Johor Premium Outlets will play an important role in helping to draw more domestic and foreign investors to this region, and I'm confident we'll see (not only) an influx of local consumers but also international visitors from across South-east Asia and the Middle East," he said.

"I'm sure many of our international tourists will take advantage of the favourable exchange rate and discover that it's more economical for them to buy their goods and do their shopping here."

The outlet hopes to draw close to three million visitors in its first year of operations. And it is set to get bigger.

Mr Najib said: "I'm in a position to announce that they'll embark on the second phase of the Johor Premium Outlets with an additional investment of RM100 million, adding 60 new shops ... in a very short period of time."

Also in the pipeline are a water park, development of the conventions and exhibitions sector in the area and a hotel with nearly 2,000 rooms.

Genting Berhad chairman and chief executive Lim Kok Thay said: "I'm very happy that our project has stimulated economic activity in this region, providing over 3,000 new job opportunities and many more indirect jobs in Johor and neighbouring states.

"More importantly, it'll help to retain and develop our local talent. Johor Premium Outlets will leverage on the global strength and brand value of the Premium Outlets portfolio of the Simon Property Group and the brand name and marketing resources of Genting.

"It will synergise with the Genting property, leisure and hospitality operations of Malaysia and worldwide."

For the Malaysian government, the project is an important one, especially with its close proximity to the Iskandar region.

Mr Najib said investments in Iskandar Malaysia continue to grow yearly, and he expects more to come from countries such as China, Japan, South Korea, India as well as from the Middle East.

As of September, investment commitments to Iskandar Malaysia totalled RM77.82 billion, with 40 per cent from overseas.

Tour agencies cash in
by S Ramesh

Travel agencies expect their tour groups to Johor Premium Outlets to be fully booked by January, with the majority of their customers from Singapore.

The attraction was clear for shoppers whom Channel NewsAsia spoke to at the official opening yesterday: The variety of international brands - at a discount - and accessibility to the outlet. "In Singapore, it's much more expensive compared to an outlet shop, so we thought we'd give it a try," said one shopper. "I think there's much more variety here than in Singapore, where choices for some things, like bags, are limited."

Another said, "It's quite convenient. We took the first bus from the JB."

Travel agencies in Singapore such as Chan Brothers and CTC Travel are getting in on the action by offering shopping day tours that include dinner. The agencies said that Singaporeans are attracted to the outlet because it brings international brands from the United States and Europe closer to home.

CTC Travel hopes to attract about 500 passengers including Singaporeans and tourists to the Johor Premium Outlets by next month.

While Singaporeans are expected to form the bulk of the shoppers at Johor Premium Outlets, given that many already visit Johor, the outlet is not banking its success entirely on Singaporeans' penchant for shopping.

"Yes, we'll attract people from Singapore, Johor, Kuala Lumpur, all the way up to Penang, but we'll also see customers from Thailand, the Philippines," the outlet's president John Klein.

There are plans to enhance accessibility from Singapore to the shopping complex with a direct shuttle from Dhoby Ghaut MRT Station in the coming weeks. Sara Grosse

http://info.sgx.com/webcorannc.nsf/Annou...endocument


Oh no. Bad news!
Michael Ng, Managing Director - China Operations, has left Kingsmen to "pursue his own interest".

TODAY
MICE bookings continue to rise
by Yvonne Chan 04:45 AM Dec 14, 2011

SINGAPORE - Bookings for corporate events and meetings in Singapore hotels continued to increase this year despite the global economic uncertainty, with a healthy level of reservations over the holiday season.

The outlook for meetings, incentives, conventions and exhibitions (MICE) bookings for next year remains positive as well, said the Singapore Tourism Board (STB).

Figures gathered by MediaCorp show that MICE bookings this year have increased by between 12 per cent and 50 per cent on-year at some top hotels here, with demand coming from local and foreign companies across a broad range of industries.

"2011 has been a good year for most businesses. It's only right that companies are still spending to thank some of their clients," said Mr Colin Wang, general manager at Grand Copthorne Waterfront Hotel, which has seen bookings for such events increase by about 30 per cent.

Ms Elaine Kum, marketing director at Marriott Singapore, agreed: "If they need to organise meetings in a hotel, they will go ahead with that. If they have a budget, they'll probably need to select a different category of hotel to match their budget." Marriott said it has seen a 12-per-cent increase in MICE bookings.

On average, business travellers form about one-third of visitor arrivals to Singapore, and contribute more than 30 per cent of tourist spending, according to figures from the tourism board.

With the Singapore Airshow and International Furniture Fair among numerous events lined up for next year, the potential opportunities are there despite the bleak global economic outlook.

"The outlook for corporate MICE bookings in 2012 remains optimistic, with demand from Asia expected to remain strong," the STB said.

that's the second time the china director leaving the company. what is going on....

In the latest issue of The Edge Singapore, there is a good article written on Kingsmen Creatives. In it, Ben Soh and Simon Ong talk about:-

1) Plans for Kingsmen in terms of expanding their business
2) Prospects for the business and opportunities in the region
3) Possible corporate actions such as JVs with US and European counterparts to strengthen Kingsmen's position and increase business
4) Slow but sustainable growth. Doubling of top line in 5 years is a "reasonable" target.
5) Succession Planning - Kingsmen is gearing up and grooming a second "echelon" of managers to take over.
6) Benedict Soh has received lock, stock and barrel offers for Kingsmen but is "not selling" at the moment. Both founders have not sold a single vendor share since IPO.

To read more on this, buy the latest issue at bookshops and newstands. $3.80 per issue.